The board of KBS Growth & Income REIT Inc., a publicly registered non-traded real estate investment trust, approved an estimated net asset value per share of $8.75, as of June 30, 2017.
The NAV per share is based on the estimated value of the company’s assets less the estimated value of its liabilities, divided by the number of shares outstanding and was performed in accordance with guidelines issued by the Investment Program Association.
Duff & Phelps, a third-party valuation advisory firm, assisted with the valuation and provided a value range of $8.01 to $9.53, with a mid-range value of $8.75 per share. KBS Growth & Income REIT previously sold Class A shares for $10.39 each and Class T shares for $10.00 each, while distribution reinvestment plan shares were priced at $9.40 each.
The company recently terminated its initial public offering, effective June 30th, to prepare for and market an online private offering to accredited investors.
As previously reported by The DI Wire, the REIT’s advisor, KBS Capital Advisors, has agreed to pay stockholders any difference between the “net price paid” by stockholders and the estimated NAV per share. “Net price paid” is the gross purchase price paid by stockholders less selling commissions and dealer manager fees.
KBS Growth & Income REIT was formed in January 2015 and has raised a combined $84.7 million in its private and public offerings, the latter of which commenced in April 2016. The company currently owns three properties with an investment cost of $136.8 million, according to Summit Investment Research.