KBS Strategic Opportunity REIT, a non-traded real estate investment trust, has released the preliminary results of its $90 million self-tender offer.
Last month, KBS Strategic Opportunity REIT offered to purchase up to 8.2 million shares of common stock at $10.93 per share, or approximately $90 million of shares. The KBS offer price of $10.93 per share is 95 percent of the company’s $11.50 NAV per share.
According to the filing, approximately 9.9 million shares were properly tendered in the offer, but the REIT expects to only purchase up to 8.2 million shares, as originally sought.
The 8.2 million shares represent roughly 12.7 percent of the issued and outstanding shares, based on the preliminary count. The REIT expects to have approximately 56.5 million shares outstanding following the settlement of the offer.
KBS Strategic Opportunity REIT launched its initial public offering in November 2009 and raised approximately $574 million in investor equity before closing the offering three years later. As of the first quarter 2018, the company owned 10 properties with an investment cost of $972.6 million, according to Summit Investment Research.