Jul. 20 at 8:45 PM
KKR shares fell after Bloomberg reported that the firm is seeking to sell nine commercial real estate assets in China at steep discounts, with expected proceeds barely sufficient to repay the bank loans used to acquire them. The portfolio includes a luxury residential development near Beijing and a hotel on Shanghai's historic Bund, with implied valuations at roughly 50%-60% of their original 2019 purchase prices, highlighting material losses tied to China's prolonged property downturn.
The disclosure overshadowed positive analyst commentary from HSBC, which reiterated its Buy rating on KKR and raised its price target to
$121 from
$118, reflecting confidence in the firm's long-term earnings power. Investors, however, focused on KKR's exposure to China's struggling commercial real estate market, where property investment and commercial building sales have continued to weaken in 2026.
$KKR