Modiv’s Crowdfunded REIT Reports Quarterly NAV Per Share
Modiv Inc., a publicly registered non-traded crowdfunded real estate investment trust formerly known as RW Holdings NNN REIT Inc. and Rich Uncles NNN REIT Inc., has declared a net asset value per share of its common stock as of March 31, 2021.
Modiv Inc., a publicly registered non-traded crowdfunded real estate investment trust formerly known as RW Holdings NNN REIT Inc. and Rich Uncles NNN REIT Inc., has declared a $24.61 net asset value per share of its common stock as of March 31, 2021.
The updated NAV is an approximate increase of 7 percent over the prior estimated NAV of $23.03 as of December 31, 2020, as adjusted to reflect a 1:3 reverse stock split completed on February 1, 2021.
The $24.61 NAV per share is based on the estimated market value of the company’s assets, less the estimated market value of its liabilities, divided by the number of fully-diluted Class C and Class S shares outstanding, as of March 31, 2021. Cushman & Wakefield assisted with the valuation process.
“The NAV per share increase reflects the broader commercial real estate market’s resilience and recovery, as well as our ability to prudently manage our portfolio…,” said Aaron Halfacre, Modiv’s chief executive officer. “Our team is focused on maximizing the value of our portfolio and growing the NAV as we execute our vision of being a leading tech-enabled real estate asset manager.”
During the first quarter of 2021, the company sold three assets for gross proceeds of $13.7 million, and completed three five-year lease renewals consisting of a Northrop Grumman office in Florida and two Dollar General stores in Ohio. Modiv refinanced four properties with a weighted average interest rate of 3.72 percent and more than five years of average term.
The company also entered into a partnership with Forge Trust to provide no-custodial-cost self-directed individual retirement accounts to Modiv investors.
On February 1, 2021, the REIT completed its transition to Modiv Inc. following a series of changes over the last two years, including hiring Halfacre as CEO, acquiring affiliated non-traded REIT Rich Uncles Real Estate Investment Trust I, internalizing management and the fintech platform from its former sponsor, and purchasing REITless and BuildingBITs crowdfunding platforms.
Modiv, a REIT funded through a fintech crowdfunding platform, was founded in 2015 and has approximately $400 million in total assets under management. As of December 31, 2020, the REIT’s real estate investment portfolio consisted of 40 properties in 14 states, including 15 retail, 14 office, and 11 industrial properties, and a 72.7 percent tenant-in-common interest in an office property.
