DWS-Advised RREEF Property Trust to Liquidate, Sell Seven Properties
RREEF Property Trust’s board of directors has approved a plan to liquidate and dissolve the nontraded real estate investment trust, selling off its remaining portfolio and returning proceeds to stockholders, the DWS-advised company said Sept. 18.
The board unanimously approved the plan of complete liquidation and dissolution on Sept. 15, according to breaking news from the company. The plan requires approval from holders of a majority of RREEF Property Trust’s outstanding common stock, and the company plans to hold a special stockholder meeting expected in early 2027 to seek that approval.
RREEF Property Trust is a publicly registered, nontraded, daily net asset value REIT advised by an affiliate of DWS. Its shares trade under multiple ticker symbols by class, including ZRPTIX for its Class I shares.
“With since-inception annualized total returns as of Aug. 31, 2026, of 6.35% for Class I shares, (our largest and longest-running share class since inception) and annualized monthly distributions between 5.1% and 6.9% over the past two years across all share classes, we are proud of the company’s legacy and the performance of our individual investments,” said Todd Henderson, chairman of the board and president and chief executive officer of RREEF Property Trust.
“However, a period of heightened redemption activity experienced by the company and the industry in general and the challenges of attracting new capital led us to a diligent exploration of various strategic alternatives. As a result, our board of directors determined that the voluntary and orderly liquidation of the company’s assets is the most attractive path to maximizing stockholder value.”
The company’s portfolio currently holds seven real estate investments across five states, spanning the industrial, retail, residential, and office sectors. RREEF Property Trust said it will aim to complete the sale of its assets within 24 months of stockholder approval of the plan.
Once approved, the plan authorizes RREEF Property Trust and its operating partnership to sell, convey, or otherwise dispose of their assets without further stockholder approval, under Sections 331, 336, and 346(a) of the Internal Revenue Code and the Maryland General Corporation Law. The board may also transfer remaining assets to a liquidating trust and make a final distribution to stockholders in the form of beneficial interests in that trust, rather than cash, if it determines doing so would help preserve the company’s REIT status, limit tax liability, or end its SEC reporting obligations.
Effective immediately, the board suspended the sale of common stock in RREEF Property Trust’s public and private offerings, its share redemption plan, and its distribution reinvestment plan. The company said it intends to continue paying monthly distributions to stockholders while it seeks approval of the plan, subject to the board’s discretion.
Jones Lang LaSalle Securities is serving as financial adviser to RREEF Property Trust on the liquidation. Alston & Bird is acting as counsel to the company, and Venable is serving as Maryland counsel.
RREEF Property Trust intends to file a proxy statement with the U.S. Securities and Exchange Commission ahead of the special meeting, which stockholders are being urged to review before voting on the plan.
Previously reported by AltsWire, the REIT fulfilled 100% of stockholder redemption requests in July, marking a reversal from June when redemption demand exceeded its monthly and quarterly caps and stockholders received just 67.6% of what they asked to redeem.
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