Hartman vREIT XXI Inc., a non-traded real estate investment trust sponsored by Hartman Income REIT Management, Inc., suspended the company’s share redemption program.
On Nov. 28, 2022, the board of directors approved the suspension of the company’s share redemption program to be effective immediately.
According to a filing with the U.S. Securities and Exchange Commission, the company’s decision was made in order to “combat the impact of rising interest costs, inflation, and recession uncertainty on free cash flow.”
The company says the board and management will continue to consider the liquidity available to stockholders going forward. The share redemption program will remain suspended until the board approves the resumption of the program.
As reported by The DI Wire, in its most recent quarterly report filed with the SEC, Hartman vREIT XXI announced its management’s “substantial doubt about the company’s ability to continue as a going concern.”
Hartman vREIT XXI invests in “value-oriented” commercial properties, including office, retail, industrial and warehouse properties. The REIT broke escrow on Dec. 1, 2016, and raised nearly $91.6 million in investor equity since inception, as of Sept. 30, 2022.