Inside the Vault

February 20, 2018

For the eleven nontraded REIT full-cycle events that have occurred since October 2015, which program had the highest conventional annualized rate of return to its earliest investors?

Answer: CNL Growth Properties, Inc. provided its early investors with an annualized average rate of return of 10.49%, according to Blue Vault’s Fifth Edition Nontraded REIT Full-Cycle Performance Study.

February 18, 2018

How many nontraded REIT programs from Blue Vault’s Nontraded REIT Full-Cycle Performance Study have averaged annualized returns to early shareholders greater than 8.00% when distributions were reinvested?

Answer: 29 of the 56 nontraded REITs had annualized shareholder returns to early investors greater than 8.00% when distributions were reinvested.

February 14, 2018

For the eleven nontraded REIT full-cycle events that have occurred since October, 2015, which program had the highest conventional annualized rate of return to its earliest investors?

February 7, 2018

Which healthcare-focused nontraded REIT provided its earliest investors with an annualized average rate of return of 9.28% via its 2017 full-cycle liquidity event?

Answer: Sentio Healthcare Properties, Inc. was sold to Kayne Anderson Real Estate Advisors on August 31, 2017 for $14.94 per share, resulting in an average annualized return to early investors of 9.28%, according to Blue Vault’s Fifth Edition Nontraded REIT Full-Cycle Performance Study.

February 6, 2018

Industrial Income Trust Inc. recently completed its liquidation of remaining assets, which met Blue Vault’s definition of a full-cycle event. What was the estimated annualized return to its earliest investors who invested distributions in additional shares via the REIT’s DRIP?

Answer: According to Blue Vault’s Fifth Edition Nontraded REIT Full-Cycle Performance Study, early investors had an annualized rate of return over the life of the REIT of 8.10% if they reinvested all distributions via the DRIP.

January 31, 2018

Out of 45 Interval Funds that have a fiscal year end reported in their SEC filings, how many have a December 31 fiscal year end?

Answer: Only 8 interval funds out of 45 had reported a fiscal year end of December

January 24, 2018

Which interval fund had sales of $72.2 million in December, 2017, leading all interval funds reporting sales to Blue Vault for the month?

Answer: Bluerock’s Total Income + Real Estate Fund reported sales of $72.2 million in December, 2017.

January 22, 2018

Which nontraded REIT program led all others in sales in December, 2017?

Answer: Blackstone Real Estate Income Trust, Inc. reported sales of $170.1 million in December, 2017.

January 17, 2018

When a nontraded REIT revises its estimated NAV per share, what are the most important assumptions that affect the estimated value of the REIT’s real estate portfolio?

Answer: Exit capitalization rates, discount rates for cash flows from property investments, annual market rent growth rate and average holding period.