The board of NorthStar/RXR New York Metro Real Estate Inc., a publicly registered non-traded real estate investment trust sponsored by Colony NorthStar (NYSE: CLNS) and RXR Realty, has formed a special committee comprised of the three independent directors to explore strategic alternatives, according to a filing with the Securities and Exchange Commission.
The strategic alternatives include a capital raise, restructuring, merger, joint venture, disposition of some or all of the company’s assets, and other liquidity options. The committee engaged Venable LLP as its legal advisor in connection with the strategic review process.
The filing noted that the review process “reflects the board’s continued commitment to act in the best interests of NorthStar/RXR and maximize stockholder value.”
According to its first quarter 2018 financial report, NorthStar/RXR disclosed a $8.49 net asset value per share for its common stock, as of March 31, 2018. Shares were originally sold for $10.11 each.
NorthStar/RXR said that it does not intend to discuss or disclose further developments unless the special committee has approved a specific action or otherwise determined that disclosure is appropriate.
NorthStar/RXR New York Metro Real Estate focuses on investing in commercial real estate concentrated in the New York metropolitan area, primarily office, mixed-use, and to a lesser extent, multifamily properties. The offering was declared effective in February 2015 and has raised $38.3 million in investor equity, as of March 2018. The company oversees a $39.5 million portfolio comprised of two mezzanine loans and a non-controlling interest in one Class A office property.