KBS Real Estate Investment Trust, a publicly registered non-traded REIT, held its annual meeting of stockholders on Friday, where stockholders approved a plan of complete liquidation and dissolution of the company.
The company noted that the principal purpose of the plan is to maximize stockholder value by selling the company’s assets, paying its debts, and distributing the net liquidation proceeds to stockholders.
In October, the KBS REIT board approved an estimated net asset value of $3.65 per share of common stock. In addition to satisfying the requirements of FINRA 15-02, the NAV estimate was used to help calculate the projected net proceeds that investors could receive from a liquidation and dissolution of the company.
KBS REIT investors are expected to receive between $3.27 and $3.68 per share for the liquidation. The company previously paid special distributions of $0.65 per share to stockholders for property sales from 2012 through 2015. Shares were originally sold for $10.00 each.
KBS Real Estate Investment Trust launched its initial public offering in January 2006 for up to 200 million shares of common stock and 80 million DRIP shares. The REIT raised $1.7 billion in its primary offering before its closing in May 2008, and $233.7 million under its dividend reinvestment plan which closed in April 2012. The company’s portfolio consists of 188 real estate properties, three real estate loans receivable, and a participation interest in a real estate joint venture.