New York REIT Inc. (NYSE:NYRT) shares have been on a steady decline following its plan of liquidation, however this appears to be presenting unique buying opportunities for institutional investors. The real estate investment trust has underperformed the overall industry for the better part of the year as short sellers continue to push it lower.
Institutional Holding
Regulatory filling indicate that Bulldog Investors LLC took advantage of the stocks slide in the market to strengthen its position in the company. The hedge fund upped its stake to 4.74 million shares from 3.83 million shares held as of September 2017. The holdings represents a 2.83% stake in the company.
Vanguard Group is the largest investor in New York REIT Inc. (NYSE:NYRT) with a holding of 23.55 million shares valued at $184.88 million shares. Long Pond capital owns 11.23 million shares of the company worth $88.12 million. Indaba Capital Management owns 6.91 million shares worth $54.23.
Q3 Results
Separately New York REIT has announced results for its third quarter and consequently declared a $2.07 per share cash distribution. Based on the liquidation basis of accounting New York REIT Inc. (NYSE:NYRT) had estimated liquidating distributions of about $7.93 a share as of September 30, 2017. The net assets in liquidation reflect Worldwide Plaza at $1.725 billion.
The $7.93 common share estimate represents a decrease from the company’s estimate as of June 30, 2017. New York REIT Inc.(NYSE:NYRT) attributes the decrease to sales of 245-249 West 17th Street (Twitter), 218 West 18th Street (Red Bull), 229 West 36th Street and 256 West 38th Street and a signed contract for sale for 1440 Broadway. The company also saw its investment in worldwide plaza decrease in the quarter because of debt defeasance costs offset by amortization of mortgage debt.
New York REIT Inc. (NYSE:NYRT) plans to pay the cash liquidating distribution of $2.07 a share on November 28, 2017, to shareholders on record as of November 30, 2017.
Separately the company has entered into a contract for the sale of its property located at 333 West 34th Street in New York for $255 million to a reals estate fund managed by Brookfield. The transaction should close before the end of the year.
