Park Place Village, Leawood, KS
KBS Real Estate Investment Trust III
Closed On May 29, 2015
CASH DISTRIBUTION HISTORY*
|RECORD DATE||Annualized Distribution Amount|
|January 2019 – December 2019||$0.05416667||Monthly||$0.65**|
|January 2020 – December 2020||$0.04983333||Monthly||$0.60|
|January 2021 – February 2021||$0.04983333||Monthly||$0.60**|
|PERIOD||PAID IN CASH AND STOCK DISTRIBUTION
|November 2019||$0.80||November 4, 2019|
*For the year ended December 31, 2019, KBS REIT III paid aggregate distributions of $162.3 million (excluding stock distributions issued in the Special Dividend), including $110.6 million of distributions paid in cash and $51.7 million of distributions reinvested through the dividend reinvestment plan. KBS REIT III funded total distributions paid, which includes net cash distributions and dividends reinvested by stockholders, but excludes stock distributions issued in the Special Dividend, with $70.6 million (43%) of cash flow from current operating activities, $11.1 million (7%) of cash flow from operating activities in excess of distributions paid during prior periods, $8.6 million (6%) from debt financing and $72.0 million (44%) with proceeds from asset sales. In addition, in connection with the December 12, 2019 Special Dividend payment, which was paid 35% in cash and 65% in stock, KBS REIT III issued $90.0 million in shares of common stock. For the nine months ended September 30, 2020, KBS REIT III paid aggregate distributions of $82.1 million, including $46.8 million of distributions paid in cash and $35.3 million of distributions reinvested through the dividend reinvestment plan. KBS REIT III funded total distributions paid, which includes net cash distributions and dividends reinvested by stockholders, with $70.1 million (85%) of cash flow from current operating activities and $12.0 million (15%) from debt financing. For more information, please refer to KBS REIT III’s public filings with the SEC. Since a portion of the distributions paid to date were paid with borrowings, distributions and the distribution rates referenced above many not be sustainable.
KBS REIT IIl’s charter permits it to pay distributions from any source, including offering proceeds or borrowings (which may constitute a return of capital), and does not limit the amount of funds it may use from any source to pay such distributions. If KBS REIT Ill pays distributions from sources other than cash flows from operating activities, it will have less funds available to make real estate investments and the overall return to its stockholders may be reduced.
**Annualized distribution amount assumes the monthly amount is paid each month for a 12-month period. On January 19, 2021, KBS Real Estate Investment Trust III, Inc.’s (the “REIT’s”) board of directors authorized a January 2021 distribution in the amount of $0.04983333 per share on the outstanding shares of the REIT’s common stock to stockholders of record as of the close of business on January 21, 2021, which the REIT expects to pay in February 2021, and a February 2021 distribution in the amount of $0.04983333 per share on the outstanding shares of the REIT’s common stock to stockholders of record as of the close of business on February 19, 2021, which the REIT expects to pay in March 2021. KBS REIT III can give no assurance regarding the amount or timing of future distributions.
***On October 23, 2019, the board of directors of KBS REIT III authorized a special dividend in the amount of $0.80 per share of common stock payable in either shares of KBS REIT Ill’s common stock or cash to, and at the election of, the stockholders of record as of the close of business on November 4, 2019. If stockholders elected all cash, their election was subject to adjustment such that the aggregate amount of cash distributed by KBS REIT III was a maximum of 35% of the total Special Dividend, with the remainder paid in shares of common stock. The special dividend was paid on December 12, 2019 to stockholders of record as of the close of business November 4, 2019. KBS REIT III paid $48.5 million (35%) in cash and issued $90.0 million (65%) in stock pursuant to the Special Dividend.