Steadfast Apartment REIT III operates under the direction of a board of directors, whose members are accountable to the REIT and its stockholders as fiduciaries.
The board of directors is responsible for the management and control of the REIT’s affairs. It has retained Steadfast Apartment Advisor, LLC to manage day-to-day affairs and to research, identify, review and make investments in and dispositions of assets consistent with the REIT’s investment objectives and strategy—subject to the board of directors’ direction, oversight and approval. The advisor performs its duties and responsibilities as the fiduciary pursuant to an advisory agreement. Steadfast Apartment REIT III currently has a total of five directors, three of whom are independent of the REIT, the advisor and respective affiliates.
All members of the audit committee are “independent” as defined by our charter and the New York Stock Exchange and have significant financial and/or accounting experience. The audit committee assists our board of directors in overseeing and monitoring (1) the systems of our internal accounting and financial controls; (2) our financial reporting processes; (3) the independence, objectivity and qualification of our independent auditors; (4) the annual audit of our financial statements; and (5) our accounting policies and disclosures.
Our board of directors has delegated to the investment committee certain responsibilities with respect to investment in specific investments proposed by our advisor, and the authority to review our investment policies and procedures on an ongoing basis. The investment committee must at all times be comprised of at least three members, a majority of whom must be independent directors.