REAL ESTATE TECHNOLOGY,REAL ESTATE INVESTMENT
SmartRent | January 03, 2023
SVN | SFR Capital Management (SVN | SFR), a privately held commercial real estate investment company that specializes in single-family build-for-rent (BFR) housing, recently announced a partnership with SmartRent, a provider of real estate technology solutions. SVN | SFR's rental communities are made to improve residents' quality of life, safety, and retention while lowering costs and making operations more efficient.
SVN | SFR Capital Management says that smart home technology has become an essential part of today's dedicated rental communities, and most renters are willing to pay more for houses with smart technology already built in. SmartRent's daily operational process solutions will help SVN | SFR and single-family rental renters by automating tenant technology and protecting assets.
As the BFR housing market alternative remains a popular commercial real estate (CRE) investment, SVN | SFR plans to buy and combine about 35,000 new construction BFR homes over the next 5–7 years, depending on the economy and tenant demand. The company will do this by raising an initial $12 billion in equity and debt capital, which it will use to build a large-scale institutional rental home portfolio and sell when it is stable.
SmartRent said today's operators and tenants want the modernization, optimization, and convenience that technology brings. The firm is thrilled to join SVN | SFR to usher in the age of smart solutions for their properties. With the help of SmartRent's hardware, software, and monitoring solutions, SVN | SFR's teams will be able to improve operational and financial efficiency as well as resident satisfaction across communities.
SmartRent's array of products and services encourages integrated modern living. Supported devices include locks that don't need keys, doorbells that ring, switches, dimmers, plugs, lightbulbs, thermostats, voice assistants, leak, motion, and door sensors. In addition, prospective residents/tenants can take self-guided tours and add ring devices for enhanced protection.
SmartRent, Inc., founded in 2017, is a recognized enterprise property technology company built by and for real estate operators. All the company's products, including smart house-building hardware and SaaS solutions that run in the cloud, make it easy to see and control real estate assets. SightPlan, its subsidiary, specializes in workflow management solutions that automate the property lifecycle. The powerful, end-to-end enterprise platform from SmartRent and SightPlan boosts efficiencies and delivers cost savings and extra income streams, along with elevating user experiences.
REAL ESTATE TECHNOLOGY,REAL ESTATE INVESTMENT
Kimco Realty | December 19, 2022
Kimco Realty® (NYSE: KIM) (the “Company”) today announced that it intends to complete a holding company reorganization (the “Reorganization”), which would restructure the Company as an Umbrella Partnership Real Estate Investment Trust, or UPREIT. As part of the Reorganization, a new holding company (“New Kimco”) will become the publicly traded parent company by way of an intercompany merger (the “Merger”), assuming the existing name of “Kimco Realty Corporation,” while the current corporation (“Old Kimco”) will convert to a limited liability company called “Kimco Realty OP LLC” (“Kimco OP”) controlled by the publicly traded parent company (the “Conversion”).
“We are very excited to announce our reorganization into an UPREIT, which we believe will enhance our ability to compete in the acquisition of real estate assets by enabling us to offer tax-deferred opportunity to sellers, We believe this reorganization will have no material impact on our existing shareholders, debt security holders, lenders or other constituencies, and will represent an enhanced platform for Kimco’s continued growth.”
-Conor Flynn, Kimco’s Chief Executive Officer
The Reorganization is intended to align the Company’s corporate structure with other publicly traded U.S. real estate investment trusts and provide a platform for the Company to more efficiently acquire properties in a tax-deferred manner. The UPREIT structure will allow owners of appreciated property to contribute such property to an LLC structured as an “operating partnership” in exchange for membership interests therein. Subject to applicable tax requirements, this type of contribution may be done on a tax-deferred basis for the contributors. Following the Conversion, Kimco OP will function as the operating partnership in the UPREIT structure. Membership interests in Kimco OP will generally entitle their holders to receive the same distributions as holders of New Kimco common stock, and the holders of such interests will generally be entitled to exchange the membership interests for cash or common stock, at New Kimco’s option.
The Reorganization is not anticipated to have any material impact on the Company’s financial position and is not expected to result in any material changes to the Company’s combined financial statements, outstanding debt securities, material debt facilities, or business operations. All shares of common and preferred stock of Kimco will automatically be converted into identical shares of the new parent holding company as part of the Reorganization, and the Reorganization will not impact the payment of the dividends declared by the Company’s board of directors and payable to stockholders of record in accordance with previously announced dividend payment dates in respect of the Company’s common shares and the Class L preferred stock and Class M preferred stock.
The Reorganization does not require shareholder approval under Maryland law and the Merger is expected to qualify as a tax-free reorganization under Section 368(a) of the Internal Revenue Code of 1986, as amended, meaning that Kimco’s shareholders are not expected to recognize a gain or loss for federal income tax purposes as a result of the Merger.
The Merger is expected to be effective as of January 1, 2023, and the Conversion is expected to be effective promptly thereafter. When the Reorganization is complete, the holding company will be named “Kimco Realty Corporation,” just as Kimco is today, and its shares of common stock, Class L depositary shares and Class M depositary shares are expected to continue to trade on the NYSE under the symbols “KIM,” “KIMprL” and “KIMprM”, respectively.
About Kimco Realty®
Kimco Realty® (NYSE:KIM) is a real estate investment trust (REIT) headquartered in Jericho, N.Y. that is North America’s largest publicly traded owner and operator of open-air, grocery-anchored shopping centers, including mixed-use assets. The company’s portfolio is primarily concentrated in the first-ring suburbs of the top major metropolitan markets, including those in high-barrier-to-entry coastal markets and rapidly expanding Sun Belt cities, with a tenant mix focused on essential, necessity-based goods and services that drive multiple shopping trips per week. Kimco Realty is also committed to leadership in environmental, social and governance (ESG) issues and is a recognized industry leader in these areas. Publicly traded on the NYSE since 1991, and included in the S&P 500 Index, the company has specialized in shopping center ownership, management, acquisitions, and value enhancing redevelopment activities for more than 60 years. As of September 30, 2022, the company owned interests in 526 U.S. shopping centers and mixed-use assets comprising 91 million square feet of gross leasable space.
MARKET OUTLOOK,REAL ESTATE INVESTMENT
MLG Capital | January 11, 2023
MLG Capital, a frontrunner in diverse private real estate investments, recently announced that its acquisitions in 2022 topped $1.2 billion, setting another company record.
Notably, the company's first year with $1 billion in asset acquisitions was 2021. It also continued to achieve success over the past year by acquiring 1.8 million square feet of commercial space in over 7,100 multifamily apartment units and 14 states.
MLG announced its sixth diversified fund in May 2022, aiming to raise $400 million in equity. The company's latest product, MLG Legacy Fund, also witnessed significant growth. With only two years since its establishment, the fund has already amassed over $700,000,000 in property holdings.
MLG's achievements also led to national and regional recognition in 2022. For two years in a row, Inc. 5000 named it as one of the fastest-growing private companies in the United States.
Additionally, GlobeSt. Real Estate Forum has named the company a Multifamily Influencer while Milwaukee Business Journal has named it one of Milwaukee's 'Best Places to Work'. Individual employees also earned distinctions, including Rising Star by Multi-Housing, News Woman of Influence by GlobeSt. Real Estate Forum, and so on.
Senior Vice President of MLG Capital, David Binder, said, "MLG has invested in over $5.6 billion of transactions, which is the total of sold assets and the estimated current value of current investments as of Q3 2022. This figure represents approximately 39.5 million square feet of assets, inclusive of more than 33,900 multifamily apartment units across the country, further strengthening our diverse portfolio and positioning us as a leader in the industry." He also said, "Paramount to our growth and successes this past year is the strong support and trust from our valued investor and deal partners across the country. As we look ahead to 2023, we will continue to focus on finding smart real estate deals across the country by working with best-in-class deal partners, with a dedication to transparency, absolute integrity and making a difference while making a living."
About MLG Capital
MLG Capital is a private equity investment firm and direct real estate operator. Its primary goal is to increase the value of its clients' holdings. Investors around the United States trust the company because of its solid reputation and track record of positive returns, built up over 35 years of business. The current department portfolio includes more than 33,900 apartment units. Investing with MLG Capital, the investors relish tax efficiency, prioritized returns and geographic, asset type and real estate manager diversifications.