Investment Strategies

Get information on REIT Investment Strategies and learn about the REIT Life Cycle

Investment Strategies

There are three primary categories of REIT investment strategies, each with its own risk and return characteristics.

A REIT will typically acquire assets that fit within its respective investment strategy. To choose an investment that is the best fit, an investor must decide what his or her risk tolerance is, then choose a REIT with a corresponding investment strategy.

REIT Life Cycle

  1. Public Fundraising – continuous public offering of common stock
  2. Property Acquisition – Funds used primarily for property acquisition through the completion of public offering
    • Assets purchased in accordance with stated investment objectives
    • Assets actively monitored and managed
  3. Portfolio Management – Assets continue to be actively monitored and managed
    • Added transparency with quarterly posting of operational data regarding the performance of our investments
    • Net asset value per share of our common stock no later than 29 months after we break escrow
  4. Exit Strategies – In deciding which type of liquidity event to pursue, our board of directors will try to determine which available alternative would result in greater value for our stockholders. It is anticipated that our board of directors will consider a liquidity event within five years after the completion of our offering stage; however, the timing of any such event will depend significantly upon economic and market conditions after completion of our offering stage.
  5. List – The listing of shares of our common stock on a national securities exchange.
  6. Sale/Merger – A sale or merger in a transaction that provides our stockholders with cash or securities of a publicly traded company.
  7. Liquidate – The sale of all or substantially all of our assets for cash or other consideration.