The board of Cole Office & Industrial REIT (CCIT II) Inc., a publicly registered non-traded real estate investment trust, has approved an estimated per share net asset value of $11.03 for the company’s Class A and Class T common stock as of December 31, 2018.
The valuation was based on the estimated market value of the REIT’s assets less the estimated market value of its liabilities, divided by the total number of shares outstanding.
The company’s previous NAV per share was $10.58 as of December 31, 2017, $10.32 as of December 31, 2016, and $10.00 as of February 29, 2016.
Beginning March 25, 2019, Class A and Class T shares issued through the distribution reinvestment plan will be priced at $11.03 per share, and the new valuation will serve as the most recent NAV per share for the share redemption program.
Cushman & Wakefield’s valuation and advisory group assisted with the process and calculated a $10.75 to $11.60 per share valuation range with a midpoint of $11.03 per share. The valuation was performed within practice guidelines established by the Institute of Portfolio Alternatives (formerly the Investment Program Association).
Cole Office and Industrial REIT commenced operations in September 2013 to invest primarily in single-tenant necessity office and industrial properties that are leased to creditworthy tenants under long-term net leases. The company closed its primary offering in September 2016 after raising $672 million in investor equity, according to Summit Investment Research, and the company’s $1 billion portfolio is comprised of 36 properties totaling 11.5 million rentable square feet as of December 31, 2018. Cole Office and Industrial REIT is operated by CCO Group, LLC, a subsidiary of CIM Group.