AltsTech News - Blue Vault

Stacy Chitty: When Dividend Yields Can Be Deceptive

There are two reasons why dividend yields increase. Do you know them? Find out in this Blue Vault Minute with Stacy Chitty (Managing Partner, Blue Vault).

ExchangeRight Fully Subscribes $98 Million Net-Leased Portfolio Designed for Recession Resilience

Warren Thomas, a managing partner at ExchangeRight, explained that NLP 59 is designed to focus on tenants and industries that have been historically resistant to economic downturns

June 2023 Reported Nontraded REIT Sales Down 11.3% from May 2023

Blue Vault received June 2023 sales totals for ten nontraded REIT program offerings as of July 19, 2023. Sales reported by those ten NTRs totaled $176.0 million, down 11.3% from $198.4 million in May for the same ten NTRs, and down 72% Y-O-Y from the $630.7 million in sales in June 2022. FS Credit Real Estate Income Trust led the reporting REITs once again with $55.3 million in June, down 58% from $133.2 million in May. Next was Nuveen Global Cities REIT with $25.6 million, down 21% from the REIT’s May sales of $32.5 million.

Carron Schmick: Use Cases for Alts

Carron Schmick highlights how alts can meet clients’ needs, how she explains alts to clients, and how receptive the clients are.

Carron Schmick: Evaluating Alts for Your Practice

In this Blue Vault Minute, Carron Schmick walks through some of the metrics her firm uses to evaluate asset managers.

Which nontraded REITs had the top five distribution yields for REITs with closed offerings as of March 31, 2023?

Which nontraded REITs had the top five distribution yields for REITs with closed offerings as of...

West Coast Cities Slam Brakes on Housing Production Amid Worsening Crisis

Up and down the West Coast apartment construction sites are falling quiet despite high demand in a worsening housing shortage. Fewer multifamily projects have broken ground this year from Seattle to San Diego in one of the slowest starts to apartment construction in a decade. In San Jose, no apartments have broken ground after more than 7,000 started construction last year. In Seattle, 3,433 apartments started building in the first six months, a drop of nearly 60% from the same time last year.

Public Storage to acquire Simply Self Storage for $2.2 billion

Self-storage operator Public Storage (PSA.N) said on Monday it has entered a deal to buy Simply Self Storage from Blackstone Real Estate Income Trust (BREIT) for $2.2 billion, as it looks to expand its market presence. Demand for storage space has waned from the heights of the pandemic, as people return to offices, and some analysts expect more consolidation in the sector….

REIT Trends in Property Sector Allocations by Actively Managed Real Estate Funds

One of the unique aspects of REITs is the large, actively managed, dedicated REIT investment community; actively managed funds represent 7% of REIT market capitalization and they have been a key element in REITs’ long-term success because of their combined real estate and equity investment expertise and analysis.

PetSmart’s Owner Sells Minority Stake to Apollo

BC Partners has agreed to sell a minority stake of its PetSmart holdings to funds managed by affiliates of Apollo…

Why Blackstone Was Able To Turn Simply Self Storage Into an Extra $1 Billion in Under Three Years

Blackstone Real Estate Income Trust’s deal to sell Simply Self Storage to Public Storage for $2.2 billion signals more than the seller collecting $1 billion over what it paid less than three years ago. It also indicates optimism about long-term self-storage demand in certain parts of the country didn’t ease with the pandemic…

Nate Oltmans: Explaining Alts to Clients

Wondering how to discuss alternative investments with clients? Advisor Nate Oltmans offers insights in this Blue Vault Minute.

NAV REITs Report Flat Median Total Returns for June

The median monthly total return for 16 continuously offered nontraded REIT programs (“NAV REITs”) was just 0.01% in June, compared to negative 0.46% in May. Eight of the 16 reported positive total returns. This is the first month since November 2022 that, as a group, the continuously offered nontraded REIT programs have reported a positive median return, albeit a very small one. Year-to-date in 2023, the median total return for the 16 REITs was negative 2.94%. By contrast, the S&P 500 Index total return over the same six-month period was 16.89% and the NAREIT All Equity REIT Index total return was 2.97%.

Q1 2023

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‘I’ll Show You Mine, You Show Me Yours’: More Office Tenants Looking At Owners’ Books Before Signing Leases

It’s traditional in lease negotiations for the owner of an office building to ask a prospective tenant to show proof that they are in good financial standing and can be expected to pay rent every month….

New REITs Proliferate in Anticipation of Further Decline in Property Values

Four major investment firms have taken steps this month to set up nontraded real estate investment trusts so they can swoop in when property values finally adjust to a new economic reality of significantly reduced prices. The filings with the Securities and Exchange Commission by Sculptor Capital Management, ExchangeRight, EQT Exeter and Invesco Real Estate…

US Hotel Occupancy, Daily Rates Jump in Week Ended July 15

US hotel performance improved in all three metrics during the week ended July 15, STR reported, citing the latest data from CoStar, which provides information and analytics in the property markets. Occupancy increased to 72.0% from 61.8% a week earlier and was up 0.1% from the comparable week in 2022.

Nate Oltmans: Alts Challenges in 2023

In this BV Minute, Nate Oltmans gives an advisor’s perspective on the challenges facing alternatives this year, and some of the asset managers he uses in his practice.

How Institutional Alternative Managers Can Accelerate Capture of Retail Market Share

We recently caught up with Alliance 160’s Amanda Teeple to discover ways that institutional alternatives offerings can be packaged for RIA firms, broker-dealers and family offices. Alliance 160, a strategic consultancy that provides critical support for institutional alts managers seeking to develop products that adhere to compliance guidelines for the independent broker-dealer (IBD) and Registered Investment Advisor (RIA) channels, sees intensifying growth opportunities.

Interval Funds: The Growing Market That’s Turning Advisors on to Alts

As economic uncertainty continues to tame investment expectations, the market for interval funds and tender offer funds has grown into a fierce, $133 billion industry, 1 raising over $25 billion in capital last year alone. Interval funds are an increasingly popular allocation because they solve some of the structural and regulatory limitations associated with private funds while offering the potential to generate higher total returns…