K&C REIT combines the tax advantages of REIT status and management with a successful record of investing in residential property. It has stated that it intends to pursue a pipeline of opportunities for further NAV accretive acquisitions. This will need future fund raisings, it has made clear. We believe that K&C offers property-focused investors a niche long-term potential growth and income vehicle. We maintain our Buy recommendation and 10.5p target.