KKR has paused fundraising for its core-plus real estate strategies in Europe and Asia, signaling a strategic shift towards its core operations. Despite this fundraising pause, the firm remains strongly bullish on core real estate assets, viewing them as a safer bet compared to more speculative strategies.

This move reflects a broader industry trend where investors are increasingly favoring the perceived stability of core real estate over equity-like core-plus deals. European real estate credit is seen as particularly safer, aligning with KKR's focus on stable income-generating properties. The decision underscores KKR's confidence in the fundamental strength of core real estate markets, even as fundraising activity slows for higher-risk strategies.