Commercial Real Estate Direct.com is reporting that Richmond-based Apple REITs Co. plans to combine four of its non-traded REITs as a possible move to a listing on a major stock exchange.
According to the news and information service, the four companies are Apple REIT Six., Seven, Eight and Nine. Altogether, these real estate investment trusts own 254 hotels with 30,796 rooms. If combined, the resulting company would be among the largest publicly traded hotel companies in terms of total capitalization, with the purchase price of the hotels more than $4 billion.
The boards of the four companies have authorized an evaluation of a potential merger. However, as the story notes, a public listing of a merged company’s shares could take months.
Commercial Real Estate Direct.com is a service of FM Financial Publishing LLC, a Memphis, Tenn.-based financial advisory services firm. Kelly Clarke, director of investor relations for Apple REITs, told Virginia Business the company could not comment outside of its filing with the Securities and Exchange Commission regarding the board’s decision to authorize an evaluation.