ExchangeRight, one of the nation’s leading providers of diversified real estate DST and REIT investments, has announced the company’s Essential Income REIT is now being tracked and reported on by Blue Vault. Blue Vault’s platform is committed to improving transparency in the Alternative Investment industry with in-depth research to help educate financial advisors and protect investors, including regular reports on non-traded REITs, private offerings, and more.
Blue Vault’s quarterly reporting will give advisors convenient access to valuable performance insights about the Essential Income REIT on an ongoing basis and compare it alongside other offerings tracked by the research firm. Blue Vault ranks performance profits of REITs based on Operating Performance, Financing Outlook, and Cumulative Modified Funds from Operations Payout. A summary from the second quarter report on the Essential Income REIT is presented below:
1.Operating Performance: The Essential Income REIT has a “High” 12-month average Return on Assets (“ROA”), above the median ROA for all non-traded REITs for the previous four quarters. According to the report, “at its current cost of debt and level of borrowing, [the Essential Income REIT’s] use of debt is contributing to increased returns for shareholders.”
2.Financing Outlook: Blue Vault reports that the Essential Income REIT has a lower need for financing, citing that the REIT’s interest coverage ratio “exceeds the 2.0x benchmark and the REIT does not have more than 20% of debt maturing within two years.” The Essential Income REIT has 100% fixed-rate financing.
3.Cumulative MFFO Payout: The Essential Income REIT’s Modified Funds from Operations (“MFFO”) since inception “exceeds the cumulative cash distributions to common shareholders.” Considering this, Blue Vault concludes that cash distributions are generated from the REIT’s real estate operations and “trends suggest the distributions can be maintained.”
Warren Thomas, a managing partner at ExchangeRight, shared that this reporting relationship will help educate advisors about the Essential Income REIT’s successful performance to date, broadening its reach to more investors who need the kind of stable income that the REIT has historically generated.
“Blue Vault’s research is an industry standard for a reason, so we are excited that the Essential Income REIT’s performance will be tracked and analyzed by them going forward,” Thomas said. “We believe that the REIT’s inclusion in Blue Vault’s reporting will help to demonstrate the offering’s strong positioning in the market, providing third-party confirmation of how it favorably compares to other non-traded REITs in the industry.”
To view Blue Vault’s full second quarter report, please visit the Resources section of ExchangeRight’s Class A website for broker-dealers, registered representatives, and their investors, or the Resources section of ExchangeRight’s Class I website for RIAs, advisors, family offices, institutions, and their investors.
ExchangeRight and its affiliates’ vertically integrated platform features more than $5.7 billion in assets under management that are diversified across over 1,200 properties, and 23 million square feet throughout 47 states. ExchangeRight pursues its passion to empower people to be secure, free, and generous by providing REIT, fund, and 1031 DST portfolios that target secure capital, stable income, and strategic exits, all of which have historically met or exceeded investor projections since ExchangeRight’s inception. The company structures and manages net-leased portfolios of assets backed primarily by investment-grade corporations that successfully operate in the necessity-based retail and healthcare industries, as well as diversified value-add portfolios of inline and outparcel retail properties shadow-anchored by strong-performing grocery tenants. Past performance does not guarantee future results. Please visit www.exchangeright.com for more information.
About Blue Vault
Founded in 2009, Blue Vault is committed to providing the most in-depth and thorough research on Alternative Investments to help educate financial advisors and help protect investors. Blue Vault improves transparency by providing access to valuable performance information buried deep inside financial statements and filings, and often difficult to obtain. It is the company’s mission to provide its subscribers with the factual performance metrics, from beginning to end, needed to make better informed decisions concerning non-traded REITs, BDCs, Closed-End Funds, Interval Funds, and Private Offerings. Blue Vault helps educate financial advisors and protect investors by providing the transparency the industry has lacked in the past, educating investors on the true performance of these investments.
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