Ares Industrial REIT’s Monthly Total NAV Decreases 2.4% at Q1’s End

Ares Industrial Real Estate Income Trust Inc., a monthly net asset value real estate investment trust sponsored by Ares Management Corporation, reported that its total NAV decreased in value by 2.4% month-over-month as of the close of March, from more than $3.88 billion to nearly $3.79 billion.

Its declared monthly NAV per share (inclusive of Class T, Class D, and Class I shares) transaction and offering prices declined month-over-month by approximately 1.7%, from $12.7777 per share as of Feb. 29, 2024, to $12.556 per share as of March 31. The exception was its offering price for Class T NAV per share, which was $13.1476 and included sales commissions and fees.

Ares Industrial REIT’s leverage ratio was approximately 40.8%.

As of March 31, 2024, the REIT directly owned and managed a real estate portfolio that included 252 industrial buildings totaling approximately 53.4 million square feet located in 29 markets throughout the United States, with 418 customers, and was 93.8% leased. During the first quarter of 2024, the REIT transacted approximately 1.6 million square feet of new and renewal leases, and rent growth on comparable leases averaged 55%, calculated using cash basis rental rates.

In March, as previously reported, it originated one debt-related investment comprised of a senior loan with an aggregate commitment of up to $36.4 million.

Additionally, during Q1 2024, Ares Industrial REIT disposed of four industrial buildings totaling 0.6 million square feet, for an aggregate gross sales price of $106.7 million. It raised gross proceeds of approximately $110.8 million, including proceeds from its distribution reinvestment plan and the sale of Delaware statutory trust interests. The aggregate dollar amount of common stock redemptions requested in January through March, which were redeemed in full on Feb. 1, March 1, and April 1, was $125.5 million.

As of April 1, 2024, the company had raised gross proceeds of approximately $1.8 billion from the sale of approximately 129.1 million shares in this offering, including proceeds from its distribution reinvestment plan of approximately $213.2 million. As of April 1, approximately $3.2 billion in shares remained available for sale pursuant to this offering, including approximately $1 billion in shares available for sale through its distribution reinvestment plan.

The company paid its normal monthly gross distribution of $0.05 per share for each share class for the month of March 2024 and were paid to all stockholders of record as of the close of business on March 29.

Ares Industrial Real Estate Income Trust is an industrial-focused real estate solution that seeks to deliver consistent distributions, capital preservation, and capital appreciation by investing in high-quality bulk and last-mile distribution facilities in key logistics markets across the nation.

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