NEW YORK CITY—New York REIT—which previously was known as American Realty Capital New York Recovery REIT—has begun trading on the New York Stock Exchange, having completed the listing process for its shares of common stock. Trading of the company's stock began Tuesday morning under the ticker symbol “NYRT.”
NYRT also announced that it has increased its senior corporate credit facility to $705 million of total financing capacity, having recently arranged $315 million of new commitments.
NYRT chairman and CEO Nicholas Schorsch tells GlobeSt.com that now was the perfect time to list on the exchange. “Our balance sheet is investment grade, we have a much lower cost to capital as a public fund, we have an open shelf capability and the market receptivity for a NY-based REIT is near a 520 week high. Also we're perfectly timed to enter the inclusion trades, which gives us a lot of support in terms of back stopping our stock.”
The stock closed on the first day of trading at $10.75, which already was “7.5% price over what we were at as a non-traded REIT,” Schorsch says. And there's room for growth. “We'll get to the $12 to $13 range.”
Adds Michael Happel, president, “In addition to today's listing on the NYSE, we also are pleased to have added two new participants to our lending group in our senior corporate facility, helping to increase total commitments by $315 million.”
He continues, “With total financing capacity of up to $705 million, we expect to have ample flexibility to fund our portfolio's expansion through strategic acquisitions. We believe the increased commitments from our existing lenders are a direct reflection of the overall credit quality of our portfolio and a clear vote of confidence in our management team.”
Since its initial public offering in September 2010, NYRT has built a portfolio of 23 high quality properties located in New York City. As of December 31, 2013, NYRT's properties aggregated 3.1 million square feet, with an average occupancy of 94.2% and an average remaining lease term of 10.2 years.
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Rayna Katz
Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.
