Form 4: KKR Real Estate Select Trust Inc. Reports Changes in Beneficial Ownership

KKR Alternative Assets LLC acquired 48,295.771 shares of KKR Real Estate Select Trust Inc. common stock at $25.94 per share as payment for management and/or incentive fees.

Summary

• KKR Alternative Assets LLC acquired 48,295.771 shares of KKR Real Estate Select Trust Inc. common stock on April 30, 2024.
• The shares were acquired at a price of $25.94 per share.
• The acquisition was a payment for management and/or incentive fees pursuant to the investment advisory agreement between KKR Real Estate Select Trust Inc. and KKR Registered Advisor LLC.
• Following the transaction, KKR Alternative Assets LLC beneficially owns 7,682,536.863 shares of common stock indirectly.
• The reporting persons, including KKR entities and individuals like Henry R. Kravis and George R. Roberts, disclaim beneficial ownership except to the extent of their pecuniary interest.

Sentiment

Score: 6

Explanation: The sentiment is neutral as it reflects a routine transaction related to management fees. There are no explicit positive or negative implications for the company's performance.

Positives

• The acquisition of shares indicates ongoing management and incentive fee payments to KKR entities.
• The transaction reflects the continued operation of the investment advisory agreement between KKR Real Estate Select Trust Inc. and KKR Registered Advisor LLC.

Management Comments

• Each of the Reporting Persons disclaims beneficial ownership of the securities reported herein, except to the extent of such Reporting Person's pecuniary interest therein.
• The filing of this statement shall not be deemed to be an admission that, for purposes of Section 16 of the Securities Exchange Act of 1934 or otherwise, the Reporting Persons are the beneficial owners of any securities reported herein.

Industry Context

Form 4 filings are standard disclosures required by the SEC to provide transparency regarding changes in ownership by company insiders and major shareholders. This filing indicates ongoing compensation arrangements between KKR and the Real Estate Select Trust.

Related Party Transactions

• The issuance of shares to KKR Alternative Assets LLC is a related party transaction due to the investment advisory agreement between KKR Real Estate Select Trust Inc. and KKR Registered Advisor LLC.

Stakeholder Impact

• The transaction has a minor impact on shareholders as it represents a payment of management fees in the form of shares.
• The transaction benefits KKR Alternative Assets LLC and its affiliates through the receipt of shares as compensation.

Key Dates