December 2021 Nontraded REIT Sales Up 21.4% from November
January 17, 2022 | James Sprow | Blue Vault
Blue Vault received December sales totals for ten nontraded REIT program offerings as of January 15, 2022. Sales reported by those ten NTRs totaled $537.4 million, up 21.4% from $442.5 million in November, but up 179% Y-O-Y from the $116.7 million in sales in December 2020. Among reporting nontraded REITs, FS Credit Real Estate Income Trust led the group with $131.8 million in sales, up 24.8% from the sales by the REIT in November. Nuveen Global Cities REIT reported $99.7 million in December sales, up 3.7% from $96.1 million in November. Jones Lang LaSalle was next with $80.6 million compared to $47.2 million in November, an increase of 70.7%. Black Creek Industrial REIT IV was fourth with $77.7 million, up 27.3% from $61.1 million in November.
Y-O-Y NTR Capital Raise Comparisons
Sales by Blackstone REIT and Starwood REIT Estimated
Although neither Blackstone REIT nor Starwood REIT are reporting monthly sales to Blue Vault, 424b3 SEC filings by these two continuously offered nontraded REITs give data on the status of their public offerings. Using these data, we can estimate their common stock issuances both from the offerings and DRIP reinvestments. By far the largest nontraded REIT is Blackstone, raising a large majority of all capital being raised in the sector. The charts below show the shares issued in their offering. Because the capital raised is reported only in billions, the monthly totals are inexact, but the overall magnitude of their capital raise is evident. For the period 11/12/21 through 12/15/21, Blackstone REIT raised approximately $2.4 billion through the issuance of approximately 140 million shares. For the same period, Starwood REIT issued over 33 million shares, raising approximately $812 million.
Nontraded BDC Sales
Only one nontraded BDC was raising funds and reported to Blue Vault in December 2021. Owl Rock Core Income Corp. had $337.9 million in equity capital raised in December, up 20.2% from the November total of $281.2 million. Blackstone’s nontraded BDC was also raising capital but did not report its sales to Blue Vault.
Quarterly Nontraded BDC Capital Raise
Listed REITs with Nontraded Preferred Stock Issuances
Blue Vault has received sales reports from six listed REITs that issue nontraded preferred stock. Leading the group was Prospect Capital with $42.3 million in preferred stock issuances, up 56.2% from the November total. Braemar Hotels & Resorts issued $7.9 million, down 63% from $21.4 million in November. Gladstone Land issued $7.9 million in nontraded preferred stock, down 12% from the November total. For all six listed REITs that issued nontraded preferred, the total was $63.6 million, down 56.8% from the November total of $147.1 million.
Source: SEC, Blue Vault
