Daily market intelligence on mortgages, equity raising, investment sales, and CMBS.

Thursday, 30 August 2018

Richmond, Va., Value-Add Investor Seeks to Raise Equity Through REIT IPO

Medalist Properties, a Richmond, Va., investment manager that has raised capital via crowdfunding, is planning to take some of its properties public through a REIT. The 15-year-old company is shooting to raise public capital through its listed REIT, Medalist Diversified REIT Inc., in order to pursue value-add industrial, retail and apartment properties in the southeastern United States.

Commercial Real Estate Direct Staff Report

Medalist Properties, a Richmond, Va., investment manager that has raised capital via crowdfunding, is planning to take some of its properties public through a REIT.

The company is shooting to raise public capital in order to pursue value-add industrial, retail and apartment properties in the southeastern United States, including Alabama, the Carolinas, Florida, Georgia and Virginia. It was founded 15 years ago by Bill Elliott, who previously was regional president for Goodman Segar Hogan Hoffler, a Richmond real estate services provider, and Tim Messier, who previously was director of global capital markets at Wachovia Bank.

The initial public offering, if successful, would be a rarity for the REIT sector. This year through July, only four companies have had IPOs, according to NAREIT. Those were Industrial Logistics Properties Trust, Americold Realty Trust, Vici Properties Inc. and Essential Properties Realty Trust. In contrast, nine took place all of last year.

The proposed REIT, Medalist Diversified REIT Inc., would be unusual in that it would start life with a relatively small portfolio. It would own only three properties for which it paid a total of $47.8 million.

The REIT's parent - the company will be...





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Data Digest

 

CMBS DELINQUENCY VOLUME

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CMBS SPECIAL SERVICING VOLUME

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Top Bookrunners Domestic, Private-Label CMBS - 2017
Investment Bank #Deals Vol$mln MktShr%
Goldman Sachs 17.59 11,819.34 13.68
JPMorgan Securities 14.52 10,968.11 12.70
Citigroup 12.04 10,012.71 11.59
Wells Fargo Securities 14.02 9,936.06 11.50
Deutsche Bank 12.55 9,879.74 11.44

 

RCA CPPI

 

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CMBS 2.0 Spreads

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Top CMBS Loan Contributors - 2017
Lender #Loans Vol$mln MktShr%
Goldman Sachs 146.89 11,719.34 13.63
JPMorgan Chase Bank 117.68 10,114.14 11.76
Deutsche Bank 198.48 9,689.97 11.27
Morgan Stanley 166.18 8,539.78 9.93
Citigroup 199.05 8,088.24 9.41

 

 

 

REITCafe

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  • US REITs Feeling Effects from Turmoil in Greece and China
    International economic forces have taken center stage this week, affecting both US stock markets and REITs. The crash in the Chinese stock market and ongoing concerns about the future of Greece in the eurozone drove markets down during the first half of the week. REITs fared better than the overall market...

  • What Does Increased Construction Mean for Apartment REITs?
    REITs so far this year have raised $17.1 billion of capital through the sale of unsecured notes, bringing the total raised over the past two and a half years to just more than $75 billion. That’s more than they raised during the previous five years. The massive volume shouldn’t be a surprise as it comes while the yield from 10-year Treasury bonds, the benchmark...
shouldn’t be a surprise as it comes while the yield from 10-year Treasury bonds, the benchmark against which most REIT’s price their bonds
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