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REIT ATM offerings up 37.5% QOQ in Q4'15

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REIT ATM offerings up 37.5% QOQ in Q4'15

U.S.equity REITs raised $830.5 million of equity through at-the-market offerings inthe fourth quarter of 2015, 37.5% more than was raised in the prior quarter.However, equity raised through ATM programs in the fourth quarter was down52.0% from the $1.73 billion logged in the fourth quarter of 2014.

21REITs tapped their ATM programs in the fourth quarter, slightly less than the22 REITs that did so in the prior quarter, and down significantly from the 32 REITsthat utilized ATM programs during the fourth quarter a year ago.

was the only REIT to raise more than $100 million through an ATM program in thefourth quarter, generating just over $200.8 million in the period. The companyhas used its ATM program every quarter since it was Feb. 26, 2015, and the amountraised in the fourth quarter is greater than all funds raised in the threeprior quarters combined.

and raised the second- and third-most proceeds through ATM programs in the fourthquarter, bringing in $98.4 million and $75 million, respectively.

Year-to-datethrough April 1, six REITs have initiated new ATM equity programs aggregatingapproximately $2.27 billion. That is down from the same period in 2015, when 10REITs announced programs totaling $4.21 billion. The median size of the ATMprograms announced through April 1 is $291 million, down slightly from the $300million median program size in the same period in 2015.

onMarch 8 announced thelargest equity distribution program year-to-date in 2016. The company noted inits prospectus that it has the option to sell up to 5 million common shares,with an estimated aggregate price of nearly $700 million.

NationalRetail Properties inked the second-largest ATM program in the year onMarch 18. The company aims to generate nearly $537.8 million in proceedsthrough the sale of up to 12 million shares of common stock.

Ofthe selling agents involved in the six programs, Jefferies LLC and Wells FargoSecurities LLC were tied for first, with involvement in four programs apiece.BMO Capital Markets Corp., J.P. Morgan Securities LLC and Merrill Lynch PierceFenner & Smith Inc. each were involved in three of the programs announcedthis year.

Click here to view these charts in Excel format, and click here to access SNL's Real Estate offerings activity template from the Template Library. Also, track all capital-raising activity in the sector here.