Blue Vault

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REITLUVR
Posts: 3
Joined: Tue Feb 21, 2012 12:57 pm

Blue Vault

Post by REITLUVR » Tue Feb 21, 2012 1:01 pm

REITWRECKS:

I was curious if you have ever looked into Blue Vault? I know you have to pay for their subscription, but someone told me that it's sort of a Morningstar Report on Non-Publicly Traded REITs.

I don't know the cost or the relevance in their research. Has anyone ever looked into them or know anything about their reports?

- REITLUVR

TimH
Posts: 1
Joined: Fri Feb 03, 2012 2:58 pm
Location: Fairfax, VA, USA
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Re: Blue Vault

Post by TimH » Tue Feb 21, 2012 1:23 pm

REITLUVR,

I haven't seen Blue Vault's reports, but I have looked at a number of issues of the Direct Investments Spectrum (http://www.dispectrum.com" onclick="window.open(this.href);return false;), which seem to be fairly thorough and also focus on non-traded REITs. They even have secondary market prices, though of course those are very difficult to verify.

Hope this helps.

DHollands51
Posts: 7
Joined: Thu Feb 23, 2012 3:32 pm

Re: Blue Vault

Post by DHollands51 » Fri Feb 24, 2012 8:25 am

I subscribe to Blue Vault, but I find their info is usually too old to be of much use. They publish their reports about 30 days after the REITs' quarterly filings. That makes the info several months old before it hits the street. If you're tracking open REITs that are taking in funds, the data is often distorted by asset flows, making comparisons tough. I find their weekly news compilations more useful than their quarterly reports, though much of what they put out I also get from other sources. Bottom line: it's somewhat useful, not that expensive (I think I pay $300/yr for their premium subscription), but not great.

REITLUVR
Posts: 3
Joined: Tue Feb 21, 2012 12:57 pm

Re: Blue Vault

Post by REITLUVR » Fri Feb 24, 2012 12:08 pm

Thanks! I find it difficult to get accurate information as numbers tend to be inaccurate based on closing costs on acquisitions, as well as, inflows of cash.

We have been bombarded with Non-Traded REIT wholesalers for the past year and while I find a lot of their stories intriguing, I find a lot of the wholesalers are full of shit. Between the redemptions being cancelled, dividend coverage not being met, and repricing of shares, it's hard to find something to like about the non-traded REIT sector. However, I do find that basing numbers solely on filed returns to be a little harsh. They don't take into account various events that could alter the filings.

Basically, I am finding it extremely difficult to do enough due diligence with independent research. Which sucks!

I am an advisor looking for an alternative income play in today's markets and was hoping the REIT world could fit a 5-10% spot in my portfolio. Back to high yields, floating rates and short duration crap!

DHollands51
Posts: 7
Joined: Thu Feb 23, 2012 3:32 pm

Re: Blue Vault

Post by DHollands51 » Sun Feb 26, 2012 11:04 am

I only do business with American Realty Capital. Their IPO for ARCT convinces me that they will deliver on what they promise: dividends paid from actual income, low fees to the organizers, and quick liquidity events for the shareholders.

NTRGUY
Posts: 9
Joined: Thu May 17, 2012 5:20 pm

Re: Blue Vault

Post by NTRGUY » Thu May 17, 2012 10:25 pm

Blue Vault and MTS are good sources of financial data for all of the non traded REIT's. The Direct investment spectrum gives more of a overview of each of the programs and not as much data.

PEtrader
Posts: 8
Joined: Fri Mar 09, 2012 8:40 am

Re: Blue Vault

Post by PEtrader » Thu May 24, 2012 8:51 pm

I would say Bluevault is probably the best source of data in the industry currently. Interestingly they are a couple of guys from the Wells back office from years ago if I understand correctly that wanted to improve the industry. The biggest problem I have with them, which really isn't their fault, is that they rely on the data and evaluation that is done by the REIT. IE the use the ffo number that the REIT reports in the filing which is really done differently by every REIT out there.

To the guy that sells only ARCT, have you ever actually looked at the numbers?

YoHoSailor
Posts: 1
Joined: Wed Jan 04, 2012 12:57 am

Re: Blue Vault

Post by YoHoSailor » Tue Jul 10, 2012 3:34 pm

REITLUVR,

Have you ever considered investing with one of the secondary market companies such as MPF?

DHollands51
Posts: 7
Joined: Thu Feb 23, 2012 3:32 pm

Re: Blue Vault

Post by DHollands51 » Fri Jul 27, 2012 12:09 pm

These are the numbers I see for ARCT:

Purchased in June/July 2011 for $10/Sh with a 7% dividend which reinvests at $9.50/Sh.
Stock listed in Mar 12. Sold shares for $11-11.25/Sh over next months, holding NQ shares long enough to capture LTCG treatment.
Annualized Returns of 16-20% depending on when shares were sold, with minimum possible tax impact.

There may be other shares that did better over that time period, but without the benefit of 20/20 hindsight I'll take the above numbers and feel content that clients are pleased with those returns.

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