On March 31st, 2014 American Realty Capital New York Recovery REIT, Inc. announced plans to file for listing on the New York Stock Exchange (NYSE) under the ticker symbol “NYRT”. At the time of the listing the company intends to change its name to “New York REIT, Inc.” The company anticipates the listing to take place on April 15, 2014. The company also announced its intention to commence a tender offer to purchase up to $250 million of common stock. The tender offer purchase price will be $10.75/share. The tender offer will commence on the date of the listing and will remain open for 20 business days unless extended by the company. The company also announced it will modify the current annual distribution to a $0.46/share beginning with the April 2014 distribution.
The company commenced its public offering in September 2010 and closed to new investors in November 2013. They have built a portfolio of 23 high quality properties located entirely in New York City, comprised of nearly 90% office or retail properties.
Nicholas S. Schorsch, the Company’s Chief Executive Officer and Chairman of the Board of Directors commented, “We are pleased to announce our targeted April 15th listing of the Company on the New York Stock Exchange. This is a very important milestone for our shareholders who will soon have the benefit of owning shares listed on the NYSE and the flexibility to either sell their shares or remain as stockholders while we continue to grow this business and create additional value for our investors. We have a proven management team with a track record of success in what is arguably one of the best real estate markets in the world, and we are far from done.”
Michael A. Happel, the Company’s President added, “In some ways, I view this listing as the “second act” for our Company. We’re very proud of the portfolio we’ve assembled at a time in the New York real estate market that proved opportune for investors. Our entire portfolio was acquired within the last four years, is 100% located in New York City, and is comprised of more than 90% office or retail properties. In short, we are the “pure play” on New York City real estate. Looking forward, we have an active pipeline of acquisition opportunities, an investment grade quality balance sheet, and strong internal growth prospects within the existing portfolio.”
Your advisors at AOG Wealth Management are pleased to observe this “liquidity” event occurring so soon after the fund closed to investors as a non-traded REIT. Our Analysts and Investment Committee will be closely analyzing the offering documents and evaluating comparable traded REITs to determine a recommended sale price.