Lightstone Value Plus Real Estate Investment Trust V Inc
Lightstone Value Plus Real Estate Investment Trust V — Investor Presentation (June 2018)
27 slides from Lightstone Value Plus Real Estate Investment Trust V's investor presentation, Jun 21, 2018
Slide 1: Lightstone Value Plus REIT V Investor Presentation
LIGHTSTONE VALUE PLUS REIT V Investor Presentation June 21, 2018 1
Slide 2: Dial-in Information
Dial - in Information To listen to today’s call: +1 (914) 614 - 3221 Participant PIN Code: 476 - 364 - 176 2
Slide 3: Forward-Looking Statements
Forward - Looking Statements 3 This presentation contains forward - looking statements, including discussion and analysis of the financial condition of us and our subsidiaries and other matters. These forward - looking statements are not historical facts but are the intent, belief or current expecta
Slide 4: Forward-Looking Statements
Forward - Looking Statements 4 Factors that could cause actual results to differ materially from any forward - looking statements made in the presentation includ e but are not limited to: • market and economic challenges experienced by the U.S. and global economies or real estate industry as a whole
Slide 5: Agenda
Agenda Executive Summary • Overview • Operational Performance • Courtyard Kauai at Coconut Beach Sale • Flats at Fisher Marketplace acquisition • Refinance • Amendment of Share Redemption Program 5
Slide 6: Lightstone Group
Lightstone Group • Founded in 1988 • Assets in 23 States • > 400 Employees • $ 1.5B Net Worth • > $2 Billion in Assets • 13,000 Apartments • 6M Sq. Ft. Office/Retail • 27 Hotels • $2.1B Development • 858 Luxury Rentals • 255 Luxury Condos • 2,000 Hotel Rooms (NYC, L.A., Miami) E&Y Audited Financials
Slide 7: Overview
Overview Year 1 – Transitional Year • Focus: – Portfolio restructuring – Debt refinance – Partnership relations Year 2 and Beyond • Focus: – Position for growth and asset deployment 7
Slide 8: Operational Performance
Operational Performance 8
Slide 9: History of the REIT V
History of the REIT V 9 • Fund raising began in January 2008 • Fund raising closed in March 2012 and raised $265.3 million • NAV as of 9/30/2017: $7.98/share • Lightstone Group was selected as new external advisor and property manager on 02/10/2017 • Leverage as of 12/31/2017: 38.1% • Cash balance a
Slide 10: History of the REIT V
History of the REIT V 10 • Same store revenues (excluding new acquisition) in 2017 was $24.1 million compared to $23.5 million in 2016 - Courtyard Kauai was sold on August 15, 2017 for $62 million, resulting in net proceeds from sale of approximately $24 million . - New property, Flats at Fishers, w
Slide 11: River Club and the Townhomes at River Club
River Club and the Townhomes at River Club 11 • The enrollment at University of Georgia increased by 10% in the past ten years and is projected to grow by 1.5% annually. The ma rket reports indicate a continued strong performance of the student housing properties despite increase in supply. • The ma
Slide 12: Arbors Harbor Town
Arbors Harbor Town 12 • The property continues to maintain strong occupancy of 94% and monthly rents that are consistent with the market. • The property is located on Mud Island, a popular residential neighborhood with minimal vacant sites for additional developmen t.
Slide 13: Prospect Park (The Huron) Mezz Loan
Prospect Park (The “Huron”) Mezz Loan 13 • We provided mezzanine loan of $15.2 million for construction of a multifamily property. The property was sold in 2017 for $100.5 million. • W e received the principal balance plus a profit of $17.3* million. Our investment in the property generated an attra
Slide 14: Lake of Margate
Lake of Margate 14 • The monthly rents have increased year over year and we expect the occupancy to continue to grow, improving from a slight dec lin e experienced due to Hurricane Irma in the fall of 2017. • We expect the rates to continue to increase and vacancy to remain low as the demand for apa
Slide 15: Parkside Apartments
Parkside Apartments 15 • The property continues to maintain high occupancy driven by strong Houston market which has seen employment growth. However, concessions are currently required due to two new constructions in the area. • We anticipate limited new supply in the foreseeable future and expect m
Slide 16: Exchange Student Housing
22 Exchange Student Housing 16 • The enrollment at University of Akron declined by 18% since 2013. The continued enrollment decline in 2017 resulted in a lowe r occupancy at the property and it was not generating sufficient revenue to make the debt service payments under the loan. • We have had disc
Slide 17: Gardens Medical Office Building
Gardens Medical Office Building 17 • The property had occupancy ranging of approximately 60% - 70% for the past several years. • We are in the process of selecting a new leasing company with medical office expertise and relationship with hospitals and lo cal medical community to help us implement ag
Slide 18: Flats at Fishers Marketplace
Flats at Fishers Marketplace 18 • Located in the fastest growing county in Indiana, the property is a new construction built in 2015. The initial lease up was mishandled by the previous owner and the property was approximately 70% occupied at the time of our acquisition. • The property is currently
Slide 19: Courtyard Kauai at Coconut Beach Sale
Courtyard Kauai at Coconut Beach Sale 19
Slide 20: Courtyard Kauai at Coconut Beach Sale
20 Courtyard Kauai at Coconut Beach Sale Kauai Sale • Sold Courtyard Kauai at Coconut Beach on August 15, 2017. • Contract sales price of $62.0 million. • Buyer assumed the existing outstanding mortgage of $36.0 million. • Net proceeds from the sale were approximately $ 24.0 million. • The sale resu
Slide 21: Flats at Fishers Marketplace Acquisition
Flats at Fishers Marketplace Acquisition 21
Slide 22: Flats at Fishers Marketplace Acquisition
22 Flats at Fishers Marketplace Acquisition Flats at Fishers Marketplace Acquisition • Acquired Flats at Fishers Marketplace on November 30, 2017. • A multifamily complex in Fishers, IN built in 2015. • Located in Indiana’s wealthiest and fastest growing county. • Contact purchase price of $36.9 mil
Slide 23: Refinance
LIGHTSTONE Refinance
Slide 24: Refinance
24 Refinance • We have successfully refinanced River Club and the Townhomes at River Club and Parkside Apartments with non - recourse loans from Freddie Mac. • The refinance resulted in lower interest rates and additional proceeds to the REIT of approximately $10 million. 30 Day Libor – 1.9% as of 5
Slide 25: Amendment of Share Redemption Program
Amendment of Share Redemption Program 25
Slide 26: Amendment of Share Redemption Program
Amendment of Share Redemption Program • On August 9, 2017 the Board approved a new share redemption program effective July 1, 2018. 26 ‒ Beginning July 1, 2018 all redemptions will be redeemed on the same terms regardless of the reason for the request. ‒ Our new share redemption program will continu
Slide 27: Q&A
Q&A • If you have any questions, please submit them to [email protected] 27
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