Filed Pursuant to Rule 424(b)(3)
Registration No. 333-232425
RREEF PROPERTY TRUST, INC.
SUPPLEMENT NO. 12 DATED JANUARY 6, 2021
TO THE PROSPECTUS DATED APRIL 29, 2020
This document supplements, and should be read in conjunction with, our prospectus dated April 29, 2020, as supplemented by Supplement No. 1 dated May 5, 2020, Supplement No. 2 dated May 21, 2020, Supplement No. 3 dated June 2, 2020, Supplement No. 4 dated July 8, 2020, Supplement No. 5 dated August 5, 2020, Supplement No. 6 dated August 18, 2020, Supplement No. 7 dated September 2, 2020, Supplement No. 8 dated October 6, 2020, Supplement No. 9 dated November 5, 2020, Supplement No. 10 dated November 17, 2020 and Supplement No. 11 dated December 2, 2020. Unless otherwise defined herein, capitalized terms shall have the same meanings as set forth in the prospectus. The purpose of this supplement is to disclose:
•our daily net asset value, or NAV, per share for our common stock for the month of December 2020;
•the limit on redemptions pursuant to our share redemption plan for the first quarter of 2021; and
•updates on the impact of COVID-19 on our operations.
Historical NAV per Share
The following table sets forth the NAV per share for the Class A, Class I, Class T, Class D and Class N shares of our common stock on each business day for the month of December 2020. There were no Class S, Class M-I or Class T2 shares of our common stock outstanding during this period.
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| Date | | NAV per Class A Share | | NAV per Class I Share | | NAV per Class T Share | | NAV per Class D Share* | | NAV per Class N Share** |
| December 1, 2020 | | $14.38 | | $14.46 | | $14.41 | | $14.44 | | $14.41 |
| December 2, 2020 | | $14.36 | | $14.45 | | $14.40 | | $14.43 | | $14.40 |
| December 3, 2020 | | $14.37 | | $14.46 | | $14.41 | | $14.44 | | $14.41 |
| December 4, 2020 | | $14.40 | | $14.48 | | $14.43 | | $14.46 | | $14.43 |
| December 7, 2020 | | $14.39 | | $14.47 | | $14.42 | | $14.45 | | $14.42 |
| December 8, 2020 | | $14.38 | | $14.46 | | $14.41 | | $14.45 | | $14.41 |
| December 9, 2020 | | $14.37 | | $14.46 | | $14.41 | | $14.44 | | $14.41 |
| December 10, 2020 | | $14.36 | | $14.45 | | $14.40 | | $14.43 | | $14.40 |
| December 11, 2020 | | $14.36 | | $14.45 | | $14.40 | | $14.43 | | $14.40 |
| December 14, 2020 | | $14.35 | | $14.43 | | $14.38 | | $14.42 | | $14.38 |
| December 15, 2020 | | $14.38 | | $14.47 | | $14.42 | | $14.45 | | $14.42 |
| December 16, 2020 | | $14.34 | | $14.42 | | $14.37 | | $14.40 | | $14.37 |
| December 17, 2020 | | $14.35 | | $14.43 | | $14.38 | | $14.42 | | $14.38 |
| December 18, 2020 | | $14.32 | | $14.40 | | $14.35 | | $14.38 | | $14.35 |
| December 21, 2020 | | $14.31 | | $14.39 | | $14.34 | | $14.37 | | $14.34 |
| December 22, 2020 | | $14.32 | | $14.40 | | $14.35 | | $14.38 | | $14.35 |
| December 23, 2020 | | $14.30 | | $14.39 | | $14.34 | | $14.37 | | $14.34 |
| December 24, 2020 | | $14.32 | | $14.40 | | $14.35 | | $14.38 | | $14.35 |
| December 28, 2020 | | $14.32 | | $14.40 | | $14.35 | | $14.38 | | $14.35 |
| December 29, 2020 | | $14.31 | | $14.39 | | $14.34 | | $14.37 | | $14.34 |
| December 30, 2020 | | $14.31 | | $14.39 | | $14.35 | | $14.37 | | $14.34 |
| December 31, 2020 | | $14.32 | | $14.41 | | $14.36 | | $14.39 | | $14.36 |
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*Class D shares are currently being offered pursuant to a private placement offering.
**Class N shares are not available for purchase except through our distribution reinvestment plan.
Purchases and redemptions of shares of our common stock are made in accordance with our policies as set forth in our prospectus. Our NAV per share is posted daily on our website at www.rreefpropertytrust.com and is made available on our toll-free, automated telephone line at (855) 285-0508.
Please refer to “Net Asset Value Calculation and Valuation Guidelines” in our prospectus for important information about how our NAV is determined.
Share Redemption Plan Limit
For the quarter ended March 31, 2021, the limit for redemptions pursuant to our share redemption plan is $15,984,203.
Impact of COVID-19
The coronavirus (COVID-19) pandemic has had, and is expected to continue to have, a significant impact on local, national and global economies and has resulted in a world-wide economic slowdown. While certain economies have exhibited growth of late when compared to earlier months of 2020, the amount of economic recovery will continue to be impacted by reductions and restrictions in economic activity resulting from increased coronavirus cases. We are closely monitoring the impact of the coronavirus pandemic on all aspects of our investments and operations, including how it will impact our tenants and business partners. While we have not incurred significant disruptions in our operations from the coronavirus since it began in March 2020, the extent to which the coronavirus impacts our investments and operations will depend on future developments, which are highly uncertain and cannot be predicted with confidence. These developments include the duration of the outbreak, the impact of government stimulus, new information that may emerge concerning the severity of the coronavirus, and actions taken by federal, state and local agencies as well as the general public to contain the coronavirus or treat its impact, including vaccination efforts globally, among others. During December 2020, our NAV per share decreased approximately 0.2% - 0.3% for each share class. This decrease is attributable to a 0.2% decrease in the overall value of our real estate property portfolio and a slightly reduced net operating income as a result of scheduled free rent and seller related adjustments, partially offset by a 2.9% increase in the value of our real estate equity securities portfolio.
During this pandemic, we have been actively engaged with our independent valuation advisor, providing frequent updates regarding our rent collections and other factors about our properties. As a result of the coronavirus pandemic and based on available information, the values of certain of our properties have been adjusted downward since late March 2020 as determined by our independent valuation advisor or other independent appraisers. These valuation changes were driven by changing property cash flows based on our collections, increased projected credit losses, extended lease-up times for currently vacant spaces, increased discount rates and reduced market rent growth rates. Offsetting these declines, certain of our properties have recovered in value or have increased in value since mid-March due to revisions to market rents and discount rates based on recent activity at the properties or in the local market, or to new leasing activity at the property or reduced collection loss assumptions based on recent collection activity. In accordance with our valuation policies as approved by our board of directors, these changes in value are integrated into our NAV as soon as they are made available to us.
Our property portfolio is diversified across the four primary sectors of commercial real estate: office, industrial, retail and apartment. Among these four sectors, retail is widely expected to be the sector that will be most impacted by the coronavirus pandemic. The retail properties we own are grocery-anchored and contain a number of tenants that are considered essential and thus our retail properties are potentially more resilient that other subsectors within retail.
As the economy progresses through the pandemic, we have continued to seek and collect unpaid rents. Our entire property portfolio remains stable with collections of approximately 99% of our contractual rental revenues for
each of October, November and December 2020. Collections for the three months ended December 31, 2020 by property type are as follows:
•Office – 94% occupied and 100.0% collected
•Industrial – 100% occupied and 100.0% collected
•Retail – 99% occupied and 98.0% collected
•Apartment – 100% occupied and 99.6% collected
Our commercial properties (office, industrial and retail) are occupied by a diverse mix of tenants. As of December 31, 2020, our weighted average remaining lease term for our commercial properties was 4.7 years. With respect to our commercial and residential tenants who have been affected by COVID-19 and who did not pay rent, we continue to work with them to recoup such rent and bring their leases current. During the month of December 2020, we entered into no additional agreements with our tenants that included abatement or deferral of rent. Through December 31, 2020, we entered into agreements with six of our tenants that included abatement of rent amounting to approximately 0.1% of the annual contractual rent for the entire property portfolio, and deferral of rent amounting to approximately 1.1% of the annual contractual rent for the entire property portfolio. For tenants with whom we have agreed to deferral of past due rent, such deferred rent is scheduled to be fully paid by July 2021, and all such deferred rent that has become due under the deferral agreements as of December 31, 2020 has been paid.
