Dividend Capital Diversified Property Fund Reports Q4 2016 Results
March 5, 2017 | by James Sprow | Blue Vault
On March 3, Dividend Capital Diversified Property Fund (DPF) provided investors with a portfolio update and highlighted results for 2016 and the quarter ended December 31, 2016. Among the highlights:
- 46% total shareholder return for the quarter; 6.35% total shareholder return for the last twelve months
- Repaid two senior mortgage notes for $44.2 million with a weighted average interest rate of 5.5%
- Amended a credit facility to increase its term loan borrowing capacity by $125.0 million
- Sold one building from a multi-building, grocery-anchored retail property for approximately $6.2 million
Total Shareholder Return
Total shareholder return, which represents the compound annual rate of return assuming reinvestment of all dividend distributions before the impact of up-front sales commissions and class-specific expenses as of December 31, 2016, was as follows for the indicated timeframe:
- Quarter ended December 31, 2016: 2.46%
- Year-to-date ended December 31, 2016: 6.35%
- Three years ended December 31, 2016 (annualized): 8.10% (26.33% cumulative)
- Since NAV share class inception (annualized): 8.32% (40.52% cumulative)
- Class A, Class W, and Class I shareholders had lower total returns than those set forth above due to up-front sales commissions and/or class-specific expenses.
As of December 31, 2016, DPF’s portfolio consisted of 55 operating properties located in 20 geographic markets in the United States, aggregating approximately 9.0 million square feet. As of December 31, 2016, DPF’s real property portfolio was approximately 91.2% leased to approximately 520 tenants. These properties had an estimated fair value of approximately $2.3 billion (calculated in accordance with DPF’s valuation procedures), including:
- 16 office properties located in 13 geographic markets, aggregating approximately 3.4 million net rentable square feet, with an aggregate fair value amount of approximately $1.2 billion;
- 34 retail properties located in nine geographic markets, aggregating approximately 3.8 million net rentable square feet, with an aggregate fair value amount of approximately $1.0 billion; and
- Five industrial properties located in three geographic markets, aggregating approximately 1.8 million net rentable square feet, with an aggregate fair value amount of approximately $81.8 million.
DPF’s leverage ratio, based on the fair value of its investments, was 45.9% as of December 31, 2016. The weighted average stated interest rate of DPF’s borrowings was 3.4% as of December 31, 2016.
Webinar and Portfolio Update Call Information
DPF will host a webinar/portfolio update call to review fourth quarter 2016 performance results and financial metrics on March 15, 2017, at 2:15 p.m. U.S. Mountain Time. Information to access the call is as follows:
Date: Wednesday, March 15, 2017
Time: 2:15 p.m. MT/4:15 p.m. ET
Dial-in Number: 800.274.0251
Conference ID: 2242504
To access the live webinar please visit the Investor Relations page at DPF’s website, www.dividendcapitaldiversified.com.
The webinar replay will be posted when available on the Investor Relations page of DPF’s website.
About Dividend Capital Diversified Property Fund
Dividend Capital Diversified Property Fund is a public reporting, daily NAV vehicle based in Denver, CO that invests in a diversified portfolio of commercial real estate assets. More information is available at www.dividendcapitaldiversified.com.
Learn more about Dividend Capital on our Sponsor Focus page.
Our firm has been using Blue Vault from the first year it was available.
We have found it to be a valuable tool to verify what wholesalers tell us and to dig deep into how the reported investments are really performing.
We appreciate that Blue Vault has expanded its services from initially covering REIT's to now also including BDC's.
Our clients also appreciate that we conduct this additional due diligence on their behalf.