RREEF Property Trust Inc. (“RPT”, “the Company”) posted total returns of 7.75% for the year ended December 31, 2018. Total return was comprised of 2.3% in appreciation and 5.3% in distributions, with a standard deviation of 2.4%. RPT continued to build on its strong performance, during the first quarter of 2019 producing a quarterly return of 2.56%.
The Company also celebrated its fifth full year of operations in 2018, having broken escrow on May 30, 2013 at $12.00 per share and posting since inception total and annualized returns of 57.6% and 8.5%, respectively.
The hallmark of RPT’s strategy is providing investors access to a diversified portfolio of high-quality commercial properties to generate attractive current income for shareholders. Since inception through March 2019, RPT paid 70 consecutive monthly distributions to shareholders. Furthermore, of the 23 full quarters since inception, declared daily distributions per share have increased 20 times.
RPT’s investment strategy is to acquire 1) high-quality, income-producing real estate properties (targeting 80% of NAV), 2) common and preferred stock of publicly-traded REITs (up to 35% of NAV), and 3) debt backed principally by real estate (up to 15% of NAV). In 2019, RPT expects to continue building its property portfolio across the U.S., primarily in the office, industrial, retail and apartment sectors. The Company believes its advisor’s broad and deep experience acquiring and managing these property types will provide a competitive advantage as it invests across multiple sectors. The perpetual-life structure allows for flexibility to acquire a variety of property types, allowing compelling investment and disposition opportunities that arise in different sectors of the commercial real estate industry during various market cycles and economic conditions with potential for attractive risk-adjusted returns.
“RREEF Property Trust starts 2019 well-positioned with high occupancy, low leverage, and five years of average remaining lease term,” states Anne-Marie Vandenberg, President and Chief Operating Officer of RPT. “Consistent with our investment strategy, we have built and intend to continue to grow a diversified portfolio of real estate assets emphasizing current income, long-term value appreciation and capital preservation.”
Source: DWS as of 3/31/19. Performance is historical and past performance is no guarantee of future results. The returns have been prepared using unaudited data and valuations of the underlying investments in the Company’s portfolio, which are prepared by our independent valuation advisor. Valuations based upon unaudited or estimated reports from the underlying investments may be subject to later adjustments or revisions. 1 Returns shown reflect the percentage change in the NAV per share from the beginning of the period indicated, plus the amount of distributions paid during the period indicated. All returns shown in the table are net of Company expenses and advisory fees and assume reinvestment of distributions. Returns shown are net of applicable share class specific fees. 2 No load returns exclude up front sales load. Returns with sales load are net of the maximum upfront sales load. Class A and Class T shares are offered with a sales load which is comprised of selling commissions of up to 3.0% and for Class T shares an upfront dealer manager fee of 2.5%. Returns with sales load assume a purchase of the shares at the beginning of the period shown. 3 Annualized. 4 Inception for Class I shares: 5/30/13. Inception for Class A shares: 8/12/13. Inception for Class T shares: 8/21/17.
The distributions and income that we pay are uncertain and not guaranteed. The timing and amount of distributions is determined by our board of directors. We may pay distributions from sources other than cash flow from operations, including but not limited to, the proceeds of this offering, borrowings or the sale of properties or other investments. For the year ended 12/31/18, 82% of distributions were funded from cash flows from operations and 18% were funded from offering proceeds. From inception through 12/31/15, our expenses were supported by expense support payments from our advisor, which are subject to repayment in future periods and will reduce cash flows during those periods. If our advisor had not made the expense support payments, a greater proportion of the distributions would have been funded from offering proceeds or borrowings. Distributions paid from sources other than cash flow from operations may not be sustainable.
To learn more about RPT, visit www.rreefpropertytrust.com.
Important risk information
RREEF Property Trust is a speculative security and, as such, involves a high degree of risk. There is no public market for our shares of common stock. Our shares should be considered as having only limited liquidity and at times may be illiquid. Our redemption of shares will likely be the only way for you to dispose of your shares, and our redemption plan contains limitations on the number of shares we will redeem in any calendar quarter. Our board of directors may modify or suspend our redemption plan, as well as our investment policies without stockholder approval, which could alter the nature of your investment. The purchase price and redemption price for our shares is based on our NAV, which may not accurately reflect the actual price at which our assets could be liquidated on any given day because valuation of properties is inherently subjective. Data provided by RREEF America, the Advisor to RREEF Property Trust.
Investment products: No bank guarantee |Not FDIC insured |May lose value
The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc., which offers investment products, or DWS Investment Management Americas, Inc. and RREEF America L.L.C., which offer advisory services.
DWS Distributors, Inc.
222 South Riverside Plaza, Chicago, IL 60606-5808
Tel: (800) 621-1148
© 2019 DWS Group GmbH & Co. KGaA. All rights reserved. R-066886-1 (4/19)