Nontraded REIT signals liquidity on the way

Phillips Edison-ARC Shopping Center REIT Inc. has hired advisers to evaluate alternatives.
JUL 28, 2014
Another nontraded real estate investment trust has signaled it is getting in line for a liquidity event. Phillips Edison-ARC Shopping Center REIT Inc., with $1.8 billion in assets, said on Thursday it had tapped Bank of America Merrill Lynch and RCS Capital as advisers for the REIT's “evaluation of possible strategic alternatives.” RCS Capital is the the investment bank and capital markets group of Realty Capital Securities. (Don't miss: Liquidity events heating up REIT market this summer) Launched in 2010, the REIT is sponsored by both Phillips Edison & Co., an investor in shopping centers, and AR Capital, one of the real estate companies controlled by American Realty Capital chairman and chief executive Nicholas Schorsch. The REIT is currently valued at $10 per share. When a nontraded REIT hires investment banks to explore strategic alternatives, it is a signal that the REIT is considering a merger or listing on a stock exchange. After a slow start in the beginning of the year, which saw two listings of nontraded REITs in April, June and July have seen a flurry of mergers and listing activity by nontraded REITs and related companies.

Latest News

Osaic executives Kristy Britt and Greg Cornick to leave
Osaic executives Kristy Britt and Greg Cornick to leave

The firm's CFO and EVP of Wealth Management Solutions are the latest executives to exit the broker-dealer.

Estate planning becomes a client retention issue for financial advisors, survey finds
Estate planning becomes a client retention issue for financial advisors, survey finds

Clients are saying they would consider switching advisors if another professional offered estate planning services, according to a new Trust & Will survey.

Candidly adds AI agents for Trump Accounts, workplace benefits
Candidly adds AI agents for Trump Accounts, workplace benefits

CEO Laurel Taylor says the fintech's composable AI stack helps workers optimize dollars across Trump Accounts, 529s, 401(k)s, and other employee benefits.

BMO adds three advisors in Dallas amid Y'all Street wealth boom
BMO adds three advisors in Dallas amid Y'all Street wealth boom

The bank has swiped three private banking veterans from BNY as the city climbs the ranks of America's fastest-growing wealth hubs.

UBS moves toward full-service US bank as plans to extend wealth business
UBS moves toward full-service US bank as plans to extend wealth business

Employee accounts, crypto trials and job cuts frame a pivotal year for the Swiss lender.

SPONSORED Who builds the income when the pension disappears?

Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income

SPONSORED Why direct indexing stopped being optional

Direct indexing is on pace to outgrow ETFs and mutual funds. Northern Trust's Ken Lassner explains why the advisors who get it wish they had started sooner.