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What is the median debt ratio for open and closed nontraded REIT programs?

What is the median debt ratio for open and closed nontraded REIT programs?

July 19, 2018

Answer: The median debt ratio for all open nontraded REIT programs as of March 31, 2018, was 39%, compared to a median debt ratio of 45% as of March 31, 2017.  The median debt ratio for all closed nontraded REIT programs as of March 31, 2018, was 51%, compared to a median debt ratio of 48% as of March 31, 2017.

Which three nontraded REITs have the most total assets?

July 5, 2018

Answer: As of March 31, 2018, among all nontraded REITs, Blackstone Real Estate Income Trust, Inc. had the most total assets at $6.95 billion. Next was Cole Credit Property Trust IV, Inc. at $4.70 billion in total assets. Ranking third in total assets among nontraded REITs was Corporate Property Associates 17 - Global Incorporated at $4.59 billion.

What was the total nontraded REIT distributions payout in Q1 2018?

June 20, 2018

Answer: Total distributions paid by 56 nontraded REITs in Q1 2018 was $1.307 billion. Of that total, Carter Validus Mission Critical REIT paid $588.4 million via special liquidating distributions. Excluding Carter Validus Mission Critical REIT from total distributions paid by 55 nontraded REITs in Q1 2018 results in a total of $720.6 million compared to Q1 2017’s $659.6 million.

Which nontraded REIT repurchased the most common shares during Q1 2018?

June 12, 2018

KBS Real Estate Investment Trust III, Inc. repurchased more of its common shares than any other NTR in Q1 2018. The REIT repurchased 5,151,510 shares in the quarter ended March 31, 2018. Next was Carter Validus Mission Critical REIT, Inc. which repurchased 4,447,367 shares for the quarter. Hines Global REIT, Inc. repurchased 3,658,316 shares.

What percentage of nontraded REIT debt will mature during 2018?

June 7, 2018

Debt maturing during the fiscal year 2018 was 9.8% of the total debt for nontraded REITs reporting as of March 31, 2018.  Debt maturing during the fiscal year 2017 was 11.2% of the total debt for nontraded REITs reporting as of the year-earlier March 31, 2017.

What portion of nontraded REIT total debt is at fixed rates?

June 5, 2018

For 60 nontraded REITs reporting total debt at March 31, 2018, the portion of total debt that was at fixed rates, including debt that was hedged utilizing interest rate swaps, was 62.2%. For the year-earlier quarter ended March 31, 2017, 62 nontraded REITs reported 60.5% of all debt as having fixed rates.

Of the 4 nontraded REITs in the Blue Vault Liquidating LifeStage, American Finance Trust, InvenTrust Properties, KBS Legacy Partners Apartment Trust, and Lightstone Value Plus Real Estate Investment Trust V (formerly Behringer Harvard Opportunity REIT II), which REIT has the strongest interest coverage ratio?

May 24, 2018

Answer: Of the 4 Liquidating LifeStage REITs, Lightstone Value Plus Real Estate Investment Trust V has the healthiest interest coverage ratio at 7.7X.  However, each of the other 3 Liquidating LifeStage REITs also has what is considered to be a healthy interest coverage ratio; American Finance Trust at 3.4X, Inventrust Properties at 7.0X, and KBS Legacy Partners Apartment Trust at 2.0X.  According to industry analysts, a 2.0X interest coverage ratio, meaning operating income is at least twice interest expense, is generally considered to be in the healthy category.      
 
Furthermore, while American Finance Trust is paying a distribution yield of 5.20%, its MFFO payout ratio of 131% means it is not covering those distributions completely.

Which nontraded REIT program recently announced that its sponsor's three founding principals will invest 100% of their net after-tax compensation in 2018 in shares of the REIT?

April 10, 2018

Answer: Jeff Hanson, Danny Prosky, and Mathieu Streiff, along with the company’s executive vice presidents, entered into irrevocable stock purchase plans applicable to Griffin-American Healthcare REIT IV, Inc., a publicly registered, non-traded real estate investment trust co-sponsored by the firm and Griffin Capital Company, LLC. 

Under the terms of the plans, Hanson, Prosky and Streiff agreed to invest 100 percent of the net after-tax cash compensation (base salary and annual bonus) they receive as executives of American Healthcare Investors directly into shares of Class I common stock of Griffin-American Healthcare REIT IV.