Belpointe OZ Announces First Quarter Net Asset Value Per Class A Unit
Belpointe OZ, a publicly traded qualified opportunity fund, announced its unaudited quarterly Net Asset Value (NAV) as of March 30, 2024. The NAV stood at $361.66 million, or $99.59 per Class A unit, reflecting a 1% decrease from Q4 2023. This decline was primarily due to a valuation change in the Nashville market and increased operating costs associated with real estate assets. These were partially offset by valuation gains in the Sarasota, St. Petersburg, and Storrs markets. Despite the NAV decline, CEO Brandon Lacoff expressed confidence in the company's portfolio and long-term return potential. Additionally, the company is excited about the first residential tenants moving into their flagship property, Aster & Links, in Sarasota, FL.
- NAV for Q1 2024 stands at $361.66 million or $99.59 per Class A unit.
- Valuation gains in Sarasota, St. Petersburg, and Storrs markets.
- Confidence expressed by management in the company's long-term return potential.
- First residential tenants moving into Aster & Links, the flagship property in Sarasota, FL.
- NAV decreased by approximately 1% from Q4 2023.
- Decrease mainly driven by a valuation change in the Nashville market.
- Increased general operating costs associated with real estate assets.
Insights
The slight 1% decrease in NAV from
From an investor’s standpoint, a 1% decrease is relatively minor, especially given the context of real estate markets which can fluctuate based on local economic conditions. The CEO's confidence in the long-term return potential suggests that the firm is focusing on sustainable investment in growth markets. Moreover, the excitement around tenants moving into their flagship property indicates potential for future revenue streams.
For retail investors, it’s important to note that while short-term fluctuations in NAV are expected, the company's diversified portfolio across multiple regions can offer some stability. However, increased operating costs are something to monitor, as they can impact profitability in the long run.
The valuation change in the Nashville market and the increase in general operating costs highlight some challenges that Belpointe OZ is facing. Markets like Nashville may have experienced slowdowns, possibly due to oversupply or economic factors affecting property values. On the other hand, Sarasota, St. Petersburg and Storrs have seen favorable valuation changes, suggesting strong demand or positive economic conditions in these areas.
The real estate sector often faces such geographical disparities and a diversified portfolio can help mitigate these risks. The launch of Aster & Links is an exciting development, indicating that Belpointe OZ is actively expanding and potentially enhancing its revenue base. Investors should keep an eye on tenant occupancy rates and rental income from this new property, as it will be important in determining the asset's performance moving forward.
Overall, this update suggests a stable but cautious outlook for Belpointe OZ, with some regions performing better than others and new properties starting to contribute to the portfolio.
Greenwich, CT, June 03, 2024 (GLOBE NEWSWIRE) -- Belpointe PREP, LLC (NYSE American: OZ) (“Belpointe OZ”), a publicly traded qualified opportunity fund, today announced its unaudited quarterly net asset value (“NAV”) as of March 30, 2024 of
“Our Q1 2024 NAV represents an approximately
Brandon continued “We are also very excited to have our first residential tenants moving into our flagship property, Aster & Links, located in Sarasota, FL. You can visit https://asterandlinks.com to explore the property and view available units.”
About Net Asset Value
NAV is not a measure used under accounting principles generally accepted in the United States of America (“U.S. GAAP”), and the valuations of and certain adjustments made to our assets and liabilities used in the determination of NAV will differ from U.S. GAAP. You should not consider NAV to be equivalent to members’ capital or any other U.S. GAAP measure. For information on how Belpointe OZ calculates NAV, see the “Net Asset Value Calculation and Valuation Policies” section of our prospectus.
In calculating its NAV, Belpointe OZ adjusted for the transaction costs and equity premium associated with its acquisition of Belpointe REIT, Inc., however, did not adjust for gains or distributions distributable to the manager pursuant to the manager’s Class B units based on the conclusion that such amounts would be immaterial.
The fair value of Belpointe OZ’s real estate assets may have been impacted after March 30, 2024 by circumstances and events that are as of yet unknown. Past performance is not necessarily indicative of future results. All investments involve risk including the loss of principal.
About Belpointe OZ
Belpointe OZ is a publicly traded qualified opportunity fund, listed on NYSE American under the symbol “OZ.” To date, Belpointe OZ has over 2,500 units in its development pipeline throughout four cities, representing an approximate total project cost of over
Belpointe OZ has filed two registration statements (including a combined prospectus) with the U.S. Securities and Exchange Commission (“SEC”) for the offer and sale of up to an aggregate of
Cautionary Note Regarding Forward-Looking Statements
Certain statements in this press release may be considered forward-looking, such as statements containing estimates, projections and other forward-looking information. Forward-looking statements are typically identified by words and phrases such as “anticipate,” “estimate,” “believe,” “continue,” “could,” “intend,” “may,” “plan,” “potential,” “predict,” “seek,” “should,” “will,” “would,” “expect,” “objective,” “projection,” “forecast,” “goal,” “guidance,” “outlook,” “effort,” “target” or the negative of such words and other comparable terminology. However, the absence of these words does not mean that a statement is not forward-looking. Any forward-looking statements expressing an expectation or belief as to future events is expressed in good faith and believed to be reasonable at the time such forward-looking statement is made. However, these statements are not guarantees of future events and involve risks, uncertainties and other factors beyond our control. Therefore, we caution you against relying on any of these forward-looking statements. Actual outcomes and results may differ materially from what is expressed in any forward-looking statement. Except as required by applicable law, including federal securities laws, we do not intend to update any of the forward-looking statements to conform them to actual results or revised expectations.
Investor Relations and Media Contact:
Cody H. Laidlaw
Belpointe PREP, LLC
255 Glenville Road
Greenwich, Connecticut 06831
IR@belpointeoz.com
203-883-1944
FAQ
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