VERSUS CAPITAL MULTI-MANAGER REAL ESTATE INCOME FUND LLC
Portfolio of Investments – June 30, 2023 (Unaudited)
Shares | Value | |
Private Investment Funds(a) - 84.5% | ||
Diversified – 84.5% | ||
97,191 | AEW Core Property (U.S.), LP | $ 109,964,142 |
— | AEW Value Investors US LP(b)(c) | 62,267,745 |
106,972,008 | CBRE U.S. Core Partners LP | 193,828,999 |
155,124,479 | CBRE U.S. Logistics Partners LP(b) | 200,948,250 |
76,583 | Clarion Gables Multifamily Trust LP | 126,778,953 |
136,024 | Clarion Lion Properties Fund LP | 230,249,280 |
51,570 | GI Partners ETS Fund(b) | 62,060,920 |
— | GWL U.S. Property Fund LP(b)(d) | 138,348,486 |
66,554 | Harrison Street Core Property Fund | 106,142,377 |
96,999 | Heitman America Real Estate LP | 134,967,465 |
112,217 | Heitman Core Real Estate Debt Income Trust LP(b) | 104,451,112 |
14,504 | Hines European Property Partners(b) | 21,162,361 |
996 | Invesco Core Real Estate USA LP | 206,050,293 |
864,289 | Invesco Real Estate Asia Fund | 109,654,973 |
907,366 | RREEF America REIT II, Inc. | 130,232,167 |
29,449 | TA Realty Core Property Fund, LP | 42,743,572 |
2,269 | Trumbull Property Fund LP | 22,439,722 |
1,043 | Trumbull Property Income Fund, LP | 13,775,580 |
— | US Government Building Open-End Feeder, LP(e) | 47,095,223 |
— | USGBF Alpha Feeder LP(f)(g) | 31,459,901 |
55,016 | Walton Street Real Estate Core-Plus Fund, LP(b) | 73,461,375 |
Total Private Investment Funds | 2,168,082,896 | |
(Cost $1,934,165,880) | ||
Common Stocks - 11.6% | ||
Apartments/Single Family Residential – 2.5% | ||
325,204 | American Homes 4 Rent, Class A Shares, REIT | 11,528,482 |
297,058 | Apartment Income REIT Corp. | 10,720,823 |
53,321 | AvalonBay Communities, Inc., REIT | 10,092,066 |
59,747 | Camden Property Trust, REIT | 6,504,656 |
537 | Daiwa House REIT Investment Corp. (Japan) | 1,029,615 |
118,984 | Equity Residential, REIT | 7,849,374 |
13,392 | Essex Property Trust, Inc., REIT | 3,137,746 |
115,190 | Independence Realty Trust, Inc., REIT | 2,098,762 |
2,137 | Invincible Investment Corp., REIT (Japan) | 849,500 |
273,259 | Invitation Homes, Inc., REIT | 9,400,110 |
27,956 | Spirit Realty Capital, Inc., REIT | 1,100,907 |
64,312,041 | ||
Diversified – 2.2% | ||
286 | Activia Properties, Inc., REIT (Japan) | 799,780 |
7,781 | American Tower Corp., REIT | 1,509,047 |
135,242 | Arena, REIT (Australia) | 340,114 |
103,560 | Broadstone Net Lease, Inc., REIT | 1,598,966 |
371,880 | Cromwell European Real Estate Investment Trust, REIT (Singapore) | 633,899 |
13,505 | Crown Castle, Inc, REIT | 1,538,760 |
1,036,711 | Digital Core REIT Management Pte, Ltd. (Singapore) | 494,086 |
114,681 | Digital Realty Trust, Inc., REIT | 13,058,726 |
18,788 | Equinix, Inc., REIT | 14,728,665 |
90,019 | Gaming and Leisure Properties, Inc., REIT | 4,362,321 |
7,118 | Gecina SA, REIT (France) | 759,338 |
163,759 | Ingenia Communities Group, REIT (Australia) | 436,029 |
169,038 | Mercialys SA, REIT (France) | 1,527,582 |
159,813 | Merlin Properties Socimi SA, REIT (Spain) | 1,368,855 |
362 | Mori Hills REIT Investment Corp. (Japan) | 370,310 |
2,562 | Sekisui House Reit, Inc. (Japan) | 1,492,065 |
Shares | Value | |
Diversified - (continued) | ||
722,461 | Stockland, REIT (Australia) | $ 1,942,180 |
336,594 | VICI Properties, Inc., REIT | 10,579,149 |
57,539,872 | ||
Health Care – 1.4% | ||
123,100 | Chartwell Retirement Residences (Canada) | 879,982 |
51,191 | Healthcare Realty Trust, Inc., REIT | 965,462 |
120,552 | HealthCo, REIT (Australia) | 105,602 |
203,157 | Healthpeak Properties, Inc., REIT | 4,083,456 |
67,454 | Medical Properties Trust, Inc., REIT | 624,624 |
24,896 | National Health Investors, Inc., REIT | 1,305,048 |
236,194 | Sabra Health Care REIT, Inc. | 2,780,003 |
250,629 | Ventas, Inc., REIT | 11,847,233 |
164,462 | Welltower, Inc., REIT | 13,303,331 |
35,894,741 | ||
Hotels – 0.3% | ||
1 | CapitaLand Ascott Trust, REIT (Singapore) | 1 |
52,399 | DiamondRock Hospitality Co., REIT | 419,716 |
270,102 | Host Hotels & Resorts, Inc., REIT | 4,545,817 |
1,566 | Japan Hotel REIT Investment Corp. (Japan) | 798,874 |
128,620 | Xenia Hotels & Resorts, Inc., REIT | 1,583,312 |
7,347,720 | ||
Office Properties – 0.6% | ||
83,902 | Alexandria Real Estate Equities, Inc., REIT | 9,522,038 |
44,489 | Boston Properties, Inc., REIT | 2,562,122 |
92,600 | Cousins Properties, Inc., REIT | 2,111,280 |
14,195,440 | ||
Real Estate Operation/Development – 0.4% | ||
593,300 | Capitaland Investment, Ltd. (Singapore) | 1,457,705 |
90,844 | Castellum AB (Sweden) | 869,608 |
113,900 | Mitsui Fudosan Co., Ltd. (Japan) | 2,270,188 |
826,258 | Qualitas, Ltd. (Australia) | 1,489,094 |
1,255,144 | RAM Essential Services Property Fund (Australia) | 576,919 |
40,400 | Sumitomo Realty & Development Company Ltd. (Japan) | 1,001,151 |
155,500 | Sun Hung Kai Properties, Ltd. (Hong Kong) | 1,964,682 |
84,586 | Wihlborgs Fastigheter AB (Sweden) | 612,253 |
10,241,600 | ||
Regional Malls – 0.4% | ||
69,629 | Klepierre SA, REIT (France) | 1,729,875 |
79,235 | Simon Property Group, Inc., REIT | 9,150,058 |
10,879,933 | ||
Residential – 0.2% | ||
22,492 | Equity LifeStyle Properties, Inc., REIT | 1,504,490 |
32,022 | Sun Communities, Inc., REIT | 4,177,590 |
5,682,080 | ||
Shopping Centers – 1.0% | ||
759,800 | CapitaLand Integrated Commercial Trust, REIT (Singapore) | 1,076,742 |
50,771 | Federal Realty Investment Trust, REIT | 4,913,110 |
303,129 | Kite Realty Group Trust, REIT | 6,771,902 |
1,136,381 | Lendlease Global Commercial, REIT (Singapore) | 555,719 |
708,280 | Link, REIT (Hong Kong) | 3,943,082 |
31,863 | Regency Centers Corp., REIT | 1,968,177 |
631,737 | Scentre Group, REIT (Australia) | 1,117,235 |
338,905 | SITE Centers Corp., REIT | 4,480,324 |
24,826,291 | ||
Storage – 0.9% | ||
76,027 | Big Yellow Group, PLC, REIT (United Kingdom) | 1,037,451 |
176,365 | CubeSmart, REIT | 7,876,461 |
See accompanying notes to portfolio of investments.
1
VERSUS CAPITAL MULTI-MANAGER REAL ESTATE INCOME FUND LLC
Portfolio of Investments – June 30, 2023 (Unaudited) (continued)
Shares | Value | |
Storage - (continued) | ||
32,718 | Extra Space Storage, Inc., REIT | $ 4,870,074 |
22,962 | Public Storage, REIT | 6,702,149 |
124,008 | Safestore Holdings, PLC, REIT (United Kingdom) | 1,342,275 |
21,828,410 | ||
Warehouse/Industrial – 1.7% | ||
333,981 | Centuria Industrial, REIT (Australia) | 691,725 |
746 | CRE Logistics, Inc., REIT (Japan) | 923,134 |
223,800 | Dream Industrial Real Estate Investment Trust, REIT (Canada) | 2,383,709 |
2,049,107 | ESR, REIT (Singapore) | 509,343 |
168,745 | ESR Kendall Square Co., Ltd., REIT (South Korea) | 514,804 |
41,402 | First Industrial Realty Trust, Inc., REIT | 2,179,401 |
51,910 | Goodman Group, REIT (Australia) | 697,818 |
699 | Industrial & Infrastructure Fund Investment Corp., REIT (Japan) | 735,857 |
310 | Mitsubishi Estate Logistics Investment Corp., REIT (Japan) | 889,153 |
376,000 | Nexus Industrial, REIT (Canada) | 2,406,854 |
58,300 | Plymouth Industrial, Inc., REIT | 1,342,066 |
205,494 | Prologis, Inc., REIT | 25,199,729 |
56,154 | Rexford Industrial Realty, Inc., REIT | 2,932,362 |
187,293 | Segro, PLC, REIT (United Kingdom) | 1,708,078 |
748,000 | SF Real Estate Investment Trust, REIT (Virgin Islands (British)) | 265,921 |
331,774 | Tritax Big Box REIT, PLC (United Kingdom) | 528,025 |
43,907,979 | ||
Total Common Stocks | 296,656,107 | |
(Cost $320,259,105) | ||
Preferred Stocks - 1.4% | ||
Apartments/Single Family Residential – 0.1% | ||
22,805 | Agree Realty Corp., REIT, Series A, 4.25% | 423,717 |
American Homes 4 Rent, REIT, | ||
18,850 | Series G, 5.88% | 455,416 |
6,009 | Series H, 6.25% | 150,165 |
1,145 | Spirit Realty Capital, Inc., REIT, Series A, 6.00% | 25,568 |
1,054,866 | ||
Diversified – 0.1% | ||
20,730 | Armada Hoffler Properties, Inc., REIT, Series A, 6.75% | 486,533 |
Digital Realty Trust, Inc., REIT, | ||
43,605 | Series J, 5.25% | 927,478 |
54,320 | Series K, 5.85% | 1,269,459 |
35,470 | Series L, 5.20% | 764,733 |
3,448,203 | ||
Hotels – 0.2% | ||
60,165 | Chatham Lodging Trust, REIT, Series A, 6.63% | 1,143,135 |
24,740 | DiamondRock Hospitality Co., REIT, 8.25% | 631,365 |
Hersha Hospitality Trust, REIT, | ||
4,575 | Series C, 6.88% | 88,984 |
2,490 | Series D, 6.50% | 49,177 |
Pebblebrook Hotel Trust, REIT, | ||
1,935 | Series F, 6.30% | 37,694 |
46,460 | Series G, 6.38% | 868,802 |
36,595 | Series H, 5.70% | 636,753 |
Sunstone Hotel Investors, Inc., REIT, | ||
20,375 | Series H, 6.13% | 411,778 |
38,740 | Series I, 5.70% | 727,150 |
4,594,838 |
Shares | Value | |
Office Properties – 0.2% | ||
103 | Highwoods Properties, Inc., REIT, Series A, 8.63% | $ 111,707 |
98,336 | Hudson Pacific Properties, Inc., REIT, Series C, 4.75% | 920,425 |
84,863 | SL Green Realty Corp., REIT, Series I, 6.50% | 1,514,804 |
Vornado Realty Trust, REIT, | ||
6,955 | Series L, 5.40% | 108,568 |
94,136 | Series M, 5.25% | 1,399,802 |
30,015 | Series N, 5.25% | 449,625 |
88,971 | Series O, 4.45% | 1,199,329 |
5,704,260 | ||
Shopping Centers – 0.2% | ||
Kimco Realty Corp., REIT, | ||
3,403 | Series L, 5.13% | 79,970 |
10,138 | Series M, 5.25% | 248,077 |
19,850 | RPT Realty, REIT, Series D, 7.25% | 972,650 |
Saul Centers, Inc., REIT, | ||
9,150 | Series D, 6.13% | 200,934 |
26,573 | Series E, 6.00% | 572,648 |
55,507 | SITE Centers Corp., REIT, Series A, 6.38% | 1,333,833 |
Urstadt Biddle Properties, Inc., REIT, | ||
63,325 | Series H, 6.25% | 1,486,960 |
39,420 | Series K, 5.88% | 881,037 |
5,776,109 | ||
Storage – 0.5% | ||
13,790 | National Storage Affiliates Trust, REIT, Series A, 6.00% | 321,721 |
Public Storage, REIT, | ||
29,855 | Series F, 5.15% | 740,105 |
44,185 | Series G, 5.05% | 1,094,904 |
215,638 | Series H, 5.60% | 5,554,835 |
18,625 | Series I, 4.88% | 436,384 |
10,735 | Series J, 4.70% | 241,645 |
49,245 | Series L, 4.63% | 1,084,867 |
39,770 | Series M, 4.13% | 791,423 |
28,080 | Series O, 3.90% | 532,678 |
46,600 | Series P, 4.00% | 905,438 |
10,735 | Series Q, 3.95% | 197,846 |
33,320 | Series R, 4.00% | 631,414 |
19,970 | Series S, 4.10% | 388,217 |
12,921,477 | ||
Telecommunications – 0.0% | ||
DigitalBridge Group, Inc., | ||
24,955 | Series I, 7.15% | 525,303 |
18,525 | Series J, 7.13% | 397,176 |
922,479 | ||
Warehouse/Industrial – 0.1% | ||
Rexford Industrial Realty, Inc., REIT, | ||
9,348 | Series B, 5.88% | 213,508 |
64,270 | Series C, 5.63% | 1,403,014 |
1,616,522 | ||
Total Preferred Stocks | 36,038,754 | |
(Cost $42,917,090) |
Par | ||
Commercial Mortgage Backed Securities - 2.0% | ||
BANK, 144A | ||
$23,841,000 | 1.05%, 10/17/2052 Ser 2019-BN21, Class XF(h) | 1,076,321 |
9,170,167 | 1.12%, 12/15/2052 Ser 2019-BN23, Class XD(h) | 473,320 |
9,188,000 | 0.71%, 12/15/2053 Ser 2020-BN30, Class XD(h) | 325,128 |
1,600,000 | 2.50%, 12/15/2053 Ser 2020-BN30, Class D(h) | 857,936 |
1,160,500 | 2.50%, 12/15/2053 Ser 2020-BN30, Class E(h) | 561,780 |
See accompanying notes to portfolio of investments.
2
VERSUS CAPITAL MULTI-MANAGER REAL ESTATE INCOME FUND LLC
Portfolio of Investments – June 30, 2023 (Unaudited) (continued)
Par | Value | |
Commercial Mortgage Backed Securities (continued) | ||
$8,575,000 | 1.60%, 11/15/2054 Ser 2017-BNK9, Class XD(h) | $ 467,253 |
1,600,000 | 3.08%, 6/15/2060 Ser 2017-BNK5, Class D(h) | 1,049,558 |
4,000,000 | 1.50%, 11/15/2062 Ser 2019-BN22, Class XF(h) | 278,040 |
3,500,000 | 2.08%, 11/15/2062 Ser 2019-BN22, Class F(h) | 1,422,197 |
9,703,500 | 1.03%, 1/15/2063 Ser 2020-BN25, Class XD(h) | 461,957 |
6,000,000 | 1.50%, 1/15/2063 Ser 2020-BN25, Class XF | 419,905 |
6,000,000 | 2.03%, 1/15/2063 Ser 2020-BN25, Class F(h) | 2,399,360 |
1,250,000 | 2.50%, 1/15/2063 Ser 2020-BN25, Class E | 600,867 |
2,000,000 | 2.25%, 6/15/2063 Ser 2021-BN34, Class F | 676,167 |
7,000,000 | 1.01%, 5/15/2064 Ser 2021-BN33, Class XD(h) | 393,186 |
6,262,000 | 1.42%, 4/15/2065 Ser 2022-BNK41, Class XD(h) | 599,977 |
1,500,000 | 2.50%, 4/15/2065 Ser 2022-BNK41, Class D | 732,911 |
1,400,000 | 2.50%, 4/15/2065 Ser 2022-BNK41, Class E | 589,338 |
12,250,000 | BBCMS Mortgage Trust, 1.55%, 10/15/2053 Ser 2020-C8, Class XD, 144A(h) | 1,032,745 |
BENCHMARK Mortgage Trust, 144A | ||
12,667,000 | 1.33%, 1/15/2051 Ser 2018-B1, Class XE(h) | 580,118 |
5,520,000 | 1.50%, 4/10/2051 Ser 2018-B3, Class XD(h) | 309,286 |
1,719,500 | 3.25%, 10/10/2051 Ser 2018-B6, Class D(h) | 787,157 |
3,800,000 | 1.09%, 2/15/2053 Ser 2020-B16, Class XD(h) | 214,270 |
1,000,000 | 2.50%, 2/15/2053 Ser 2020-B16, Class D | 571,769 |
1,500,000 | 2.50%, 2/15/2053 Ser 2020-B16, Class E | 733,880 |
10,000,000 | 1.53%, 1/15/2054 Ser 2020-B22, Class XD(h) | 820,914 |
3,500,000 | 2.00%, 2/15/2054 Ser 2021-B23, Class E | 1,474,111 |
18,000,000 | 1.68%, 4/15/2054 Ser 2021-B25, Class XD(h) | 1,635,512 |
13,000,000 | 1.48%, 6/15/2054 Ser 2021-B26, Class XD(h) | 1,083,519 |
6,500,000 | 1.14%, 8/15/2057 Ser 2019-B13, Class XF(h) | 301,185 |
4,000,000 | 1.64%, 8/15/2057 Ser 2019-B13, Class XD(h) | 290,846 |
2,750,000 | CD Mortgage Trust, 3.25%, 8/15/2051 Ser 2018-CD7, Class D, 144A(h) | 1,619,947 |
4,500,000 | CGMS Commercial Mortgage Trust, 3.00%, 8/15/2050 Ser 2017-B1, Class D, 144A | 2,776,613 |
Citigroup Commercial Mortgage Trust, 144A | ||
1,000,000 | 3.50%, 6/10/2051 Ser 2018-C5, Class D(h) | 605,929 |
5,000,000 | 0.74%, 11/10/2052 Ser 2019-GC43, Class XF(h) | 152,982 |
3,750,000 | 0.74%, 11/10/2052 Ser 2019-GC43, Class XG(h) | 114,066 |
3,750,000 | 3.00%, 11/10/2052 Ser 2019-GC43, Class G | 1,285,546 |
Comm Mortgage Trust, | ||
1,094,000 | 5.49%, 5/15/2045 Ser 2012-CR1, Class C(h) | 958,891 |
1,000,000 | 5.49%, 5/15/2045 Ser 2012-CR1, Class D, 144A(h) | 703,158 |
1,865,000 | 4.48%, 12/10/2045 Ser 2012-CR5, Class E, 144A(h) | 1,281,601 |
618,477 | 4.15%, 1/10/2046 Ser 2013-LC6, Class D, 144A(h) | 574,797 |
2,950,000 | 3.99%, 3/10/2046 Ser 2013-CR6, Class E, 144A(h) | 1,965,880 |
2,600,000 | 5.01%, 5/10/2047 Ser 2014-CR17, Class D, 144A(h) | 2,146,158 |
2,730,000 | 1.14%, 8/15/2057 Ser 2019-GC44, Class XD, 144A(h) | 146,957 |
3,980,500 | CSAIL Commercial Mortgage Trust, 2.15%, 3/15/2052 Ser 2019-C15, Class XD, 144A(h) | 354,215 |
GS Mortgage Securities Trust, | ||
2,000,000 | 4.71%, 8/10/2046 Ser 2013-GC14, Class F, 144A(h) | 1,365,927 |
1,250,000 | 4.71%, 8/10/2046 Ser 2013-GC14, Class D, 144A(h) | 1,051,126 |
1,600,600 | 4.66%, 11/10/2047 Ser 2014-GC26, Class C(h) | 1,304,359 |
4,249,000 | 2.57%, 5/12/2053 Ser 2020-GC47, Class F, 144A(h) | 1,718,753 |
1,500,000 | 3.57%, 5/12/2053 Ser 2020-GC47, Class D, 144A(h) | 912,571 |
2,750,000 | 3.57%, 5/12/2053 Ser 2020-GC47, Class C(h) | 2,004,634 |
JPMBB Commercial Mortgage Securities Trust, | ||
1,500,000 | 4.43%, 8/15/2046 Ser 2013-C14, Class C(h) | 1,357,500 |
1,425,000 | 4.78%, 4/15/2047 Ser 2014-C19, Class D, 144A(h) | 1,249,100 |
Par | Value | |
Commercial Mortgage Backed Securities (continued) | ||
Morgan Stanley Bank of America Merrill Lynch Trust, | ||
$1,250,000 | 4.87%, 6/15/2047 Ser 2014-C16, Class D, 144A(h) | $ 991,365 |
17,880,929 | 1.41%, 5/15/2050 Ser 2017-C33, Class XA(h) | 615,671 |
Morgan Stanley Capital I Trust, 144A | ||
1,414,000 | 3.00%, 6/15/2052 Ser 2019-H6, Class D | 864,867 |
2,629,600 | 2.50%, 5/15/2054 Ser 2021-L5, Class F | 921,894 |
Total Commercial Mortgage Backed Securities | 52,265,020 | |
(Cost $76,845,443) |
Shares | ||
Short-Term Investment - 2.4% | ||
60,282,188 | Morgan Stanley Institutional Liquidity Funds - Treasury Securities Portfolio, Institutional Share Class, 4.98% | 60,282,188 |
(Cost $60,282,188) | ||
Total Investments - 101.9% | 2,613,324,965 | |
(Cost $2,434,469,706) | ||
Other Liabilities - (1.9)% | (48,137,730) | |
Net Assets - 100.0% | $2,565,187,235 |
(a) | Restricted Securities. |
(b) | The Fund owns more than 5.0% of the Private Investment Fund, but has contractually limited its voting interests to less than 5.0% of total voting interests. |
(c) | Partnership is not designated in units. The Fund owns approximately 24.6% of this Fund. |
(d) | Partnership is not designated in units. The Fund owns approximately 13.8% of this Fund. |
(e) | Partnership is not designated in units. The Fund owns approximately 1.7% of this Fund. |
(f) | Partnership is not designated in units. The Fund owns approximately 38.0% of this Fund. |
(g) | The Fund owns more than 25% of the Private Investment Fund, but has contractually limited its voting interests to less than 5% of total voting interests. |
(h) | Variable rate security. The coupon is based on an underlying pool of mortgages. The rate reported is the rate in effect at period end. |
Portfolio Abbreviations: |
144A - Rule 144A Security |
LP - Limited Partnership |
PLC - Public Limited Company |
REIT - Real Estate Investment Trust |
See accompanying notes to portfolio of investments.
3
VERSUS CAPITAL MULTI-MANAGER REAL ESTATE INCOME FUND LLC
Portfolio of Investments – June 30, 2023 (Unaudited) (continued)
Industry | % of Net Assets |
Diversified | 86.8% |
Apartments/Single Family Residential | 2.6% |
Short-Term Investment | 2.4% |
Commercial Mortgage Backed Securities | 2.0% |
Warehouse/Industrial | 1.8% |
Health Care | 1.4% |
Storage | 1.4% |
Shopping Centers | 1.2% |
Office Properties | 0.8% |
Hotels | 0.5% |
Regional Malls | 0.4% |
Real Estate Operation/Development | 0.4% |
Residential | 0.2% |
Telecommunications | 0.0% |
Liabilities in excess of Other Assets | (1.9)% |
Total | 100.0% |
See accompanying notes to portfolio of investments.
4
VERSUS CAPITAL MULTI-MANAGER REAL ESTATE INCOME FUND LLC
Notes to Portfolio of Investments
For the Period Ended June 30, 2023 (Unaudited)
Securities Valuation - Consistent with Sections 2(a)(5) and 2(a)(41) of the 1940 Act, the Fund prices its securities as follows:
Publicly Traded Securities - Investments in securities that are listed on the New York Stock Exchange (the “NYSE”) are valued, except as indicated below, at the official closing price reflected at the close of the NYSE on the business day as of which such value is being determined. If there has been no published closing price on such day, the securities are valued at the mean of the closing bid and ask prices for the day or, if no ask price is available, at the bid price. Securities not listed on the NYSE but listed on other domestic or foreign securities exchanges are valued in a similar manner. Securities traded on more than one securities exchange are valued at the closing price of the exchange representing the principal market for such securities on the business day as of which such value is being determined. If, after the close of a domestic or foreign market, but prior to the close of business on the day the securities are being valued, market conditions change significantly, the domestic or foreign securities may be valued pursuant to procedures established by the Board of Directors (the “Board”).
Securities traded in the over-the-counter market, such as fixed-income securities and certain equities, including listed securities whose primary market is believed by Versus Capital Advisors LLC (the “Adviser”) to be over-the-counter, are valued at the official closing prices as reported by sources as the Board deems appropriate to reflect their fair market value. If there has been no official closing price on such day, the securities are valued at the mean of the closing bid and ask prices for the day or, if no ask price is available, at the bid price. Fixed-income securities typically will be valued on the basis of prices provided by a pricing service, generally an evaluated price or the mean of closing bid and ask prices obtained by the pricing service, when such prices are believed by the Adviser to reflect the fair market value of such securities. Furthermore, the Adviser will review the valuation methodology of any pricing service used in the Fund’s investment valuation process, subject to oversight and/or approval of the Board.
Short-term debt securities, which have a maturity date of 60 days or less, are valued at amortized cost, which approximates fair value.
Investments in open-end mutual funds are valued at their closing NAV.
Securities for which market prices are unavailable, or securities for which the Adviser determines that the market quotation is unreliable, will be valued at fair value pursuant to procedures approved by the Board. In these circumstances, the Adviser determines fair value in a manner that fairly reflects the market value of the security on the valuation date based on consideration of any information or factors it deems appropriate. These may include recent transactions in comparable securities, information relating to the specific security and developments in the markets. The Fund’s use of fair value pricing may cause the NAV of the Shares to differ from the NAV that would be calculated using market quotations. Fair value pricing involves subjective judgments and it is possible that the fair value determined for a security may be materially different than the value that could be realized upon the sale of such security.
Private Investment Funds - The Board has adopted procedures pursuant to which the Fund will value its investments in Private Investment Funds. Before investing in any Private Investment Fund, the Adviser will conduct a due diligence review of the valuation methodology utilized by such Private Investment Fund, which as a general matter will employ market values when available, and otherwise look at principles of fair value that the Adviser reasonably believes to be consistent with (but not necessarily the same as) those used by the Fund for valuing its own investments. The Adviser shall use its best efforts to ensure that each Private Investment Fund has in place policies and procedures that are consistent with the practices provided for in the Real Estate Information Standards (‘‘REIS’’), as established and amended by the National Council of Real Estate Investment Fiduciaries (‘‘NCREIF’’) in conjunction with the Pension Real Estate Association (‘‘PREA’’), or comparable standards which may apply. REIS provides underlying principles behind the disclosure of reliable information with adequate policies and practices that include, but are not limited to the following:
• Property valuation standards and policy that are expected to be applied consistent with Generally Accepted Accounting Principles (“GAAP”) fair value principles and uniform appraisal standards or such comparable standards as may apply to international managers. Real estate investments are required to be valued, (a) internally (by the Private Investment Fund’s manager) with third party (preferably an accounting or valuation firm) oversight to assure the reasonableness of and compliance with valuation policies, at least quarterly and (b) externally by an appraiser or other third party preferably once annually, but at least once every 36 months. Furthermore, the valuations should be performed with impartiality, objectivity and independence, and with control to demonstrate they have been completed fairly. This includes the maintenance of records of methods and techniques for valuation with sufficient documentation to understand the scope of work completed.
• Market Value Accounting and Reporting Standards including the production of quarterly financial statements and annual audited financials. This also incorporates quarterly performance measurement and reporting standards for every asset held by the Private Investment Fund. After investing in a Private Investment Fund, the Adviser will monitor the valuation methodology used by such Private Investment Fund and its manager.
The Fund values its investments in Private Investment Funds based in large part on valuations provided by the managers of the Private Investment Funds and their agents. These fair value calculations will involve significant professional judgment by the managers of the Private Investment Funds in the application of both observable and unobservable attributes. The calculated NAVs of the Private Investment Funds’ assets may differ from their actual realizable value or future fair value. Valuations will be provided to the Fund based on the interim unaudited financial records of the Private Investment Funds and, therefore, will be estimates subject to adjustment (upward or downward) upon the auditing of such financial records and may fluctuate as a result. The Board and the Adviser may not have the ability to assess the accuracy of these valuations. Because a significant portion of the Fund’s assets are invested in Investment Funds, these valuations have a considerable impact on the Fund’s NAV.
For each quarterly period that the NAVs of the Private Investment Funds are calculated by the managers of such funds, each Private Investment Fund’s NAV is typically adjusted based on the actual income and appreciation or depreciation realized by such Private Investment Fund when the quarterly valuations and income are reported. The Adviser will review this information for reasonableness based on its knowledge of current market conditions and the individual characteristics of each Private Investment Fund and may clarify or validate the reported information with the applicable manager of
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VERSUS CAPITAL MULTI-MANAGER REAL ESTATE INCOME FUND LLC
Notes to Portfolio of Investments
For the Period Ended June 30, 2023 (Unaudited) (continued)
the Private Investment Fund. The Adviser may conclude, in certain circumstances, that the information provided by any such manager does not represent the fair value of the Fund’s investment in a Private Investment Fund and is not indicative of what actual fair value would be under current market conditions. In those circumstances, the Adviser’s Valuation Committee may determine to value the Fund’s investment in the Private Investment Fund at a discount or a premium to the reported value received from the Private Investment Fund. Any such decision will be made in good faith by the Adviser’s Valuation Committee, subject to the review and ratification of the Board’s Valuation Committee. The Fund's valuation of each Private Investment Fund is individually updated as soon as the Adviser completes its reasonableness review, including any related necessary additional information validations with the manager of the Private Investment Fund, and typically within 45 calendar days after the end of each quarter for all Private Investment Funds. Additionally, between the quarterly valuation periods, the NAVs of such Private Investment Funds are adjusted daily based on the total return that each Private Investment Fund is estimated by the Adviser to generate during the current quarter. The Adviser’s Valuation Committee monitors these estimates regularly and updates them as necessary if macro or individual fund changes warrant any adjustments, subject to the review and supervision of the Board’s Valuation Committee. The June 30, 2023 Portfolio of Investments presented herein reports the value of all the Fund’s investments in Private Investment Funds at the respective NAVs provided by the managers of the Private Investment Funds and their agents, which may differ from the valuations used by the Fund in its June 30, 2023 NAV calculation.
Due to the inherent uncertainty of determining the fair value of investments that do not have readily available market quotations, the fair value of the Fund’s investments may fluctuate from period to period. Additionally, the fair value of investments may differ significantly from the values that would have been used had a ready market existed for such investments and may differ materially from the values the Fund may ultimately realize. Further, such investments may be subject to legal and other restrictions on resale or may otherwise be less liquid than publicly traded securities.
Fair Value Measurements: The inputs and valuation techniques used to measure fair value of the Fund’s investments are summarized into three levels as described in the hierarchy below:
• Level 1 – unadjusted quoted prices in active markets for identical securities
• Level 2 – prices determined using other significant observable inputs (including quoted prices for similar securities, interest rates, pre-payment speeds, credit risk, etc.)
• Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)
At the end of each calendar quarter, management evaluates the classification of Levels 1, 2 and 3 assets and liabilities. Various factors are considered, such as changes in liquidity from the prior reporting period; whether or not a broker is willing to execute at the quoted price; the depth and consistency of prices from third party pricing services; the existence of contemporaneous, observable trades in the market; and changes in listings or delistings on national exchanges. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. A summary of inputs used to value the Fund’s investments as of June 30, 2023 is as follows:
Total Market Value at 06/30/2023 | Level 1 Quoted Price | Level 2 Significant Observable Inputs | Level 3 Significant Unobservable Inputs | ||||
Common Stocks* | $296,656,107 | $255,882,961 | $40,773,146 | $— | |||
Preferred Stocks* | 36,038,754 | 36,038,754 | — | — | |||
Commercial Mortgage Backed Securities | 52,265,020 | — | 52,265,020 | — | |||
Short-Term Investment | 60,282,188 | 60,282,188 | — | — | |||
Subtotal | $445,242,069 | $352,203,903 | $93,038,166 | $— | |||
Private Investment Funds (held at NAV)* | 2,168,082,896 | ||||||
Total | $2,613,324,965 |
* | See Portfolio of Investments for industry breakout. |
Foreign Currency - Foreign currencies, investments and other assets and liabilities are translated into U.S. dollars at the exchange rates at 4:00 p.m. U.S. ET (Eastern Time). Fluctuations in the value of the foreign currencies and other assets and liabilities resulting from changes in exchange rates are recorded as unrealized foreign currency gains (losses).
Market Risk Factors - The Fund’s investments in securities and/or financial instruments may expose the Fund to various market risk factors including, but not limited to the following:
General Market Fluctuations Will Affect the Fund’s Returns. The Fund’s investments in Private Investment Funds and real estate securities may be negatively affected by the broad investment environment in the real estate market, the debt market and/or the equity securities market.
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VERSUS CAPITAL MULTI-MANAGER REAL ESTATE INCOME FUND LLC
Notes to Portfolio of Investments
For the Period Ended June 30, 2023 (Unaudited) (continued)
General Risks of the Private Investment Funds Investing in Real Estate. The Fund will not invest in real estate directly, but, because the Fund will invest in Private Investment Funds that qualify as REITs or investment vehicles treated similarly as private REITs, the Fund’s investment portfolio will be significantly impacted by the performance of the real estate market.
Risks of Investing in Equity Securities. The prices of equity and preferred securities fluctuate based on changes in a company’s financial condition and overall market and economic conditions. Preferred securities may be subject to additional risks, such as risks of deferred distributions, liquidity risks, and differences in shareholder rights associated with such securities.
Unfunded Commitments. In order to meet its obligation to provide capital for unfunded commitments, the Fund may have to hold some, or in certain cases a substantial amount, of its assets temporarily in money market securities, cash or cash equivalents, possibly for several months; liquidate portfolio securities at an inopportune time; or borrow under a line of credit. This could make it difficult or impossible to take or liquidate a position in a particular security at a price consistent with the Adviser’s strategy.
Risks Relating to Current Interest Rate Environment. A wide variety of factors can cause interest rates or yields of U.S. Treasury securities (or yields of other types of bonds) to rise (e.g., central bank monetary policies, inflation rates, general economic conditions, reduced market demand for low yielding investments, etc.). The U.S. Federal Reserve has continued raising interest rates in light of recent inflationary pressures and interest rates may continue to increase rapidly. Thus, the Fund currently faces a heightened level of risk associated with rising interest rates and/or bond yields.
Liquidity Risk. The Fund will invest in restricted securities and other investments that are illiquid. Restricted securities are securities that may not be sold to the public without an effective registration statement under the Securities Act, or, if they are unregistered, may be sold only in a privately negotiated transaction or pursuant to an exemption from registration under the Securities Act. The Fund may be unable to sell restricted and other illiquid securities at the most opportune times or at prices approximating the value at which it purchased such securities. The Fund’s portfolio may include a number of investments for which no market exists and which have substantial restrictions on transferability.
In addition, the Fund’s interests in the Private Investment Funds are subject to substantial restrictions on transfer. The Fund may liquidate an interest and withdraw from a Private Investment Funds pursuant to limited withdrawal rights. Some Private Investment Funds may subject the Fund to a lockup period or otherwise suspend the repurchase rights of their shareholders, including the Fund, from time to time. Further, Private Investment Funds managers may impose transfer restrictions on the Fund’s interests. There may be no secondary market for the Fund’s interests in the Private Investment Funds. The illiquidity of these interests may adversely affect the Fund were it to have to sell interests at an inopportune time. Sub-REITs invest in illiquid assets, and may be unable to sell their assets, or be forced to sell them at reduced prices. The Adviser may also invest directly in other private securities that they may not be able to sell at the Fund’s current carrying value for the securities.
Market Disruption, Health Crises, Terrorism and Geopolitical Risks. The Fund's investments may be negatively affected by the broad investment environment in the real assets market, the debt market and/or the equity securities market. The investment environment is influenced by, among other things, interest rates, inflation, politics, fiscal policy, current events, competition, productivity and technological and regulatory change. In addition, the Fund may be adversely affected by uncertainties such as war, terrorism, international political developments, sanctions or embargos, tariffs and trade wars, changes in government policies, global health crises or similar pandemics, and other related geopolitical events may lead to increased short-term market volatility and have adverse long-term effects on world economies and markets generally, as well as adverse effects on issuers of securities and the value of investments.
Restricted Securities. Restricted securities include securities that have not been registered under the Securities Act of 1933, as amended, and securities that are subject to restrictions on resale. The Fund may invest in restricted securities that are consistent with the Fund’s investment objective and investment strategies. Investments in restricted securities are valued at net asset value as practical expedient for fair value, or fair value as determined in good faith in accordance with procedures adopted by the Board. It is possible that the estimated value may differ significantly from the amount that might ultimately be realized in the near term, and the difference could be material. Each of the following securities can suspend redemptions if its respective Board deems it in the best interest of its shareholders. This and other important information are described in the Fund's Prospectus.
As of June 30, 2023, the Fund invested in the following restricted securities:
Security(a) | Acquisition Date(b) | Shares/Par | If Partnership is not designated in units, % owned by Fund | Cost ($1,000s) | Value ($1,000s) | Unfunded Commitments ($1,000)(c) | % of Net Assets | |||||||
AEW Core Property (U.S.), LP | 7/2/2013 | 97,191 | — | $95,201 | $109,964 | $— | 4.3% | |||||||
AEW Value Investors US LP | 8/17/2017 | — | 24.6% | 56,521 | 62,268 | — | 2.4% | |||||||
CBRE U.S. Core Partners LP | 3/29/2018 | 106,972,008 | — | 165,517 | 193,829 | — | 7.6% | |||||||
CBRE U.S. Logistics Partners LP | 3/31/2022 | 155,124,479 | — | 200,060 | 200,948 | — | 7.8% | |||||||
Clarion Gables Multifamily Trust LP | 3/4/2019 | 76,583 | — | 100,002 | 126,779 | — | 4.9% | |||||||
Clarion Lion Properties Fund LP | 7/1/2013 | 136,024 | — | 191,131 | 230,249 | — | 9.0% | |||||||
GI Partners ETS Fund | 9/24/2021 | 51,570 | — | 57,645 | 62,061 | 49,519 | 2.4% |
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VERSUS CAPITAL MULTI-MANAGER REAL ESTATE INCOME FUND LLC
Notes to Portfolio of Investments
For the Period Ended June 30, 2023 (Unaudited) (continued)
Security(a) | Acquisition Date(b) | Shares/Par | If Partnership is not designated in units, % owned by Fund | Cost ($1,000s) | Value ($1,000s) | Unfunded Commitments ($1,000)(c) | % of Net Assets | |||||||
GWL U.S. Property Fund LP | 12/30/2019 | — | 13.8% | $120,240 | $138,349 | $— | 5.4% | |||||||
Harrison Street Core Property Fund | 8/13/2014 | 66,554 | — | 92,207 | 106,142 | — | 4.1% | |||||||
Heitman America Real Estate LP | 12/2/2014 | 96,999 | — | 117,532 | 134,968 | — | 5.3% | |||||||
Heitman Core Real Estate Debt Income Trust LP | 4/1/2017 | 112,217 | — | 113,870 | 104,451 | — | 4.1% | |||||||
Hines European Property Partners | 11/3/2022 | 14,504 | — | 14,220 | 21,162 | 133,172 | 0.8% | |||||||
Invesco Core Real Estate USA LP | 12/31/2013 | 996 | — | 176,491 | 206,050 | — | 8.0% | |||||||
Invesco Real Estate Asia Fund | 9/30/2014 | 864,289 | — | 110,917 | 109,655 | — | 4.3% | |||||||
RREEF America REIT II, Inc. | 9/30/2013 | 907,366 | — | 109,244 | 130,232 | — | 5.1% | |||||||
TA Realty Core Property Fund, LP | 1/3/2022 | 29,449 | — | 46,388 | 42,744 | — | 1.7% | |||||||
Trumbull Property Fund LP | 9/30/2013 | 2,269 | — | 24,473 | 22,440 | — | 0.9% | |||||||
Trumbull Property Income Fund, LP | 4/1/2016 | 1,043 | — | 12,913 | 13,776 | — | 0.5% | |||||||
US Government Building Open-End Feeder, LP | 5/1/2014 | — | 1.7% | 35,080 | 47,095 | — | 1.8% | |||||||
USGBF Alpha Feeder LP | 10/1/2021 | — | 38.0% | 30,037 | 31,460 | — | 1.2% | |||||||
Walton Street Real Estate Core-Plus Fund, LP | 10/1/2021 | 55,016 | — | 64,477 | 73,461 | 35,223 | 2.9% | |||||||
Total | $1,934,166 | $2,168,083 | $217,914 | 84.5% |
(a) | The investment funds are open-ended Investment Funds organized to serve as a collective investment vehicle through which eligible investors may invest in a professionally managed real estate portfolio of equity and debt investments consisting of multi-family, industrial, retail, office and other property types. |
(b) | Initial acquisition date as shares are purchased at various dates through the current period. |
(c) | Unfunded Commitments approximate their fair values. |
Security | Redemption Request(a) | Redemption Notice(b) | Lock Up Applicable at Period End | |||
AEW Core Property (U.S.), LP | Partial | 45 Days | ||||
AEW Value Investors US LP | Full | 90 Days | ||||
CBRE U.S. Core Partners LP | Partial | 60 Days | ||||
CBRE U.S. Logistics Partners LP | - | 90 Days | 3 years, initial investment | |||
Clarion Gables Multifamily Trust LP | Partial | 90 Days | ||||
Clarion Lion Properties Fund LP | Partial | 90 Days | ||||
GI Partners ETS Fund | - | 90 Days | 3 years, initial investment | |||
GWL U.S. Property Fund LP | Partial | 90 Days | ||||
Harrison Street Core Property Fund | - | 45 Days | ||||
Heitman America Real Estate LP | Partial | 90 Days | ||||
Heitman Core Real Estate Debt Income Trust LP | Partial | 90 Days | ||||
Hines European Property Partners | - | 90 Days | 3 years, initial investment | |||
Invesco Core Real Estate USA LP | Partial | 45 Days | ||||
Invesco Real Estate Asia Fund | Partial | 45 Days | ||||
RREEF America REIT II, Inc. | Partial | 45 Days | ||||
TA Realty Core Property Fund, LP | Partial | 45 Days | ||||
Trumbull Property Fund LP | Full | 60 Days | ||||
Trumbull Property Income Fund, LP | Full | 60 Days | ||||
US Government Building Open-End Feeder, LP | - | 60 Days | ||||
USGBF Alpha Feeder LP | - | 60 Days | 2 years, each capital contribution | |||
Walton Street Real Estate Core-Plus Fund, LP | - | 45 Days | 2 years, each capital contribution |
(a) | The Fund submitted a partial or full redemption request prior to period end, but will maintain market exposure to the investment through a future date. The Investment Manager expects to meet all redemptions over time. |
(b) | The investment funds provide for a quarterly redemption subject to the notice period listed. |
8