KBS Legacy Partners Apartment REIT Files Articles of Dissolution
April 19, 2018 | Beth Glavosek | Blue Vault
KBS Legacy Partners Apartment REIT has filed articles of dissolution effective April 18, 2018. The dissolution marks the final step in a plan of liquidation that was approved by the REIT’s board in August and subsequently approved by stockholders in December. At this time, the REIT has directed its transfer agent to close its stock transfer books and cease recording stock transfers except by will, intestate succession, or operation of law.
The REIT’s 10-K, filed on March 9, 2018, explains in greater detail the circumstances of the REIT’s liquidation, as well as its financial condition. The REIT made an initial liquidating distribution of $4.05 per share to common stockholders on December 20, 2017. In a Definitive Proxy Statement filed in September, the company said that it would expect to pay the final liquidating distribution after all remaining properties are sold and all known and unknown liabilities are paid. While there are no assurances, this is expected to occur within 12 months of the stockholders approving the plan of liquidation (which occurred December 2017).
On April 5, 2017, the Company’s board of directors declared a special distribution in the amount of $1.00 per share of common stock to stockholders of record as of the close of business on April 20, 2017.
According to the Company’s 2017 10-K (page 8):
“…the amount of cash that our stockholders would receive for each share of our common stock that they then hold is $8.45 per share. This amount would be in addition to the previous $1.00 per share special distribution we paid to our stockholders on May 1, 2017, in connection with the disposition of Wesley Village, but includes the $4.05 per share Initial Liquidating Distribution.”
On March 28, 2018, the Company completed the sale of the Lofts at the Highlands to Elite Street Capital Lofts Equity DE, LLC for $44.4 million.
On March 29, 2018, the Company completed the sale of The Residence at Waterstone to Elite Street Capital Waterstone Equity DE, LLC, for $60.1 million, excluding closing credits.
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