Blue Vault Releases 5th Edition of its Renowned Nontraded REIT Full-Cycle Performance Study

February 8, 2018 | by Stacy Chitty | Blue Vault

Of the 130 nontraded REITs since 1990 which have raised capital, there have been 56 nontraded REITs that have fully liquidated in some manner. Since 2012, Blue Vault has dug deep to calculate total returns for 45 of these REITs. On Monday, February 12, Blue Vault will release the 5th edition of its Full-Cycle Performance Study, which will include the latest 11 full-cycle NTR liquidity events.  Blue Vault’s partnering Broker Dealers, sponsors, and subscribing financial advisors will receive access to this historic study at no cost.

Blue Vault not only calculates total returns to investors, but also compares shareholder returns to two custom benchmarks for each REIT based upon private portfolio returns (NCREIF) and traded REIT returns (FTSE-NAREIT), where each custom benchmark is adjusted for property types, property locations by region, and differences in leverage.

A few highlights from the study

• The average total assets over the lives of the 56 REITs was $1.27 billion
• 3 of the latest 11 full-cycle NTRs had negative average total returns
• For all 56 NTRs, the annualized total returns ranged from -9.28% to 20.52%
• Although in the analysis of the first 45 nontraded REITs none had liquidated via sale of their property portfolios, among the latest 11, 5 totally liquidated their portfolios and paid cash to their investors from those liquidations
• The median capital gain for all 56 NTRs was 4.95%
• Of the 56 total NTRs, 12 outperformed the publicly-traded FTSE-NAREIT custom benchmark
• Of the 56 NTRs, the first vintage of 17 full-cycle NTRs, which are also considered the older, legendary NTRs, on average performed better than the later four samples of full-cycle NTRs

See the Blue Vault Full-Cycle Performance Study on Monday, February 12, to find the full-cycle NTR average and median total returns, as well as how these total returns compare to returns on other indices including the NCREIF NPI, the FTSE-NAREIT All REIT Index, the S&P 500 and 10-Year Treasury returns.   

Dividend Capital DPF Renamed Black Creek Diversified Property Fund, Lowers Fees

September 6, 2017 | James Sprow | Blue Vault

Black Creek Diversified Property Fund Inc., a daily NAV REIT formerly known as Dividend Capital Diversified Property Fund, is making important changes to the company’s overall structure after receiving approval from shareholders to amend the charter and restructure the company’s share classes.

Besides changing its name to Black Creek Diversified Property Fund as of September 1, the company is capping and lowering certain underwriting compensation paid by shareholders, lowering the advisor’s asset management fee and eliminating the disposition fee, changing from a daily to monthly net asset valuation, revising the compensation paid to dealer manager Black Creek Capital Markets LLC (formerly Dividend Capital Securities LLC), and combining the share redemption program for each share class into a single program for all stockholders.

The company filed a new registration statement with the SEC on September 1 which was declared effective by the SEC on September 5, and it will begin offering Class T, Class D, and a new version of Class I shares of common stock to replace its Class A, Class W, and Class I shares. The company created a new class called Class S shares and formally designated its outstanding unclassified shares of common stock as Class E shares, which will continue to be free from class-specific expenses.

According to the Post Effective Amendment filed September 1:

Class T shares (formerly Class A shares) will include a 3 percent selling commission, a 0.50 percent dealer manager fee, and ongoing fees distribution fees of 0.85 percent.

Class D shares (formerly Class W shares) are for fee-based accounts and have no selling commission or dealer manager fees, but include an ongoing distribution fee of 0.25 percent.

Class I shares are for institutional investors and have no selling commission, dealer manager fees, or ongoing fees.

The new Class S shares will include a 3.5 percent selling commission, no dealer manager fee, and ongoing distribution fees of 0.85 percent.

Black Creek Diversified Property Fund, based in Denver, Colorado, invests in a portfolio of commercial real estate assets. The company’s original offering went effective in January 2006 and has raised more than $2.4 billion in investor equity through multiple follow-on offerings. The company owned 51 properties with an estimated fair value of approximately $2.3 billion as of June 30, 2017. The properties were located in 19 geographic markets in the United States, aggregating approximately 8.3 million net rentable square feet.

Learn more about Black Creek Group on the Blue Vault Sponsor Focus page.

Click Here

Blue Vault Presented at The National, the Annual NPH Educational Conference for INVEST, NPC and SII Advisors

Stacy H. Chitty, Blue Vault’s Managing Partner, presented, “Nontraded REITs are like Mules” Tuesday, August 22, 2017 at 2:10pm CDT at The National, the annual NPH Educational Conference for INVEST, NPC and SII Advisors.

Blue Vault participated at The National, the annual NPH Educational Conference for INVEST, NPC and SII Advisors on August 20-23, 2017 in Nashville, Tennessee, where Managing Partner, Stacy H. Chitty, provided a market update on alternative investments sold in the independent Broker Dealer securities industry. National Planning Holdings, Inc. is a participant in Blue Vault’s Broker Dealer Partnership Program (BDPP). Broker Dealers participating in Blue Vault’s partnership program receive Blue Vault’s fact-based, performance alternative investment research. This research is made available to the Broker Dealer’s financial advisors at no additional cost to the advisors. 26 industry Broker Dealers are Blue Vault partnership program participants. Participating in the BDPP is separate from subscribing to Blue Vault’s research.

To learn more about The National, click here.

View the BDPP Partners here.

Curious about becoming a Broker Dealer Partner or a supporting sponsor?

Email Brooke.Heffington@BlueVaultPartners.com or dial 678-456-4290.

Blue Vault Presented at Voya's VFA Alternatives Forum

Stacy H. Chitty, Blue Vault’s Managing Partner, presented, “Nontraded REITs are Like Mules” this week at the Voya Alts Forum.

Blue Vault participated at the Voya Alternative Investments Forum this past Wednesday in Houston, TX, where Managing Partner, Stacy H. Chitty, provided a market update on alternative investments sold in the independent Broker Dealer securities industry.  Voya is a participant in Blue Vault’s Broker Dealer Partnership Program (BDPP).  Broker Dealers participating in Blue Vault’s partnership program receive Blue Vault’s fact-based, performance alternative investment research.  This research is made available to the Broker Dealer’s financial advisors at no additional cost to the advisors.  26 industry Broker Dealers are Blue Vault partnership program participants.  Participating in the BDPP is separate from subscribing to Blue Vault’s research.

To learn more about the VFA Alternative Forum, click here.

View the BDPP participants here. 

Curious about becoming a Broker Dealer participant or a supporting sponsor?

Email Brooke.Heffington@BlueVaultPartners.com or dial 678-456-4290.

Blue Vaults' Third Annual Broker Dealer Educational Summit was held March 13-15, 2017 at the Ritz Carlton, Atlanta.

Blue Vault brings together the leading players to converse in an attempt to create what Blue Vault’s, Stacy Chitty, calls a “robust dialogue” says Chitty, “Usually change is good, and that’s a good thing, because change is what’s happening in our industry today.  We just believe it’s fundamentally important to create an environment where serious information can be exchanged, and where hard questions can be asked and discussed. That’s what occurs at the Blue Vault Summit. The Broker Dealer attendees have a load of responsibility on their shoulders. We just try to help facilitate healthy conversation.” 

See this years' Highlight Video

NTR Subscribers, the "Blue Vault Brief - 2016 Nontraded NTR Year In Review" is now available online! Log in to the Blue Vault website, this report can be found under "Subscriber-Only Research", then "Briefs - Years In Review".

BDC Subscribers, the "Blue Vault Brief - 2016 Nontraded BDC Year In Review" is now available online! Log in to the Blue Vault website, this report can be found under "Subscriber-Only Research", then "Briefs - Years In Review".

Blue Vault's first nontraded REIT NAV study is now available to NTR subscribers. Log in to the Blue Vault website and look under "Subscriber-Only Research" and "Nontraded REIT Studies".

Blue Vault’s Interval Fund and Nontraded CEF Review covers both interval funds and nontraded closed-end funds (CEFs). Strategies of these funds can range from real estate to hedge funds, so research on investment strategy is very important for this diverse set of alternative investments. The research covers key performance metrics, investment strategies, and the associated investment managers.

Blue Vault’s first Interval Fund and Nontraded CEF Review covers eight funds.

Interval Funds

• Bluerock Total Income+ Real Estate Fund
• Griffin Institutional Access Real Estate Fund
• Resource Real Estate Diversified Income Fund
• Versus Capital Multi-Manager Real Estate Fund
• Vertical Capital Income Fund

Nontraded CEFs

• FS Global Credit Opportunities Fund
• Priority Income Fund
• Trilinc Global Impact Fund

Some key considerations:

• There are approximately 50 registered and effective Interval Funds and Nontraded CEFs, which Blue Vault will increasingly cover
  • 32 Interval Funds
  • 18 Nontraded CEFs
• Find out the newest investment strategies and managers entering the market
• Size up the marketplace and opportunities

The first IF and CEF Review is Now Available. Go to Subscriber-Only Research in the menu at the top of this page, scroll down to Interval Funds and Nontraded CEFs.

Financial Advisors whose Broker Dealers are a Blue Vault Partner may add the IF and CEF Review to their current NTR Subscription for just $50.00. All other Financial Advisors may purchase the IF and CEF Review for $125.00 or add it to an existing Blue Vault subscription for $50.00. To purchase this new report, email Dawn McDaniel or call her at 678-456-4787.

If you are a sponsor, Broker Dealer, real estate investment company, investment bank, or any other entity other than a financial advisor with a retail book of business or a retail investor, please contact Brooke Heffington with Blue Vault by email or phone at 678-456-4290 for more information on pricing.

The Blue Vault Broker Dealer Educational Summit is an invitation only event.

Registration is open to all Sponsors and Broker Dealers who received an invitation.

Registration closes February 15th. Click here to register now.

Nontraded REITs with Limited Operating Results for Q3 2016 are Now Available on Blue Vault's Website!

Each quarter Blue Vault includes a table of all nontraded REITs that are active but have yet to raise significant equity in their respective public offerings or have yet to acquire more than three properties.

In some cases, a new nontraded REIT program will receive its initial equity funding and/or investment properties from the sponsor before significant amounts of common stock have been issued through the initial public offering. For example, NexPoint Multifamily Capital Trust, Inc., had acquired an interest in a property from the Sponsor in exchange for 434,783 shares of its Class A common stock on April 7, 2016, but as of November 28, 2016, had sold only $4.67 million of Class A common stock in its public offering.

In other cases, the initial capitalization of the nontraded REIT was received through a private placement prior to the registration of the public offering. This was the case for KBS Growth & Income REIT, Inc., which had received $76.8 million in its Private Offering as of September 30, 2016, but $0.9 million in its Public Offering.

An added feature in this Q3 2016 Blue Vault Nontraded Industry Review is a new initial public offering (IPO) that has not yet been declared effective by the SEC. Rodin Global Property Trust, Inc., whose sponsor Cantor Fitzgerald Investors, LLC, is entering the nontraded REIT sector for the first time, filed an S-11 with the SEC on October 17, 2016, to offer up to $1.25 billion in Class A, Class T and Class I common stock. The SEC staff will review the S-11 and identify any disclosures that appear to conflict with SEC rules or applicable accounting standards, and can ask for revisions to the prospectus. Once any staff comments have been addressed, the SEC will issue an order declaring the registration statement “effective.” This means the company can proceed with the IPO.

We trust that the Nontraded REITs with Limited Operating Results page in our Review, which completely rounds out our quarterly review of all nontraded REITs, helps our clients understand the nontraded REIT industry as a whole, as well as where each specific nontraded REIT stands in its LifeStage.

This single page from our report, titled, "Nontraded REIT Individual Reports", is now available on the on the Blue Vault Website. A list of REITs included is as follows:

Nontraded REITs with Limited Operating Results

• Blackstone Real Estate Income Trust
• CNL Healthcare Properties II, Inc.
• Cole Office & Industrial (CCIT III) REIT, Inc.
• Hartman vREIT XXI, Inc.
• Industrial Logistics Realty Trust, Inc.
• KBS Growth & Income REIT, Inc.
• Lightstone Real Estate Income Trust, Inc.
• NexPoint Multifamily Capital Trust, Inc.
• NorthStar/RXR New York Metro Real Estate, Inc.
• Resource Apartment REIT III, Inc.
• Resource Innovation Office REIT, Inc.
• Steadfast Apartment REIT III, Inc.

New Offerings Not Effective - NEW!

• Rodin Global Property Trust, Inc.

You may access this page by logging into the Blue Vault Website and clicking on "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q3. Look for the file named, "NTRs With Limited Operations Q3 2016."

The full NTR review was published today (December 19, 2016).

Blue Vault research is available to paid Subscribers only. If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

The Full 3rd Quarter 2016 Nontraded REIT Review Has Been Posted to Blue Vault's Website

Blue Vault is pleased to provide you with our 3rd Quarter 2016 Nontraded REIT Industry Review. We began posting individual REIT reports from the quarterly Review to the Blue Vault website as soon as possible after the SEC filings, well before all of the REIT data were compiled, helping to shorten the time subscribers wait to receive our 3rd quarter nontraded REIT reports. Blue Vault continues to work to improve our processes to shorten the release dates and publishing cycle as much as possible for the benefit of our subscribers.

All Individual REIT pages have been posted to the website.

You may access the report by logging in to the Blue Vault Website and clicking on "Subscriber-Only Research", "Nontraded REITs", then "NTR Review" links on the toolbar at the top of the home page. Scroll down to 2016.

Blue Vault research is available to paid Subscribers only. If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

All remaining 3rd Quarter 2016 Nontraded REIT Review individual pages have now been posted to Blue Vault's website.

• American Realty Capital Healthcare REIT III, Inc.
• Carey Watermark Investors 2 Incorporated
• Carey Watermark Investors Incorporated
• Corporate Property Associates 17 – Global, Inc.
• Corporate Property Associates 18 – Global, Inc.
• Griffin-American Healthcare REIT III, Inc.
• Griffin-American Healthcare REIT IV, Inc.
• Hartman Short Term Income Properties XX, Inc.
• Healthcare Trust, Inc.
• Industrial Property Trust, Inc.
• Jones Lang LaSalle Income Property Trust, Inc.
• KBS Real Estate Investment Trust III, Inc.
• Lightstone Value Plus Real Estate Investment Trust III, Inc.
• MVP REIT II, Inc.
• MVP REIT, Inc.
• Strategic Realty Trust, Inc.

Previously, 47 3rd Quarter 2016 Nontraded REIT Review individual pages were posted to Blue Vault's website.

• American Finance Trust, Inc.
• American Realty Capital Global Trust II, Inc.
• American Realty Capital Hospitality Trust, Inc.
• American Realty Capital New York City REIT, Inc.
• American Realty Capital–Retail Centers of America, Inc.
• Behringer Harvard Opportunity REIT I, Inc.
• Behringer Harvard Opportunity REIT II, Inc.
• Carter Validus Mission Critical REIT II, Inc.
• Carter Validus Mission Critical REIT, Inc.
• CNL Healthcare Properties, Inc.
• CNL Lifestyle Properties, Inc.
• Cole Credit Property Trust IV, Inc.
• Cole Credit Property Trust V, Inc.
• Cole Office & Industrial (CCIT II) REIT, Inc.
• Cole Real Estate Income Strategy (Daily NAV), Inc.
• Dividend Capital Diversified Property Fund Inc.
• Griffin Capital Essential Asset REIT II, Inc.
• Griffin Capital Essential Asset REIT, Inc.
• Hines Global REIT II, Inc.
• Hines Global REIT, Inc.
• Hines Real Estate Investment Trust, Inc.
• Inland Real Estate Income Trust, Inc.
• Inland Residential Properties Trust, Inc.
• InvenTrust Properties
• KBS Legacy Partners Apartment REIT, Inc.
• KBS Real Estate Investment Trust II, Inc.
• KBS Real Estate Investment Trust, Inc.
• KBS Strategic Opportunity REIT II, Inc.
• KBS Strategic Opportunity REIT, Inc.
• Lightstone Value Plus Real Estate Investment Trust II, Inc.
• Lightstone Value Plus Real Estate Investment Trust, Inc.
• Moody National REIT I, Inc.
• Moody National REIT II, Inc.
• NorthStar Healthcare Income, Inc.
• NorthStar Real Estate Income II, Inc.
• NorthStar Real Estate Income Trust, Inc.
• Phillips Edison Grocery Center REIT I Inc.
• Phillips Edison Grocery Center REIT II, Inc.
• Resource Real Estate Opportunity REIT II, Inc.
• Resource Real Estate Opportunity REIT, Inc.
• RREEF Property Trust, Inc.
• Sentio Healthcare Properties, Inc.
• Steadfast Apartment REIT, Inc.
• Steadfast Income REIT, Inc.
• Strategic Storage Growth Trust, Inc.
• Strategic Storage Trust II, Inc.
• Summit Healthcare REIT, Inc.

You may access these pages by logging into the Blue Vault Website and clicking on "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q3.

The full NTR review will be published the week of December 19th.

Blue Vault research is available to paid Subscribers only. If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

All 3rd Quarter 2016 Nontraded BDC Review individual pages have been posted to Blue Vault's website.

• Business Development Corporation of America
• Carey Credit Income Fund
• CION Investment Corporation
• Corporate Capital Trust II
• Corporate Capital Trust, Inc.
• FS Energy & Power Fund
• FS Investment Corporation II
• FS Investment Corporation III
• FS Investment Corporation IV
• HMS Income Fund, Inc.
• NexPoint Capital, Inc.
• Sierra Income Corporation
• Terra Income Fund 6, Inc.

You may access these pages by logging into the Blue Vault Website and clicking on "Subscriber-Only Research", "Nontraded Business Development Companies", then "BDC Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q3.

Blue Vault research is available to paid Subscribers only. If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

Thirty-Eight Q3 2016 Nontraded REIT Individual Pages Have Been Posted to the Blue Vault Website and are available for you to download. The remaining twenty-six will be posted over the next several days.

The full Q3 2016 Nontraded REIT Industry Review will be published the week of December 12th.

You may access these pages by logging into the Blue Vault Website and clicking on "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q3.

Blue Vault research is available to paid Subscribers only. If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

The first 5 3rd Quarter 2016 Nontraded BDC Review individual pages have been posted to Blue Vault's website.

• Business Development Corporation of America
• CĪON Investment Corporation
• NexPoint Capital, Inc.
• Sierra Income Corporation
• Terra Income Fund 6, Inc..

You may access these pages by logging into the Blue Vault Website and clicking on "Subscriber-Only Research", "Nontraded Business Development Companies", then "BDC Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q3.

Additional pages will be posted daily over the next week and regular Special Announcements will be sent to inform you. The full BDC review will be published the week of December 12th.

Blue Vault research is available to paid Subscribers only. If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

An additional nine 3rd Quarter 2016 Nontraded REIT Review individual pages have been posted to Blue Vault's website.

• American Realty Capital Global Trust II, Inc.
• American Realty Capital Hospitality Trust, Inc.
• American Realty Capital-Retail Centers of America, Inc.
• Carter Validus Mission Critical REIT, Inc.
• KBS Real Estate Investment Trust II, Inc.
• Lightstone Value Plus Real Estate Investment Trust II, Inc.
• Moody National REIT II, Inc.
• Phillips Edison Grocery Center REIT I Inc.
• Phillips Edison Grocery Center REIT II, Inc.

Previously, eight 3rd Quarter 2016 Nontraded REIT Review individual pages were posted to Blue Vault's website.

• CNL Healthcare Properties
• Dividend Capital Diversified Property Fund
• Griffin Capital Essential Asset REIT
• Hines Global REIT II
• Hines Global REIT
• Inland Real Estate Income Trust
• NorthStar Real Estate Income Trust
• Strategic Storage Growth Trust

You may access these pages by logging into the Blue Vault Website and clicking on "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q3.

Additional pages will be posted daily over the next week and regular Special Announcements will be sent to inform you. The full NTR review will be published the week of December 12th.

Blue Vault research is available to paid Subscribers only. If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

The First EIGHT Q3 2016 NTR Individual Pages are Now Available on Blue Vault's Website!

• CNL Healthcare Properties Q3 2016
• Dividend Capital Diversified Property Fund Q3 2016
• Griffin Capital Essential Asset REIT Q3 2016
• Hines Global REIT II Q3 2016
• Hines Global REIT Q3 2016
• Inland Real Estate Income Trust Q3 2016
• NorthStar Real Estate Income Trust Q3 2016
• Strategic Storage Growth Trust Q3 2016

You may access these pages by logging into the Blue Vault Website and clicking on "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q3.

If you are already logged in, click here for Subscriber-Only Research.

Additional pages will be posted daily over the next two weeks and regular Special Announcements will be sent to inform you. The full NTR review will be published the week of December 12th.

Blue Vault research is available to paid Subscribers only. If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

Nontraded REIT Fee Study Now Available!

What is it?

The first Blue Vault Nontraded REIT Fees Study provides in-depth analysis of all fees associated with currently offered nontraded REIT investments, including definitions of the fees, how the fees impact shareholder returns, and a complete data set with each of the REIT's share class fees as well as ranges, averages, and medians for the industry.

This study is the first of its kind, a comprehensive view of nontraded REIT fee structures, and the first to analyze the impacts of those fees on eventual shareholder returns. As the industry evolves with new share classes and class-specific expense allocations, such as the shareholder servicing fees assessed to Class T shares, it is more important than ever to understand how fees are calculated and assessed and how they will impact shareholders. The study includes both a glossary of terms as well as extensive tables and appendices with specific examples from the prospectuses of nontraded REITs. It also examines historical trends from closed offerings to identify how current offerings compare to those of the past.

How do you get it?

The Nontraded REIT Fee Study is available now, at no additional charge to new and existing financial advisors and Broker Dealer Partners subscribing to the NTR Review. To access the study, once you are logged in to the Blue Vault Website, click on Subscriber-Only Research, then Nontraded REIT Studies.

If you are a Financial Advisor and are not currently subscribing to the NTR Review, please contact Dawn McDaniel with Blue Vault by email or phone at 678-456-4787 for more information on pricing.

If you are a product sponsor, please contact Brooke Heffington with Blue Vault by email or phone at 678-456-4290 for more information on pricing.

Broker Dealers and other firms, including real estate companies and investment banks, should contact Betsy Ricks by email or by phone at 678-456-4640.

The week of October 24th, Blue Vault will publish its first ever Nontraded REIT Fee Study.

The first Blue Vault Nontraded REIT Fees Study provides in-depth analysis of all fees associated with nontraded REIT investments currently offered, including definitions of the fees, how the fees impact shareholder returns, and a complete data set with each of the REIT’s share class fees as well as ranges, averages, and medians for the industry.

This study is the first of its kind to be a comprehensive view of the fee structures of nontraded REIT offerings, and the first to analyze the impacts of those fees on eventual shareholder returns. As the industry evolves with new share classes and class-specific expense allocations, such as the shareholder servicing fees assessed to Class T shares, it is more important than ever to understand how fees are calculated, assessed and will impact shareholders. The study provides both a glossary of terms as well as extensive tables and appendices with specific examples from the prospectuses of nontraded REITs. It also examines historical trends from closed offerings to identify how current offerings compare to those of the past.

Soon following, Blue Vault will publish the first Nontraded Closed-End Fund Review.

The first Nontraded Closed-End Fund Review will include an in depth analysis on approximate seven funds, in a format similar to the Blue Vault Nontraded BDC Review. Look for more details and pricing information over the coming weeks.

Second Quarter 2016 Nontraded BDC and Nontraded REIT Industry Reviews are both available online. Be sure to login to view the latest research and updates on REITs and BDCs.

August 2016 Alternative Investment Monthly Sales Are In!

August sales have picked up from those reported for July by 20% for REITs and over 36% for BDCs. August nontraded REIT sales exceeded both June and May numbers, increasing by over $62 million over the averages for those two months. BDC sales had their best recent month in June with $120.6 million and August fell short of that total with $113.1 million.

Read the full story here...

Four Additional 2nd Quarter 2016 Nontraded REIT Review Individual Pages Have Been Posted to Blue Vault's Website

Please Note: The FULL Q2 2016 Nontraded REIT Review report will be complete and posted next week. A Special Announcement will be made when the report is available for download.

Four additional 2nd Quarter 2016 Nontraded REIT Review individual pages have been posted to Blue Vault's website.

• Cole Credit Property Trust IV Q2 2016
• KBS Real Estate Investment Trust III Q2 2016
• Phillips Edison Grocery Center REIT II Q2 2016
• Strategic Realty Trust Q2 2016

Previously, 41 2nd Quarter 2016 Nontraded REIT Review individual pages were posted to Blue Vault's website.

• American Finance Trust Q2 2016
• American Realty Capital Global Trust II Q2 2016
• American Realty Capital Healthcare REIT III Q2 2016
• American Realty Capital Hospitality Trust Q2 2016
• American Realty Capital New York City REIT Q2 2016
• American Realty Capital Retail Centers of America Q2 2016
• Apple REIT Ten Q2 2016
• Behringer Harvard Opportunity REIT II Q2 2016
• Carter Validus Mission Critical REIT Q2 2016
• CNL Growth Properties Q2 2016
• CNL Healthcare Properties Q2 2016
• CNL Lifestyle Properties Q2 2016
• Corporate Property Associates 17 Q2 2016
• Corporate Property Associates 18 Q2 2016
• Griffin Capital Essential Asset REIT II Q2 2016
• Griffin-American Healthcare REIT III Q2 2016
• Hartman Short Term Income Properties XX Q2 2016
• Hines Global REIT II Q2 2016
• Hines Global REIT Q2 2016
• Hines Real Estate Investment Trust Q2 2016
• Industrial Property Trust Q2 2016
• Inland Real Estate Income Trust Q2 2016
• Inland Residential Properties Trust Q2 2016
• InvenTrust Properties Q2 2016
• KBS Legacy Partners Apartment REIT Q2 2016
• KBS Real Estate Investment Trust II Q2 2016
• Lightstone Value Plus Real Estate Investment Trust III Q2 2016
• Moody National REIT I Q2 2016
• Moody National REIT II Q2 2016
• MVP REIT II Q2 2016
• MVP REIT Q2 2106
• NorthStar Real Estate Income II Q2 2016
• Phillips Edison Grocery Center REIT I Q2 2016
• Realty Finance Trust Q2 2016
• Resource Real Estate Opportunity REIT II Q2 2016
• Resource Real Estate Opportunity REIT Q2 2016
• Steadfast Apartment REIT Q2 2016
• Steadfast Income REIT Q2 2016
• Strategic Storage Trust II Q2 2016
• Strategic Storage Growth Trust Q2 2016
• Summit Healthcare REIT Q2 2016

Click Here

Subscribers Access

You may access these pages by logging in to the Blue Vault Website (www.bluevaultpartners.com) and clicking on "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q2.

If you do not have a current subscription, email or call Dawn McDaniel at 877-256-2304, Option 2 or directly at 678-456-6787, to see how you can get access today!

24 NEW 2nd Quarter 2016 Nontraded REIT Review Individual Pages Have Been Posted to Blue Vault's Website

Six 2nd Quarter 2016 Nontraded REIT Review Individual Pages Have Been Posted to Blue Vault's Website

The first SIX 2nd Quarter 2016 Nontraded REIT Review individual pages have been posted to Blue Vault's website.

• Apple REIT Ten Q2 2016
• CNL Growth Properties Q2 2016
• Corporate Property Associates 17 Q2 2016
• InvenTrust Properties Q2 2016
• KBS Legacy Partners Apartment REIT Q2 2016
• Summit Healthcare REIT Q2 2016

Subcribers Click Here

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Subscribers Access

You may access these pages by logging in to the Blue Vault Website (www.bluevaultpartners.com) and clicking on "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q2.

If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

ARC Global Trust II and Global Net Lease Propose Merger Terms of 2.27 Shares of GNL Per Share of ARC Global Trust II

August 9, 2016 | by Beth Glavosek | Blue Vault

In a move intended to grow share value more accretively, improve diversification, and enhance portfolio metrics, American Realty Capital (ARC) Global Trust II has announced its intention to merge with Global Net Lease. According to a recent investor presentation, the deal would purportedly offer the benefits of increased scale and cost savings.

The merger agreement stipulates that each outstanding share of common stock, including restricted shares of common stock, of ARC Global Trust II will be converted into the right to receive 2.27 shares of common stock of GNL, plus a per-share dividend of $1.61 in cash upon completion of the transaction.

Blue Vault notes that if both GNL and ARC Global Trust II shareholders approve the deal, it will qualify as a full-cycle liquidity event for ARC Global Realty Trust II, shares of which originally sold for $25 per share.

As of close of business on August 5, GNL shares closed trading at $8.63. Based on the calculation provided in ARC Global Trust II’s filing, this would equate to a $21.20 value per share for stockholders at the close of the transaction. If approved, the transaction will close in the fourth quarter of 2016. The actual value of the merger to ARC Global REIT II shareholders would depend upon the price of GNL shares at that time.

1st Quarter 2016 Nontraded BDC Review

The full review is now available on the Blue Vault Website.

Subscribers may access this report by logging in to the Blue Vault Website  and clicking on "Subscriber-Only Research", "Nontraded BDCs", then "BDC Review" link on the toolbar at the top of the home page. Scroll down to 2016.

All remaining 1st Quarter 2016 Nontraded BDC Review individual pages have been posted to Blue Vault's website:

• CION Investment Corporation Q1 2016
• Credit Suisse Park View BDC Q1 2016
• FS Energy & Power Fund Q1 2016
• FS Investment Corporation II Q1 2016
• FS Investment Corporation III Q1 2016
• HMS Income Fund Q1 2016
• Sierra Income Corporation Q1 2016

Three previously posted individual pages are:

• Business Development Corporation of America Q1 2016
• Carey Credit Income Fund Q1 2016
• Corporate Capital Trust Q1 2016

Subscribers Access

You may access these pages by logging in to the Blue Vault Website (www.bluevaultpartners.com) and clicking on "Subscriber-Only Research", "Nontraded BDCs", then "Nontraded BDC Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q1.

If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

Thirteen additional 1st Quarter 2016 Nontraded REIT Review Individual Pages Have Been Posted to Blue Vault's Website

• American Realty Capital Global Trust II Q1 2016
• American Realty Capital Healthcare REIT III Q1 2016
• Carter Validus Mission Critical REIT Q1 2016
• Carter Validus Mission Critical REIT II Q1 2016
• Cole Credit Property Trust V Q1 2016
• CNL Healthcare Properties Q1 2016
• CNL Lifestyle Properties Q1 2016
• Griffin-American Healthcare REIT III Q1 2016
• Inland Real Estate Income Trust Q1 2016
• Jones Lang LaSalle Income Property Trust Q1 2016
• Lightstone Value Plus Real Estate Investment Trust III Q1 2016
• MVP REIT II Q1 2016
• RREEF Property Trust Q1 2016

Twenty-six previously posted pages are:

• American Finance Trust Q1 2016
• American Realty Capital–Retail Centers of America Q1 2016
• American Realty Capital Hospitality Trust Q1 2016
• American Realty Capital New York City REIT Q1 2016
• Behringer Harvard Opportunity REIT I Q1 2016
• Behringer Harvard Opportunity REIT II Q1 2016
• Carey Watermark Investors Incorporated Q1 2016
• Carey Watermark Investors 2 Incorporated Q1 2016
• CNL Growth Properties Q1 2016
• Cole Office & Industrial (CCIT II) REIT Q1 2016
• Corporate Property Associates 17 – Global Q1 2016
• Dividend Capital Diversified Property Fund Q1 2016
• Griffin Capital Essential Asset REIT II Q1 2016
• Hartman Short Term Income Properties XX Q1 2016
• Hines Global REIT Q1 2016
• Hines Global REIT II Q1 2016
• Hines Real Estate Investment Trust Q1 2016
• Industrial Property Trust Q1 2016
• KBS Legacy Partners Apartment REIT Q1 2016
• KBS Strategic Opportunity REIT II Q1 2016
• Moody National REIT II Q1 2016
• Phillips Edison Grocery Center REIT I Q1 2016
• Steadfast Apartment REIT Q1 2016
• Steadfast Income REIT Q1 2016
• Strategic Storage Growth Trust Q1 2016
• Strategic Storage Trust II Q1 2016

Subscribers Access

You may access these pages by logging in to the Blue Vault Website and clicking on "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q1.

If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

Q1 2016 Nontraded REIT Review Update

May 23, 2016 07:30 ET

Resource America, Inc. Signs Definitive Agreement to Be Acquired by C-III Capital Partners LLC

Four 1st Quarter 2016 Nontraded REIT Review individual pages have been posted to Blue Vault's website.

• CNL Growth Properties Q1 2016
• Corporate Property Associates 17 - Global Q1 2016
• Steadfast Apartment REIT Q1 2016
• Steadfast Income REIT Q1 2016

Subscribers Access

You may access these pages by logging in to the Blue Vault Website (www.bluevaultpartners.com) and clicking on the "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2016, then 2016 Q1.

If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

Twelve 4th Quarter 2015 Nontraded REIT Individual Pages have now been posted to the Blue Vault website. Stay tuned for more individual pages to be posted throughout the week.

• American Finance Trust Q4 2015
• American Realty Capital - Retail Centers of America Q4 2015
• American Realty Capital New York City REIT Q4 2015
• Apple REIT Ten Q4 2015
• Carter Validus Mission Critical REIT Q4 2015
• CNL Growth Properties Q4 2015
• Griffin Capital Essential Asset REIT Q4 2015
• Hines Real Estate Investment Trust Q4 2015
• KBS Real Estate Investment Trust I Q4 2015
• KBS Real Estate Investment Trust II Q4 2015
• KBS Real Estate Investment Trust III Q4 2015
• KBS Strategic Opportunity REIT Q4 2015

Subscribers Access

You may access these pages by logging in to the Blue Vault Website (www.bluevaultpartners.com) and clicking on the "Subscriber-Only Research", "Nontraded REITs", then "Nontraded REIT Individual Reports" links on the toolbar at the top of the home page. Scroll down to 2015, then 2015 Q4.

If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

2015 Annual Brief Nontraded REIT Year in Review

Coming after a record year for fundraising in the nontraded BDC industry, 2015 was not expected to match the over $6 billion in new equity sales that 2014 held. Our original expectation was for the industry to raise at least $5 billion in 2015. Due to a slowdown in sales overall and one of the largest capital raising sponsors, AR Capital, leaving the industry, the capital raise for BDCs saw a more than 30% decline in sales.

• The industry raised an estimated $4.3 billion.
• There were five new offerings which equaled the most since 2012.

This report will summarize and illustrate the most important trends in the nontraded BDC industry observed in 2015.

• Capital Raise: Total Industry and By Sponsor
• Sponsor Trends and New Fund Offerings
• Total Returns of Nontraded BDCs
• Distribution Yields and Trends
• Innovations in Fund Structures and Fees

The 2015 BDC Brief is now available to all Blue Vault Subscribers. Log in to BlueVaultPartners.com and click on "Subscriber-Only Research" in the top menu and choose "Briefs - Years In Review" from the drop-down list.

Take a Look

Not currently a Blue Vault subscriber?

Call Dawn McDaniel at 877-256-2304, option 2, to find out how become one today!

Summary of Topics

This years' report summarizes and illustrates the most important trends in the nontraded REIT industry observed in 2015.

• Macro View: What macroeconomic trends occurred in 2015, and how might that affect real estate investments and nontraded REITs?
• Capital Markets Recap: Which sponsors raised the most capital in 2015 and what are the trends in new offerings entering the market?
• Full Cycle Events: What were the key drivers behind the eight full-cycle events during 2015 and will this trend continue into 2016?
• New Offering Structures: How is the industry adapting to regulatory changes in new product structures and lower fees?
• Changes in Distributions: How many REITs experienced changes in their distribution rates over the past seven years and what were the key drivers behind those increases or decreases?
• Status of the Industry: Overall, is the industry experiencing a period of growth and innovation or going through a period of consolidation as it relates to new product introductions, new nontraded REIT sponsors, and new product innovation?
• New FINRA Rulings and Impact: How will the new reporting standards approved by the SEC in October, 2015 and released by FINRA in January, 2015 impact the customer account statements and nontraded REIT reporting in the future?

The 2015 NTR Brief is now available to all Blue Vault Subscribers. Log in to BlueVaultPartners.com and click on "Subscriber-Only Research" in the top menu and choose "Briefs - Years In Review" from the drop-down list.

Blue Vault Launches Third-Party Due Diligence Platform

Cumming, GA – January 20, 2016 – Blue Vault Partners, LLC, has announced today the launch of a third-party due diligence platform, Blue Vault Due Diligence Services, LLC (“BVDDS”), to complement its existing research platform on nontraded REITs and nontraded Business Development Companies.

BVDDS will offer unique perspectives to help strengthen the due diligence process for independent Broker Dealers as they review alternative investment products. BVDDS’s approach will include both traditional methods and performance indicators to assist in the examination of such products.

Scott Brown, Managing Partner, states that “with the changing regulatory environment and increased scrutiny of alternative investments, now is the time to enhance the scope of due diligence. BVDDS is well-positioned to provide Broker Dealers with this necessary resource.”

Brown served as Senior Vice President – Asset Management at Signature Office REIT from 2014-2015, where he managed a 2.6 million square foot portfolio of 15 Class A office properties with an aggregate purchase price of more than $607 million. Prior to that, Brown held various positions at Wells Real Estate Funds from 2001-2013, with an emphasis on asset management. Brown’s other responsibilities included acquisition due diligence, leasing, and portfolio management. Brown is a Certified Public Accountant in Georgia and holds the CCIM (Certified Commercial Investment Member) designation.

BVDDS Managing Partner, Alan Royalty served as Vice President – Banking, Finance and Risk Management at Signature Office REIT from 2014-2015, where he was responsible for all banking, finance, portfolio tenant credit, and risk management activities. At Wells Real Estate Funds, Royalty oversaw all due diligence activities for Wells-sponsored investment products with Broker Dealers and third-party consultants from 2006-2013. Royalty’s additional responsibilities from 2002-2013 included tenant credit analysis, insurance, and risk management in support of the real estate group. Royalty is a Certified Public Accountant in Georgia and holds FINRA Series 7 and 63 securities licenses.

Royalty adds, “Scott and I believe that our complementary skill sets will deliver value to Broker Dealers as they perform due diligence research on alternative investments. Scott’s extensive real estate experience coupled with my experience in corporate finance, due diligence, and risk management make us a solid team. We are excited about working with Stacy Chitty in this new venture.”

Stacy Chitty, founder of Blue Vault Partners, LLC, believes Blue Vault can help make a difference. “With so much change happening in the industry, now is a good time to reevaluate how due diligence can be better applied to alternative investment offerings,” he says. “BVDDS is a natural extension for Blue Vault, as we’ve been providing research for more than six years now. We believe there’s more that can be done to provide insight into alternative investments.”

About Blue Vault

Founded in 2009, Blue Vault’s mission is to provide the most in-depth and thorough research available on alternative investments to help educate financial advisors and protect investors. We believe that transparency is the key to financial knowledge, and we’re committed to providing high-quality, valuable information to the investment community.

Blue Vault Due Diligence Services, LLC
407 East Maple Street
Suite 305
Cumming, GA  30040
877-256-2304

Blue Vault's 3rd Quarter 2015 BDC Industry Review has been released and posted to Blue Vault's website.

The 3rd Quarter 2015 Nontraded REIT Industry Review was released earlier this week.

Blue Vault continuously strives to provide our customers with the best nontraded REIT and BDC research performance reporting available. You can count on Blue Vault to provide you with the fact-based transparency you need and deserve.

Thank you for your continued support and valuable feedback.

The Blue Vault Team

Your source for enhanced transparency and nontraded investment research.

If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

Blue Vault's 3rd Quarter 2015 Nontraded REIT Industry Review has been released and posted to Blue Vault's website.

The 3rd Quarter 2015 Nontraded BDC Industry Review will be released later this week.

Blue Vault continuously strives to provide our customers with the best nontraded REIT and BDC research performance reporting available. You can count on Blue Vault to provide you with the fact-based transparency you need and deserve.

Thank you for your continued support and valuable feedback.

The Blue Vault Team

Your source for enhanced transparency and nontraded investment research.

The following Q3 2015 Nontraded REIT Individual Reports have been posted to the Blue Vault Website:

• American Realty Capital New York City REIT
• CNL Healthcare Properties
• KBS Real Estate Investment Trust II 
• KBS Real Estate Investment Trust III 
• Phillips Edison Grocery Center REIT I 
• Steadfast Income REIT 

The following Q3 2015 Nontraded REIT Individual Reports were posted November 20th:

• Apple REIT, Ten, Inc.
• Corporate Property Associates 17 - Global, Inc.
• Global Income Trust, Inc.
• Griffin Capital Essential Asset REIT II, Inc.
• Jones Lang Lasalle Income Property Trust, Inc.
• KBS Legacy Partners Apartment REIT, Inc.
• KBS Real Estate Investment Trust, Inc.
• KBS Strategic Opportunity REIT, Inc.
• KBS Strategic Opportunity REIT II, Inc.
• Sentio Healthcare Properties, Inc.
• Summit Healthcare REIT, Inc.

Subscribers Access

You may access these pages by logging in to the Blue Vault Website (www.bluevaultpartners.com) and clicking on the blue, "Research" link in the right side of the toolbar at the top of the home page.

Choose "Nontraded REIT", then "Individual Reports by Quarter/Year", then "2015 Q3".

If you do not have a current subscription, call Dawn McDaniel at 877-256-2304, Option 2 to see how you can get access today!

AR Capital, the non-traded alternative investment sponsor founded by Nicholas Schorsch, will stop offering and selling new investment products after December 31st. The company says it will continue to manage the $19 billion of assets within its existing investment programs.

The affected offerings include: Business Development Corporation of America II, ARC Healthcare Trust III, New York City REIT II, ARC Hospitality Trust and ARC Global Trust II.

View full story here...

Cetera Financial Group has suspended sales of all AR Capital-sponsored investment offerings through their entire broker-dealer network, including First Allied Securities, Girard Securities, Investors Capital, VSR Financial Services, and The Legend Group. Cetera, the nation’s second largest independent broker-dealer by registered representative count, is the crown jewel of beleaguered RCS Capital Corp. (NYSE: RCAP), which also owns the managing broker-dealer of AR Capital’s offerings. Both RCS and AR Capital were founded by Nicholas Schorsch and his partners, including Michael Weil, who serves as the chief executive officer and a member of the board of directors of RCS.

View full article on the DI Wire here...