Kayne Anderson Real Estate Advisors is expanding into core real estate, PERE has learned. Boca Raton, Florida-based KAREA, which focuses on alternative real estate property types, launched an open-ended core fund called Kayne Anderson Core earlier this summer. The firm declined to comment, but PERE understands that the vehicle was seeded with a $410 million portfolio of six senior housing assets.
KAREA is seeking a 9-10 percent net internal rate of return for the fund and a 6 percent current yield. The firm plans to invest about 70 percent of KACORE’s capital in medical office and senior housing, and will invest the remainder in student housing and self-storage.