Filed pursuant to 424(b)(3)
Registration #333-118860
SUPPLEMENT NO. 24
DATED JUNE 23, 2005
TO THE PROSPECTUS DATED DECEMBER 21, 2004
OF INLAND WESTERN RETAIL REAL ESTATE TRUST, INC.
We are providing this Supplement No. 24 to you in order to supplement our prospectus. This Supplement updates information in the "Real Property Investments" and "Plan of Distribution" sections of our prospectus. This Supplement No. 24 supplements, modifies or supersedes certain information contained in our prospectus and Supplement No. 23 dated June 16, 2005 (Supplement No. 23 superseded certain information contained in our prospectus and prior supplements dated between December 29, 2004 and June 16, 2005), and must be read in conjunction with our prospectus.
Real Property Investments
The discussion under this section, which starts on page 110 of our prospectus, is modified and supplemented by the following information regarding properties we have acquired or intend to acquire.
The following table provides information regarding the properties we have acquired since June 16, 2005, the date of our last supplement, Supplement No. 23. We have purchased these properties from unaffiliated third parties. We purchased these properties with our own funds, unless noted otherwise. However, we expect to place financing on these properties that do not currently have financing at a later date.
Year | Date | Approximate Acquisition Costs Including Expenses | Gross Leasable Area | Physical Occupancy as of 06/01/05 | No. of | ||
Property | Built | Acquired | ($) * | (Sq. Ft.) | (%) | Tenants | Major Tenants ** |
CVS Drug Store | 1999 | 06/17/05 | 3,986,000 | 10,908 | 100 | 1 | CVS Drug Store |
Fisher Scientific | 2001 | 06/17/05 | 14,000,000 | 114,700 | 100 | 1 | Richard Allen Scientific |
Home Depot Center | 1996 | 06/17/05 | 17,705,000 | 136,123 | 100 | 1 | Home Depot |
Home Depot Plaza | 1992 | 06/17/05 | 28,363,000 | 135,643 | 100 | 4 | Home Depot |
Century III Plaza | 1996 | 06/17/05 | 42,903,000 | 283,839 | 100 | 4 | Home Depot |
* | Our acquisition costs may increase by additional costs, which have not yet been finally determined. We expect any additional costs to be insignificant. |
** | Major tenants include tenants leasing more than 10% of the gross leasable area of the individual property. |
(1) | On June 17, 2005, the seller paid to us all amounts due under their loan ($12.2 million) to us prior to our acquisition of this property. |
(2) | These properties were purchased from affiliated sellers. |
Potential Property Acquisitions
We are currently considering acquiring the properties listed below. Our decision to acquire these properties will generally depend upon:
- no material adverse change occurring relating to the underlying properties, the tenants or in the local economic conditions;
- our receipts of sufficient net proceeds from our offering and financing proceeds to make this acquisition; and
- our receipt of satisfactory due diligence information including appraisal, environmental reports and lease information.
Other properties may be identified in the future that we may acquire before or instead of these underlying properties. We cannot guarantee that we will complete this acquisition.
In evaluating these properties as a potential acquisition and determining the appropriate amount of consideration to be paid for these properties, we have considered a variety of factors including, overall valuation of net rental income, location, demographics, quality of tenants, length of leases, price per square foot, occupancy and the fact that overall rental rate at the shopping center is comparable to market rates. We believe that these properties are well located, have acceptable roadway access, is well maintained and have been professionally managed. These properties will be subject to competition from similar shopping centers within their market area, and their economic performance could be affected by changes in local economic conditions. We did not consider any other factors materially relevant to our decision to acquire these properties.
Year | Approximate Acquisition Costs Including | Gross Leasable Area | Physical Occupancy as of 06/01/05 | No. of | |||
Property | Built | Expenses ($) * | (Sq. Ft.) | (%) | Tenants | Major Tenants ** | |
Software AG Building | 1986 | 15,840,000 | 85,860 | 100 | 1 | Software AG | |
Wild Oats Market | 2000 | 13,580,000 | 48,000 | 100 | 1 | Wild Oats Market | |
Shoppes at Great Southwest Crossing | 2003 | 16,292,000 | 92,270 | 100 | 22 | Office Depot | |
Mission Crossing | Renov-ated 2003/ | 23,100,500 | 167,754 | 84 | 14 | Gold's Gym | |
Duck Creek Plaza | 2005 | 24,450,000 | 138,339 | 87 | 16 | Schnucks | |
Southpark Meadows | 2004 | 22,225,000 | 257,926 | 92 | 9 | Wal-Mart | |
* | Our acquisition costs may increase by additional costs, which have not yet been finally determined. We expect any additional costs to be insignificant. | ||||||
** | Major tenants include tenants leasing more than 10% of the gross leasable area of the individual property. | ||||||
(1) | We anticipate purchasing this property with our own funds and assumption of the existing mortgage debt of approximately $9,217,290. The existing mortgage debt requires monthly principal and interest payments, based on a fixed interest rate of 6.30% over a 30 year amortization term and matures in August 2013. | ||||||
(2) | The initial closing is expected to be for 140,715 gross leasable square feet and the occupancy percentage represents the estimated occupancy of the entire shopping center as if we purchased it completely. The remaining 27,039 gross leasable square feet is expected to close at a later date when the tenants sign their leases, occupy their space and their leases have commenced. | ||||||
(3) | The initial closing is expected to be for 119,753 gross leasable square feet and the occupancy percentage represents the estimated occupancy of the entire shopping center as if we purchased it completely. The remaining 18,586 gross leasable square feet is expected to close at a later date when the tenants sign their leases, occupy their space and their leases have commenced. | ||||||
(4) | The initial closing is expected to be for 236,526 gross leasable square feet and the occupancy percentage represents the estimated occupancy of the entire shopping center as if we purchased it completely. The remaining 21,400 gross leasable square feet is expected to close at a later date when the tenants sign their leases, occupy their space and their leases have commenced. | ||||||
Plan of Distribution
The following new subsection is inserted at the end of this section on page 360 of our prospectus.
Update
The following table updates shares sold in our offering as of June 21, 2005:
Gross | Commission and fees | Net | ||
Shares | proceeds ($) | ($) (1) | proceeds ($) | |
From our advisor | 20,000 | 200,000 | - | 200,000 |
Our offering dated September 15, 2003: | 249,980,000 | 2,499,720,014 | 262,079,815 | 2,237,640,199 |
Our second offering dated December 21, 2004 | 91,253,585 | 912,535,854 | 94,603,099 | 817,932,755 |
Shares sold pursuant to our distribution reinvestment program | 7,748,882 | 73,614,376 | - | 73,614,376 |
Shares repurchased pursuant to our share repurchase program | (312,546) | (2,891,054) | - | (2,891,054) |
348,689,921 | 3,483,179,190 | 356,682,914 | 3,126,496,276 |
- Inland Securities Corporation serves as dealer manager of this offering and is entitled to receive selling commissions and certain other fees, as discussed further in our prospectus.