Lightstone Value Plus REIT V Announces $7.98 NAV Per Share
December 11, 2017 | James Sprow | Blue Vault
The board of directors of Lightstone Value Plus Real Estate Investment Trust V Inc., (formerly Behringer Harvard Opportunity REIT II, Inc.) a publicly registered non-traded REIT, determined and approved an estimated net asset value per share of $7.98 for the company’s common stock, as of September 30, 2017.
The current NAV per share is an increase of 2.3 percent from the previous $7.80 NAV per share as of October 31, 2016. The estimated NAV per share was reduced to $7.69 in December 2015 as a result of a special cash distribution of $1.50 per share.
The estimated NAV and resulting NAV per share as of September 30, 2017, were calculated with both the assistance of the REIT’s advisor and Capright Property Advisors, LLC, an independent third-party valuation firm engaged to assist with the valuation of the REIT’s assets and liabilities, assuming a liquidation event.
Beginning December 4, 2017, the per share redemption price for exceptional redemptions, which are those redemptions made on circumstances of death, qualifying disability or need for long-term care of an investor, will equal the lesser of 90% of (a) $7.98 (the estimated NAV per Share disclosed above), and (b) the average price per share that investor paid for all of his shares (as adjusted for any stock dividends, combinations, splits, recapitalizations and the like with respect to common stock) less aggregate per share amounts of any special distributions so designated by the Board of directors distributed to stockholders prior to the redemption date and declared from the date of first issue of the shares redeemed (the “Special Distributions”).
For all other redemptions, the per share redemption price will be the lesser of 80% of (i) $7.98 and (ii) the average price per share that the investor paid for all of his shares (as adjusted for any stock dividends, combinations, splits, recapitalizations and the like with respect to our common stock) less any Special Distributions.
Lightstone Value Plus Real Estate Investment Trust V was declared effective in January 2008 and closed its IPO in March 2012 after raising $265 million in investor equity. As of December 7, 2017, the company’s consolidated portfolio is comprised of six properties. The REIT sold a limited-service hotel, Courtyard-Coconut Beach in Kapaa, Hawaii, on August 15, 2017, for $49.6 million.
The REIT replaced its advisor and property manager earlier this year with affiliates of Lightstone Group, a national real estate investor/developer and sponsor of non-traded REITs that oversees a $2.4 billion real estate portfolio.
Learn more about The Lightstone Group on the Blue Vault Sponsor Focus page.
Blue Vault is just what advisors need to size up the different offerings in the nontraded REIT market. Just as importantly, it’s what the industry needs to encourage best practices among REITs.