Realty Finance Trust, a publicly registered non-traded real estate investment trust sponsored by AR Capital, announced that Matthew Donnelly resigned from his positions as president and chief operating officer of the company and its advisor.
The company’s board of directors appointed Peter Budko, currently the chief executive officer of the company and chairman of the board, to serve as interim president of the company and its advisor.
Budko was a founding partner of AR Capital and serves or has served in various executive capacities among its non-traded investment programs. According to a filing with the Securities and Exchange Committee, he serves as chairman and chief executive officer of Business Development Corporation of America, as president and chief operating officer of Business Development Corporation of America II, and as chief executive officer of the BDCA II advisor. Budko previously served as a director and chief investment officer of RCS Capital Corporation
Budko founded and served as managing director and group head of the Structured Asset Finance Group, a division of Wachovia Capital Markets from 1997 to 2006. He received a bachelor’s degree in physics from the University of North Carolina.
Realty Finance Trust, which went effective in February 2013, originally registered 80 million shares of common stock for its primary offering and 16.8 million shares of common stock for its dividend reinvestment plan. Shares of common stock were priced at $25.00 each, and the company has raised $789.8 million in investor equity since inception.
The board terminated the offering following a series of scandals surrounding AR Capital, its sponsor, and Realty Capital Securities, its dealer manager, which led to the termination of all AR Capital-sponsored investment programs and an agreement by RCS to terminate its business.