Numbers Game

Numbers Gameblog

Latest research and trends from around the financial advisory business, updated regularly highlighting stats, charts, infographics and all things data.

Tale of two troubled REITs

Inland's biggest REITs journey from crisis back to relevancy

Mar 5, 2014 @ 12:01 am

By Matt Sirinides

Inland Real Estate Investment Corp. is no longer the force in the industry it once was, resulting in the rise and fall of two of its biggest REITs: Inland American Real Estate Trust and Retail Properties of America (RPAI), formerly Inland Western Retail Real Estate Trust.

InvestmentNews senior columnist Bruce Kelly recently documented Inland's plans for a comeback. We've followed up by collecting the key milestones in the lifespan of those two REITs in a timeline, from launch to recovery.

Launched during the heart of the run-up in real estate in 2003 and 2005, the two REITs ranked #1 (Inland American) and #2 (Inland Western) in equity raised by nontraded REITs, selling at the time for $10 per share.

But as the credit crisis sunk in, commercial property values sagged and refinancing underwater retail and multifamily portfolios became prohibitive. Inland shareholders were confronted with losses. The first shock came in 2009, when Inland was forced to cut dividends by 70%.

Share value continued to tumble, and Inland Western later conducted a poorly received IPO. Inland's recovery has not been as dramatic as with other big commercial real estate players that were better positioned to ride out the credit crisis, but despite a lingering bad taste with investors, Inland's CEO is confident the firm is poised for a turnaround.


What do you think?

View comments

Recommended for you

Sponsored financial news

Featured video


The #MeToo movement and the financial advice industry

Attendees at the Women to Watch luncheon commend the #MeToo movement for raising awareness about the issue of sexual harassment and bringing women together.

Latest news & opinion

What the next market downturn means for small RIAs

Firms that have enjoyed AUM growth because of the runup in stocks may find it hard to adjust to declining revenues if the market suffers a major correction.

DOL fiduciary rule likely to live on despite appeals court loss

Future developments will hinge on whether the Labor Department continues the fight to remake the regulation its own way.

DOL fiduciary rule: Industry reacts to Fifth Circuit ruling

Groups on both sides of the fiduciary debate had plenty to say.

Fifth Circuit Court of Appeals vacates DOL fiduciary rule

In split decision, judges say agency exceeded authority.

UBS, after dumping the broker protocol, continues to see brokers come and go

The wirehouse has seen 14 individuals or teams leave and five join for a net loss of $2.4 billion in AUM


Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting It'll help us continue to serve you.

Yes, show me how to whitelist

Ad blocker detected. Please whitelist us or give premium a try.


Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print