RAIT Financial Trust Announces Expected $25 Million Gain in the Fourth Quarter from Completion of Industrial Portfolio Divest...
December 04 2017 - 8:00AM
Business Wire
RAIT Financial Trust (NYSE: RAS) ("RAIT") announced today that
the previously disclosed process to divest RAIT of a ten property
industrial portfolio (the “Portfolio”) has been completed. This
process began in the first quarter of 2017 and was completed in
November, 2017 when the last of the two remaining industrial
properties in the Portfolio were divested. As previously disclosed,
RAIT recognized non-cash losses in prior periods as properties in
the Portfolio were divested and their respective net carrying
amounts exceeded the related non-recourse debt that was satisfied
in connection with the sale of the applicable property. RAIT
expected these losses would be offset by a non-cash gain in a
future period when this process was completed and, as a result of
the completion of this process, RAIT expects to recognize a
non-cash gain of approximately $25 million during the fourth
quarter of 2017.
About RAIT Financial Trust
RAIT Financial Trust is an internally-managed real estate
investment trust focused on providing debt financing options to
owners of commercial real estate throughout the United States. For
more information, please visit www.rait.com or call Investor
Relations at 215.207.2100.
Forward-Looking Statements
This press release may contain certain forward-looking
statements within the meaning of Section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities Exchange Act
of 1934, as amended. Such forward-looking statements can generally
be identified by our use of forward-looking terminology such as
“may,” “expect,” “anticipate,” “estimate,” “approximately,” “will”
or other similar words or terms. Such forward-looking statements
include, but are not limited to, statements regarding the results
of completing the divestiture of the Portfolio, the satisfaction of
the loan encumbering the Portfolio and any related gain as a result
thereof. Such forward-looking statements are based upon RAIT’s
historical performance and its current plans, estimates and
expectations and are not a representation that such plans,
estimates, or expectations will be achieved. Such statements are
subject to known and unknown risks, uncertainties and contingencies
that may cause actual results to differ materially from the
expectations, intentions, beliefs, plans, estimates or predictions
of the future expressed or implied by such forward-looking
statements. These risks, uncertainties and contingencies include,
but are not limited to, final accounting determinations as to the
amount of any expected gain upon such divestiture, whether RAIT
will have any legal obligations on the non-recourse debt related to
the Portfolio and other factors described in RAIT’s Annual Report
on Form 10-K, Quarterly Reports on Form 10-Q and in other filings
with the SEC. RAIT undertakes no obligation to update these
forward-looking statements to reflect events or circumstances after
the date hereof or to reflect the occurrence of unanticipated
events, except as may be required by law.
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RAIT Financial TrustAndres Viroslav,
215-207-2100aviroslav@rait.com