JLL Income Property Trust Announces Tax Treatment of 2020 Distributions - WIRE.RealEstate

JLL Income Property Trust Announces Tax Treatment of 2020 Distributions

Feb 15, 2021 3:13 PM ET


JLL Income Property

iCrowdNewswire   Feb 15, 2021  3:13 PM ET

JLL Income Property Trust, an institutionally managed daily NAV REIT with more than $3.4 billion in portfolio assets, today announced the income tax treatment of its dividends paid in 2020. For the tax year ended December 31, 2020, approximately 57 percent of the distributions paid will qualify as non-dividend distribution or return of capital (box 3 on Form 1099) and approximately 43 percent of distributions paid will qualify as tax advantaged long-term capital gain (box 2a).

“Our primary investment objectives remain durability of dividend distributions and preservation of invested capital, and even amid the COVID-induced recession, we believe we delivered on that goal in 2020,” said Allan Swaringen, President and CEO of JLL Income Property Trust. “We also strive to be a source of longer-term tax advantaged income for stockholders and for the ninth year in a row we exceeded our target tax efficiency. Further, last year we accelerated the Payment Date of our quarterly dividends and paid five distributions to stockholders who held shares throughout 2020. This resulted in an effective 5.8 percent annualized distribution yield for 2020 on our M-I share class based upon the yearend share price of $11.62, however, this will normalize to four dividend payments in 2021. Finally, the 2017 Tax Cuts and Jobs Act continues to provide substantial tax savings to REIT investors.”

The table below summarizes the income tax treatment of distributions paid to Class A stockholders during the year ended December 31, 2020:

Record

Date

 

Payment
Date

 

Net
Distribution
per share 
(1)

   

Capital Gain
Income (2)

 

Return of Capital

 

Unrecaptured
Section 1250
Gains

12/30/2019

 

2/3/2020

 

$

0.11189

   

$

0.04867

 

43.5

%

 

$

0.06322

 

56.5

%

 

$

0.01992

 

3/25/2020

 

3/30/2020

 

0.11211

   

0.04877

 

43.5

   

0.06334

 

56.5

   

0.01996

 

6/24/2020

 

6/29/2020

 

0.11239

   

0.04889

 

43.5

   

0.06350

 

56.5

   

0.02001

 

9/24/2020

 

9/29/2020

 

0.11282

   

0.04908

 

43.5

   

0.06374

 

56.5

   

0.02008

 

12/23/2020

 

12/30/2020

 

0.11280

   

0.04907

 

43.5

   

0.06373

 

56.5

   

0.02008

 

Total

     

$

0.56201

   

$

0.24448

 

43.5

%

 

$

0.31753

 

56.5

%

 

$

0.10005

 
   

(1)

Distributions per share are net of dealer manager fees of 0.85%.

   

(2)

Distributions include 17.8% of Unrecaptured Section 1250 Gain.

The table below summarizes the income tax treatment of distributions paid to Class M stockholders during the year ended December 31, 2020:

Record
Date

 

Payment
Date

 

Net
Distribution
per share (1)

   

Capital Gain
Income (2)

 

Return of Capital

 

Unrecaptured
Section 1250
Gains

12/30/2019

 

2/3/2020

 

$

0.12600

   

$

0.05481

 

43.5

%

 

$

0.07119

 

56.5

%

 

$

0.02243

 

3/25/2020

 

3/30/2020

 

0.12649

   

0.05502

 

43.5

   

0.07147

 

56.5

   

0.02252

 

6/24/2020

 

6/29/2020

 

0.12683

   

0.05517

 

43.5

   

0.07166

 

56.5

   

0.02258

 

9/24/2020

 

9/29/2020

 

0.12661

   

0.05508

 

43.5

   

0.07153

 

56.5

   

0.02254

 

12/23/2020

 

12/30/2020

 

0.12719

   

0.05533

 

43.5

   

0.07186

 

56.5

   

0.02264

 

Total

     

$

0.63312

   

$

0.27541

 

43.5

%

 

$

0.35771

 

56.5

%

 

$

0.11271

 
   

(1)

Distributions per share are net of dealer manager fees of 0.30% of NAV.

   

(2)

Distributions include 17.8% of Unrecaptured Section 1250 Gain.

The table below summarizes the income tax treatment of distributions paid to Class A-I stockholders during the year ended December 31, 2020:

Record
Date

 

Payment
Date

 

Net
Distribution
per share (1)

   

Capital Gain
Income (2)

 

Return of Capital

 

Unrecaptured
Section 1250
Gains

12/30/2019

 

2/3/2020

 

$

0.12674

   

$

0.05513

 

43.5

%

 

$

0.07161

 

56.5

%

 

$

0.02256

 

3/25/2020

 

3/30/2020

 

0.12681

   

0.05516

 

43.5

   

0.07165

 

56.5

   

0.02257

 

6/24/2020

 

6/29/2020

 

0.12753

   

0.05548

 

43.5

   

0.07205

 

56.5

   

0.02270

 

9/24/2020

 

9/29/2020

 

0.12632

   

0.05495

 

43.5

   

0.07137

 

56.5

   

0.02248

 

12/23/2020

 

12/30/2020

 

0.12715

   

0.05531

 

43.5

   

0.07184

 

56.5

   

0.02263

 

Total

     

$

0.63455

   

$

0.27603

 

43.5

%

 

$

0.35852

 

56.5

%

 

$

0.11294

 
   

(1)

Distributions per share are net of dealer manager fees of 0.30% of NAV.

   

(2)

Distributions include 17.8% of Unrecaptured Section 1250 Gain.

The table below summarizes the income tax treatment of distributions paid to Class M-I stockholders during the year ended December 31, 2020:

Record
Date

 

Payment
Date

 

Net
Distribution
per share

   

Capital Gain
Income (1)

 

Return of Capital

 

Unrecaptured

Section 1250
Gains

12/30/2019

 

2/3/2020

 

$

0.13500

   

$

0.05873

 

43.5

%

 

$

0.07628

 

56.5

%

 

$

0.02403

 

3/25/2020

 

3/30/2020

 

0.13500

   

0.05873

 

43.5

   

0.07628

 

56.5

   

0.02403

 

6/24/2020

 

6/29/2020

 

0.13500

   

0.05873

 

43.5

   

0.07628

 

56.5

   

0.02403

 

9/24/2020

 

9/29/2020

 

0.13500

   

0.05873

 

43.5

   

0.07628

 

56.5

   

0.02403

 

12/23/2020

 

12/30/2020

 

0.13500

   

0.05873

 

43.5

   

0.07628

 

56.5

   

0.02403

 

Total

     

$

0.67500

   

$

0.29365

 

43.5

%

 

$

0.38140

 

56.5

%

 

$

0.12015

 
   

(1)

Distributions include 17.8% of Unrecaptured Section 1250 Gain.

The table below summarizes the income tax treatment of distributions paid to Class D stockholders during the year ended December 31, 2020:

Record
Date

 

Payment
Date

 

Net
Distribution
per share

   

Capital Gain
Income (1)

 

Return of Capital

 

Unrecaptured
Section 1250
Gains

12/30/2019

 

2/3/2020

 

$

0.13500

   

$

0.05873

 

43.5

%

 

$

0.07628

 

56.5

%

 

$

0.02403

 

3/25/2020

 

3/30/2020

 

0.13500

   

0.05873

 

43.5

   

0.07628

 

56.5

   

0.02403

 

6/24/2020

 

6/29/2020

 

0.13500

   

0.05873

 

43.5

   

0.07628

 

56.5

   

0.02403

 

9/24/2020

 

9/29/2020

 

0.13500

   

0.05873

 

43.5

   

0.07628

 

56.5

   

0.02403

 

12/23/2020

 

12/30/2020

 

0.13500

   

0.05873

 

43.5

   

0.07628

 

56.5

   

0.02403

 

Total

     

$

0.67500

   

$

0.29365

 

43.5

%

 

$

0.38140

 

56.5

%

 

$

0.12015

 
   

(1)

Distributions include 17.8% of Unrecaptured Section 1250 Gain.

The dollar amount reported on each investor’s respective 1099-DIV will depend on the total amount of distributions received throughout the year which can be affected by the share class held and the length of time the shares were owned.

This release is based on the preliminary results of work on the company’s tax filings and may be subject to adjustment. The income tax allocation for the distributions discussed above has been calculated using the best available information as of the date of the release. The company is releasing information at this time to aid those required to distribute Forms 1099 on the company’s distributions. Tax treatment of distributions is dependent on a number of factors and there is no guarantee that future distributions will qualify as a non-dividend distribution, return of capital or long-term capital gain.

JLL Income Property Trust is an institutionally managed, daily NAV REIT that gives investors access to a growing portfolio of commercial real estate investments selected by an institutional investment management team and sponsored by one of the world’s leading real estate services firms.

For more information on JLL Income Property Trust, please visit our website at www.jllipt.com.

About JLL Income Property Trust ,
Jones Lang LaSalle Income Property Trust, Inc. is a daily NAV REIT that owns and manages a diversified portfolio of high quality, income-producing apartment, industrial, office and grocery-anchored retail properties located in the United States. JLL Income Property Trust expects to further diversify its real estate portfolio over time, including on a global basis. For more information, visit www.jllipt.com.

About LaSalle Investment Management
LaSalle Investment Management is one of the world’s leading real estate investment managers. On a global basis, LaSalle manages approximately $69 billion of assets in private and public real estate property and debt investments as of Q4 2020. LaSalle’s diverse client base includes public and private pension funds, insurance companies, governments, corporations, endowments and private individuals from across the globe. LaSalle sponsors a complete range of investment vehicles including separate accounts, open- and closed-end funds, public securities and entity-level investments. For more information please visit http://www.lasalle.com.

Scott Sutton
LaSalle Investment Management
Telephone: +1 224 343 5538
Email: scott.sutton@lasalle.com 

Doug Allen
Dukas Linden Public Relations
Telephone: +1 646 722 6530
Email: JLLIPT@DLPR.com

Contact Information:

Scott Sutton
LaSalle Investment Management
Telephone: +1 224 343 5538
Email: scott.sutton@lasalle.com 


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