Inland Real Estate Income Trust Inc., a publicly registered, non-traded real estate investment trust, has proposed a number of charter amendments to align it more closely with the charters of publicly traded REITs. Shareholders will vote on the proposals on or before the annual meeting scheduled on November 2, 2021. Inland REIT also declared a third quarter distribution of $0.1356 per share to stockholders of record as of September 30, 2021.
In a letter to shareholders, the company said that the proposed amendments will provide it with “greater flexibility” in pursuing liquidity for stockholders, including a potential listing on a national securities exchange.
“Voting for the proposed changes would remove provisions that could prevent us from pursuing potentially advantageous opportunities or impose obligations that increase our operating expenses,” the company said. “To that end, in anticipation of a potential listing of our stock on an exchange, we are proposing changes to the charter to make it consistent with publicly traded REITs…”
In early 2019, the REIT announced its strategic plan to move toward a liquidity event, most likely through a listing on a public securities exchange within three years, market conditions permitting. The plan centered around owning a portfolio of 100 percent grocery-anchored shopping centers with lower exposure to big box retailers. As part of the strategy, the company sold 15 properties, and as of June 30, 2021, owned 44 retail properties totaling 6.5 million square feet located in 21 states.
Inland REIT also conducted a 1-for-2.5 reverse-stock split in 2018, where every 2.5 shares were converted into one share. The REIT’s most recent net asset value per share was $18.08 as of December 31, 2020. Shares were originally priced at $10.00 each, or $25.00 taking into account the reverse-stock split.
Inland Real Estate Income Trust, sponsored by Inland Real Estate Investment Corporation, invests in grocery-anchored retail assets. The company commenced operations in October 2012 and closed the offering in October 2015 after raising $834.4 million, excluding proceeds from the company’s distribution reinvestment plan.