ARES INDUSTRIAL REAL ESTATE INCOME TRUST (ARIR) 10-Q 9 May 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2017	May 02, 2017
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Entity Registrant Name	INDUSTRIAL LOGISTICS REALTY TRUST INC.
Entity Central Index Key	1,625,941
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		257,805

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Mar. 31, 2017	Dec. 31, 2016
ASSETS
Cash and cash equivalents	$ 1,637,651	$ 1,639,961
Restricted cash	481,410	481,410
Prepaid expenses	189,733	259,717
Due from affiliates	318,125	148,810
Total assets	2,626,919	2,529,898
Liabilities
Accounts payable and accrued liabilities	159,195	100,914
Notes payable to stockholders, net	315,724	303,376
Due to affiliates	865
Dividends payable	42,559	11,121
Total liabilities	518,343	415,411
Commitments and contingencies (Note 5)
Stockholders' equity:
Preferred stock, $0.01 par value-200,000,000 shares authorized, none issued and outstanding
Additional paid-in capital	2,300,953	2,297,353
Accumulated deficit	(195,934)	(186,419)
Total stockholders' equity	2,107,576	2,113,487
Noncontrolling interests	1,000	1,000
Total equity	2,108,576	2,114,487
Total liabilities and equity	2,626,919	2,529,898
Class A [Member]
Stockholders' equity:
Common stock, value	2,487	2,483
Total equity	2,487	2,483
Class T [Member]
Stockholders' equity:
Common stock, value	70	70
Total equity	70	70
Class W [Member]
Stockholders' equity:
Common stock, value	$ 0	$ 0

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2017	Dec. 31, 2016
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	200,000,000	200,000,000
Preferred stock, issued	0	0
Preferred stock, outstanding	0	0
Class A [Member]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	225,000,000	225,000,000
Common stock, shares issued	248,748	248,349
Common stock, shares outstanding	248,748	248,349
Class T [Member]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	1,200,000,000	1,200,000,000
Common stock, shares issued	7,000	7,000
Common stock, shares outstanding	7,000	7,000
Class W [Member]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	75,000,000	75,000,000
Common stock, shares issued	0	0
Common stock, shares outstanding	0	0

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Revenues:
Rental revenues	$ 0	$ 0
Total revenues	0	0
Operating expenses:
General and administrative expenses	251,856
Organization expenses, related party	72
Total operating expenses	251,928
Total operating expenses	251,928
Operating loss	(251,928)
Other expenses
Interest expense and other	33,224
Total other expenses	33,224
Total other expenses	33,224
Total expenses before expense support	285,152
Total expense support from the Advisor	318,196
Total expense support from the Advisor	318,196
Net expenses (income) after expense support	(33,044)
Net income	33,044
Net income attributable to noncontrolling interests	0	$ 0
Net income attributable to common stockholders	$ 33,044
Weighted-average shares outstanding	255,726	20,000
Net income per common share - basic and diluted	$ 0.13

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Equity - 3 months ended Mar. 31, 2017 - USD ($)	Total	Common Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Deficit [Member]	Noncontrolling Interests [Member]
Beginning balance at Dec. 31, 2016	$ 2,114,487	$ 2,553	$ 2,297,353	$ (186,419)	$ 1,000
Beginning balance, shares at Dec. 31, 2016		255,349
Net income	33,044			33,044
Issuance of common stock	3,604	$ 4	3,600
Issuance of common stock, shares		399
Dividends to stockholders	(42,559)			(42,559)
Ending balance at Mar. 31, 2017	$ 2,108,576	$ 2,557	$ 2,300,953	$ (195,934)	$ 1,000
Ending balance, shares at Mar. 31, 2017		255,748

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Operating activities:
Net income	$ 33,044
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization of financing costs	12,348
Changes in operating assets and liabilities:
Prepaid expenses	69,984
Accounts payable and accrued liabilities	58,281
Due from affiliates	(168,450)
Net cash provided by operating activities	5,207
Financing activities:
Distributions paid to common stockholders	(7,517)
Net cash used in financing activities	(7,517)
Net decrease in cash and cash equivalents	(2,310)
Cash and cash equivalents, at beginning of period	1,639,961	201,000
Cash and cash equivalents, at end of period	1,637,651	201,000
Supplemental disclosure of non-cash investing and financing activities:
Dividends payable	42,559
Distributions reinvested in common stock	$ 3,604

Basis of Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	1. BASIS OF PRESENTATION Unless the context otherwise requires, the “Company” refers to Industrial Logistics Realty Trust Inc. and its consolidated subsidiary. The accompanying unaudited condensed consolidated financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain disclosures normally included in the annual audited financial statements prepared in accordance with accounting principles generally accepted in the U.S. (“GAAP”) have been omitted. As such, the accompanying unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016, filed with the SEC on March 15, 2017 (“2016 Form 10-K”). In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments and eliminations, consisting only of normal recurring adjustments necessary for a fair presentation in conformity with GAAP.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2017
Equity [Abstract]
Stockholders' Equity	2. STOCKHOLDERS’ EQUITY Initial Public Offering On November 25, 2014, the Company filed a registration statement with the SEC on Form S-11 in connection with its initial public offering of up to $2,000,000,000 in shares of common stock (the “Initial Public Offering”). The registration statement was subsequently declared effective on February 18, 2016. On July 1, 2016, the Company filed a post-effective amendment to its registration statement that reclassified the Company’s common stock offered pursuant to its registration statement into Class A shares, Class T shares and Class W shares. The SEC declared the post-effective amendment effective on August 8, 2016. Pursuant to its registration statement, as amended, the Company is offering for sale up to $1,500,000,000 in shares of common stock in the primary offering in any combination of Class A shares, Class T shares and Class W shares at a price of $10.00 per Class A share, $9.4180 per Class T share and $9.0355 per Class W share, and up to $500,000,000 in shares under the Company’s distribution reinvestment plan at a price of $9.0355 per share for all classes. The Class A shares, Class T shares and Class W shares have identical rights and privileges, including identical voting rights, but have differing fees that are payable on a class-specific basis, as described in “Note 4.” The per share amount of distributions paid on Class T shares and Class W shares will be lower than the per share amount of distributions paid on Class A shares because of the distribution fees payable with respect to Class T shares and Class W shares sold in the primary offering. The Company’s shares of common stock consist of Class A shares, Class T shares and Class W shares, all of which are collectively referred to herein as shares of common stock. The Company is offering to sell its common stock in any combination of Class A shares, Class T shares and Class W shares with a dollar value up to the maximum offering amount. The Company has the right to reallocate the shares of common stock offered between the Company’s primary offering and the Company’s distribution reinvestment plan. Dividend Capital Securities LLC (the “Dealer Manager”), a related party, provides dealer manager services in connection with the Initial Public Offering. The Initial Public Offering is a best efforts offering, which means that the Dealer Manager is not required to sell any specific number or dollar amount of shares of common stock in the Initial Public Offering, but will use its best efforts to sell the shares of common stock. The Initial Public Offering is a continuous offering that will end no later than two years after the effective date of the Initial Public Offering, or February 18, 2018, unless extended by the Company’s board of directors in accordance with federal securities laws. Summary of the Public and Private Offerings A summary of the Company’s Initial Public Offering (including shares sold through the primary offering and distribution reinvestment plan (“DRIP”)) and its private offering, as of March 31, 2017, is as follows: Class A Class T Class W Notes to Total Amount of gross proceeds raised: Primary offering (2) $ 2,000,000 $ — $ — $ — $ 2,000,000 DRIP (2) 3,604 — — — 3,604 Private offering 62,300 62,300 — 375,400 500,000 Total offering $ 2,065,904 $ 62,300 $ — $ 375,400 $ 2,503,604 Number of shares sold: Primary offering 221,349 — — — 221,349 DRIP 399 — — — 399 Private offering 7,000 7,000 — — 14,000 Total offering 228,748 7,000 — — 235,748 (1) Amount relates to notes payable issued to certain stockholders in the private offering. (2) Subscriptions from Ohio residents will not be released from escrow until subscriptions for shares totaling at least $7,000,000 have been received from all sources, subscriptions from Pennsylvania residents will not be released from escrow until subscriptions for shares totaling at least $75,000,000 have been received from all sources and subscriptions from Washington residents will not be released from escrow until subscriptions for shares totaling at least $10,000,000 have been received from all sources. As of March 31, 2017, $1,997,996,396 in shares of common stock remained available for sale pursuant to the Initial Public Offering in any combination of Class A shares, Class T shares and Class W shares, including $499,996,396 in shares of common stock available for sale through the Company’s distribution reinvestment plan, which may be reallocated for sale in the primary offering. Common Stock The following table summarizes the changes in the shares outstanding and the aggregate par value of the outstanding shares for each class of common stock for the periods presented below: Class A Class T Class W Total Shares Amount Shares Amount Shares Amount Shares Amount Balance as of December 31, 2016 248,349 $ 2,483 7,000 $ 70 — $ — 255,349 $ 2,553 Issuance of common stock: DRIP 399 4 — — — — 399 4 Balance as of March 31, 2017 248,748 $ 2,487 7,000 $ 70 — $ — 255,748 $ 2,557 Dividends The Company intends to accrue and make cash distributions on a quarterly basis. In addition to the cash distributions, our board of directors authorized special daily stock dividends to all common stockholders of record as of the close of business on each day for the first, second and third quarters of 2017 in an amount equal to 0.0000410959 of a share of common stock on each outstanding share of common stock. The special stock dividends attributable to a particular class of shares of our common stock will be issued as additional shares of the same class of common stock. The special stock dividends will be issued and recorded in our stockholder records on or about the first business day of the calendar month immediately following the last day of the applicable calendar quarter. Quarterly cash distributions and stock dividends for each stockholder will be calculated for each day the stockholder has been a stockholder of record during such quarter. Cash distributions for stockholders who have elected to participate in the Company’s distribution reinvestment plan will be reinvested into shares of the same class of the Company’s common stock as the shares to which the distributions relate. The Company refers to cash distributions and stock dividends collectively as dividends. Cash Distributions. Amount Payment Date Declared per Paid in Reinvested Distribution Gross 2017 March 31 April 2017 $ 0.12950 $ 23,101 $ 10,015 $ — $ 33,116 2016 December 31 (4) January 2017 $ 0.12950 $ 7,517 $ 3,604 $ — $ 11,121 (1) Amounts reflect the quarterly distribution rate authorized by the Company’s board of directors per Class A share, per Class T share and per Class W share of common stock. The quarterly distributions on Class T shares and Class W shares of common stock are reduced by the respective distribution fees that are payable monthly with respect to such Class T shares and Class W shares (as calculated on a daily basis). (2) Distribution fees are paid monthly to the Dealer Manager with respect to Class T shares and Class W shares issued in the primary portion of the Initial Public Offering only. Refer to “Note 4” for further detail regarding distribution fees. Since no Class T shares nor Class W shares have been issued in connection with the Initial Public Offering, no distribution fees have been incurred as of March 31, 2017. (3) Gross distributions are total distributions before the deduction of distribution fees relating to Class T shares and Class W shares. (4) Cash distributions were authorized to all common stockholders of record as of the close of business on each day commencing on the date that the minimum offering requirements were met in connection with the Initial Public Offering and ending on the last day of the quarter in which the minimum offering requirements were met (the “Initial Quarter”). The Company met the minimum offering requirements in connection with the Initial Public Offering on November 30, 2016. Accordingly, the Initial Quarter commenced on that date and ended on December 31, 2016. Stock Dividends. Redemptions As of March 31, 2017, the Company had not redeemed any shares of its common stock and had not received any requests for redemptions.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	3. FAIR VALUE OF FINANCIAL INSTRUMENTS The Company estimates fair value of its financial instruments using available market information and valuation methodologies it believes to be appropriate for these purposes. As of March 31, 2017 and December 31, 2016, the fair values of cash and cash equivalents, restricted cash, due from/to affiliates, accounts payable and accrued liabilities, and dividends payable approximate their carrying values due to the short-term nature of these instruments. The Company’s financial instrument for which it is practicable to estimate fair value is the notes payable to certain stockholders in the private offering. The carrying value and fair value of the notes payable were both $375,400 as of March 31, 2017 and both $375,400 as of December 31, 2016. The fair value of the notes payable is estimated based on the Company’s estimate of current market interest rates over a comparable term for similar instruments. The notes payable are classified as Level 3 due to the unobservable nature of the inputs.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2017
Related Party Transactions [Abstract]
Related Party Transactions	4. RELATED PARTY TRANSACTIONS The Company relies on ILT Advisors LLC (the “Advisor”), a related party, to manage the Company’s day-to-day operating and acquisition activities and to implement the Company’s investment strategy pursuant to the terms of the third amended and restated advisory agreement, dated February 9, 2017, (the “Advisory Agreement”), by and among the Company, the ILT Operating Partnership LP (the “Operating Partnership”) and the Advisor. The current term of the Advisory Agreement ends February 9, 2018, subject to renewals by the Company’s board of directors for an unlimited number of successive one-year periods. The Dealer Manager provides dealer manager services in connection with the Initial Public Offering pursuant to the terms of the amended and restated dealer manager agreement, dated as of July 1, 2016, by and among the Company, the Advisor and the Dealer Manager. Dividend Capital Property Management LLC (the “Property Manager”) may perform certain property management services on behalf of the Company and the Operating Partnership. ILT Advisors Group LLC, the sponsor of the Company (the “Sponsor”), which owns the Advisor, is presently directly or indirectly majority owned by John A. Blumberg, James R. Mulvihill and Evan H. Zucker and/or their affiliates and the Sponsor and the Advisor are jointly controlled by Messrs. Blumberg, Mulvihill and Zucker and/or their affiliates. The Dealer Manager and the Property Manager are presently each directly or indirectly majority owned, controlled and/or managed by Messrs. Blumberg, Mulvihill and/or Zucker and/or their affiliates. Mr. Zucker is the Chairman of our board of directors. The Advisor, the Dealer Manager and the Property Manager receive compensation in the form of fees and expense reimbursements for services relating to the Initial Public Offering and for the investment and management of the Company’s assets. A description of these fees is included in the 2016 Form 10-K. Other than as set forth below, the Company has not incurred any of these fees and expenses as of March 31, 2017. Organization and Offering Expenses. The Advisor or an affiliate of the Advisor is responsible for the payment of the Company’s cumulative organization expenses and offering expenses to the extent that such cumulative expenses exceed the 2.0% organization and offering expense reimbursement for the Company’s public offerings. Organization and offering expenses are accrued by the Company only to the extent that the Company is successful in raising gross offering proceeds from its public offering. If the Company is not successful in raising additional offering proceeds, no additional amounts will be payable by the Company to the Advisor for reimbursement of cumulative organization and offering expenses. Organization costs are expensed in the period they become reimbursable and offering costs are recorded as a reduction of gross offering proceeds in additional paid-in capital. As of March 31, 2017, the Advisor had incurred $3,546,005 of offering costs and $117,864 of organization costs, all of which were paid directly by the Advisor on behalf of the Company. As of March 31, 2017, the Company had reimbursed the Advisor $40,072 related to organization costs. Expense Support Agreement On October 27, 2016, the Company entered into an Expense Support Agreement (the “Expense Support Agreement”) with the Operating Partnership and the Advisor. Pursuant to the Expense Support Agreement, effective for each quarter commencing October 1, 2016 and ending September 30, 2019, the Advisor has agreed to defer payment of all or a portion of the asset management fees otherwise payable to it pursuant to the Advisory Agreement, if Company-defined funds from operations (“CDFFO” or “Company-defined FFO”), as disclosed in the Company’s quarterly and annual reports, for a particular quarter is less than the aggregate gross cash distributions declared for such quarter, assuming all such cash distributions had been declared at the quarterly distribution rate for Class A shares authorized by the Company’s board of directors for such quarter (“Baseline Distributions”). The amount of the asset management fees that will be deferred for a particular quarter, if any, will equal the lesser of (i) the difference between CDFFO and Baseline Distributions for such quarter and (ii) the entire asset management fees payable to the Advisor pursuant to the Advisory Agreement for such quarter. In addition, if in a given calendar quarter, the Company’s CDFFO is less than Baseline Distributions for such quarter, and the deferred asset management fee is not sufficient to satisfy the shortfall for such quarter (a “Deficiency”), the Advisor will be required to fund certain expenses of the Company or the Operating Partnership in an amount equal to such Deficiency. In no event will the aggregate of the deferred asset management fees and the Deficiency support payments exceed $30,000,000 (the “Maximum Amount”). Subject to certain conditions, the Advisor is entitled to reimbursement from the Company for any asset management fees that are deferred and any expense support payments that the Advisor makes pursuant to the Expense Support Agreement; provided, that, the Company will not be obligated to reimburse the Advisor for any amount not reimbursed by the Company to the Advisor within three years after the quarter in which such reimbursable amount originated. For any quarter in which CDFFO exceeds Baseline Distributions for that quarter, the Expense Support Agreement requires that the Company reimburse the Advisor in an amount equal to the lesser of (i) the difference between CDFFO and Baseline Distributions and (ii) the sum of all outstanding reimbursable amounts. The Company’s obligation to reimburse the Advisor will be non-interest bearing. During the term of the Expense Support Agreement, the Company may be able to use cash flow from operations to pay distributions to its stockholders that would otherwise be used to pay asset management fees or expenses. Although the Expense Support Agreement has an effective term through September 30, 2019, the Expense Support Agreement may be terminated prior thereto without cause or penalty by a majority of the Company’s independent directors upon 30 days’ prior written notice to the Advisor. In addition, the Advisor’s obligations under the Expense Support Agreement will immediately terminate upon the earlier to occur of (i) the termination or non-renewal of the Amended and Restated Advisory Agreement, (ii) the delivery by the Company of notice to the Advisor of the Company’s intention to terminate or not renew the Advisory Agreement, (iii) the Company’s completion of a liquidity event or (iv) the time the Advisor has deferred, waived or paid the Maximum Amount. Except with respect to the early termination events described above, any obligation of the Advisor to make payments under the Expense Support Agreement with respect to the calendar quarter ending September 30, 2019 will remain operative and in full force and effect through the end of such quarter. When the Expense Support Agreement terminates, the Advisor will not have an obligation to defer fees or support expenses in order to support the Company’s cash distributions. Notwithstanding the foregoing, amounts deferred or reimbursed pursuant to the Expense Support Agreement shall survive any termination or expiration and remain subject to the reimbursement terms described above without modification or acceleration. The table below provides information regarding the asset management fees deferred and expense support provided by the Advisor, pursuant to the Expense Support Agreement. As of March 31, 2017, the aggregate amount paid by the Advisor pursuant to the Expense Support Agreement was $467,695. No amounts had been reimbursed to the Advisor by the Company. For the Three Months 2017 2016 Asset management fees deferred $ — $ — Other expenses supported 318,196 — Total expense support from Advisor (1) $ 318,196 $ — (1) As of March 31, 2017, $318,196 of expense support was payable to the Company by the Advisor.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	5. COMMITMENTS AND CONTINGENCIES The Company and the Operating Partnership are not presently involved in any material litigation nor, to the Company’s knowledge, is any material litigation threatened against the Company.

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2017
Subsequent Events [Abstract]
Subsequent Events	6. SUBSEQUENT EVENTS Status of the Public and Private Offerings A summary of the Company’s Initial Public Offering (including shares sold through the primary offering and distribution reinvestment plan) and its private offering, as of May 2, 2017, is as follows: Class A Class T Class W Notes to Total Amount of gross proceeds raised: Primary offering (2) $ 2,000,000 $ — $ — $ — $ 2,000,000 DRIP (2) 13,644 — — — 13,644 Private offering 62,300 62,300 — 375,400 500,000 Total offering $ 2,075,944 $ 62,300 $ — $ 375,400 $ 2,513,644 Number of shares sold: Primary offering 221,349 — — — 221,349 DRIP 1,510 — — — 1,510 Private offering 7,000 7,000 — — 14,000 Stock dividends 920 26 — — 946 Total offering 230,779 7,026 — — 237,805 (1) Amount relates to notes payable issued to certain stockholders in the private offering. (2) Subscriptions from Ohio residents will not be released from escrow until subscriptions for shares totaling at least $7,000,000 have been received from all sources, subscriptions from Pennsylvania residents will not be released from escrow until subscriptions for shares totaling at least $75,000,000 have been received from all sources and subscriptions from Washington residents will not be released from escrow until subscriptions for shares totaling at least $10,000,000 have been received from all sources. As of May 2, 2017, $1,997,986,356 in shares of the Company’s common stock remained available for sale pursuant to the Initial Public Offering in any combination of Class A shares, Class T shares or Class W shares, including $499,986,356 in shares of common stock available for sale through the Company’s distribution reinvestment plan, which may be reallocated for sale in the primary offering.

Subsequent Events (Tables)

Subsequent Events (Tables)	3 Months Ended
	Mar. 31, 2017
Summary of Public and Private Offerings	A summary of the Company’s Initial Public Offering (including shares sold through the primary offering and distribution reinvestment plan (“DRIP”)) and its private offering, as of March 31, 2017, is as follows: Class A Class T Class W Notes to Total Amount of gross proceeds raised: Primary offering (2) $ 2,000,000 $ — $ — $ — $ 2,000,000 DRIP (2) 3,604 — — — 3,604 Private offering 62,300 62,300 — 375,400 500,000 Total offering $ 2,065,904 $ 62,300 $ — $ 375,400 $ 2,503,604 Number of shares sold: Primary offering 221,349 — — — 221,349 DRIP 399 — — — 399 Private offering 7,000 7,000 — — 14,000 Total offering 228,748 7,000 — — 235,748 (1) Amount relates to notes payable issued to certain stockholders in the private offering. (2) Subscriptions from Ohio residents will not be released from escrow until subscriptions for shares totaling at least $7,000,000 have been received from all sources, subscriptions from Pennsylvania residents will not be released from escrow until subscriptions for shares totaling at least $75,000,000 have been received from all sources and subscriptions from Washington residents will not be released from escrow until subscriptions for shares totaling at least $10,000,000 have been received from all sources.
Status Update Of Public and Private Offerings [Member]
Summary of Public and Private Offerings	A summary of the Company’s Initial Public Offering (including shares sold through the primary offering and distribution reinvestment plan) and its private offering, as of May 2, 2017, is as follows: Class A Class T Class W Notes to Total Amount of gross proceeds raised: Primary offering (2) $ 2,000,000 $ — $ — $ — $ 2,000,000 DRIP (2) 13,644 — — — 13,644 Private offering 62,300 62,300 — 375,400 500,000 Total offering $ 2,075,944 $ 62,300 $ — $ 375,400 $ 2,513,644 Number of shares sold: Primary offering 221,349 — — — 221,349 DRIP 1,510 — — — 1,510 Private offering 7,000 7,000 — — 14,000 Stock dividends 920 26 — — 946 Total offering 230,779 7,026 — — 237,805 (1) Amount relates to notes payable issued to certain stockholders in the private offering. (2) Subscriptions from Ohio residents will not be released from escrow until subscriptions for shares totaling at least $7,000,000 have been received from all sources, subscriptions from Pennsylvania residents will not be released from escrow until subscriptions for shares totaling at least $75,000,000 have been received from all sources and subscriptions from Washington residents will not be released from escrow until subscriptions for shares totaling at least $10,000,000 have been received from all sources.

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	3 Months Ended
	Mar. 31, 2017
Summary of Changes in Shares Outstanding and Aggregate Par Value of Outstanding Shares for Each Class of Common Stock	The following table summarizes the changes in the shares outstanding and the aggregate par value of the outstanding shares for each class of common stock for the periods presented below: Class A Class T Class W Total Shares Amount Shares Amount Shares Amount Shares Amount Balance as of December 31, 2016 248,349 $ 2,483 7,000 $ 70 — $ — 255,349 $ 2,553 Issuance of common stock: DRIP 399 4 — — — — 399 4 Balance as of March 31, 2017 248,748 $ 2,487 7,000 $ 70 — $ — 255,748 $ 2,557
Cash Distribution [Member]
Dividends Table	The following table summarizes the Company’s cash distribution activity (including distributions reinvested in shares of the Company’s common stock): Amount Payment Date Declared per Paid in Reinvested Distribution Gross 2017 March 31 April 2017 $ 0.12950 $ 23,101 $ 10,015 $ — $ 33,116 2016 December 31 (4) January 2017 $ 0.12950 $ 7,517 $ 3,604 $ — $ 11,121 (1) Amounts reflect the quarterly distribution rate authorized by the Company’s board of directors per Class A share, per Class T share and per Class W share of common stock. The quarterly distributions on Class T shares and Class W shares of common stock are reduced by the respective distribution fees that are payable monthly with respect to such Class T shares and Class W shares (as calculated on a daily basis). (2) Distribution fees are paid monthly to the Dealer Manager with respect to Class T shares and Class W shares issued in the primary portion of the Initial Public Offering only. Refer to “Note 4” for further detail regarding distribution fees. Since no Class T shares nor Class W shares have been issued in connection with the Initial Public Offering, no distribution fees have been incurred as of March 31, 2017. (3) Gross distributions are total distributions before the deduction of distribution fees relating to Class T shares and Class W shares. (4) Cash distributions were authorized to all common stockholders of record as of the close of business on each day commencing on the date that the minimum offering requirements were met in connection with the Initial Public Offering and ending on the last day of the quarter in which the minimum offering requirements were met (the “Initial Quarter”). The Company met the minimum offering requirements in connection with the Initial Public Offering on November 30, 2016. Accordingly, the Initial Quarter commenced on that date and ended on December 31, 2016.

Related Party Transactions (Tab

Related Party Transactions (Tables)	3 Months Ended
	Mar. 31, 2017
Related Party Transactions [Abstract]
Schedule of Fees Deferred or Waived or Expense Supported by the Advisor and Reimbursements to the Advisor by the Company	The table below provides information regarding the asset management fees deferred and expense support provided by the Advisor, pursuant to the Expense Support Agreement. As of March 31, 2017, the aggregate amount paid by the Advisor pursuant to the Expense Support Agreement was $467,695. No amounts had been reimbursed to the Advisor by the Company. For the Three Months 2017 2016 Asset management fees deferred $ — $ — Other expenses supported 318,196 — Total expense support from Advisor (1) $ 318,196 $ — (1) As of March 31, 2017, $318,196 of expense support was payable to the Company by the Advisor.

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Detail)	Jul. 01, 2016USD ($)$ / shares	Nov. 25, 2014USD ($)	Mar. 31, 2017USD ($)$ / sharesshares
Stockholders Equity [Line Items]
Stock dividends | $			$ 9,443
Stock dividends, shares authorized | shares			946
Stock dividends, payment date			2017-04
Initial Public Offering [Member]
Stockholders Equity [Line Items]
Effective date of registration statement	Aug. 8, 2016	Feb. 18, 2016
Maximum dollar value of common stock in public offering | $	$ 2,000,000,000	$ 2,000,000,000
Dollar value of common stock in offering, primary shares | $	1,500,000,000
Dollar value of common stock in offering, DRIP shares | $	$ 500,000,000
Initial date public offering expected to close		Feb. 18, 2018
Total amount of common stock remaining available for sale | $			$ 1,997,996,396
Amount remaining available for sale through distribution reinvestment plan | $			$ 499,996,396
Class A [Member] | Initial Public Offering [Member]
Stockholders Equity [Line Items]
Offering price of common stock per share, primary shares | $ / shares	$ 10		$ 10
Offering price of common stock per share, DRIP shares | $ / shares	9.0355		9.0355
Class T [Member] | Initial Public Offering [Member]
Stockholders Equity [Line Items]
Offering price of common stock per share, primary shares | $ / shares	9.4180		9.4180
Offering price of common stock per share, DRIP shares | $ / shares	9.0355		9.0355
Class W [Member] | Initial Public Offering [Member]
Stockholders Equity [Line Items]
Offering price of common stock per share, primary shares | $ / shares	9.0355		9.0355
Offering price of common stock per share, DRIP shares | $ / shares	$ 9.0355		$ 9.0355
Stock Dividends [Member] | First Quarter 2017 [Member]
Stockholders Equity [Line Items]
Daily declared dividend per share			0.0000410959
Stock Dividends [Member] | Second Quarter 2017 [Member]
Stockholders Equity [Line Items]
Daily declared dividend per share			0.0000410959
Stock Dividends [Member] | Third Quarter 2017 [Member]
Stockholders Equity [Line Items]
Daily declared dividend per share			0.0000410959

Stockholders' Equity - Summary

Stockholders' Equity - Summary of Company's Initial Public Offering (Detail)	3 Months Ended
	Mar. 31, 2017USD ($)shares
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 2,503,604
Number of shares sold | shares	235,748
Primary Offering [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 2,000,000
Number of shares sold | shares	221,349
DRIP [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 3,604
Number of shares sold | shares	399
Private Offering [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 500,000
Number of shares sold | shares	14,000
Class A [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 2,065,904
Number of shares sold | shares	228,748
Class A [Member] | Primary Offering [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 2,000,000
Number of shares sold | shares	221,349
Class A [Member] | DRIP [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 3,604
Number of shares sold | shares	399
Class A [Member] | Private Offering [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 62,300
Number of shares sold | shares	7,000
Class T [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 62,300
Number of shares sold | shares	7,000
Class T [Member] | Private Offering [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 62,300
Number of shares sold | shares	7,000
Notes to Stockholders [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 375,400
Notes to Stockholders [Member] | Private Offering [Member]
Stockholders Equity [Line Items]
Amount of gross proceeds raised	$ 375,400

Stockholders' Equity - Summar18

Stockholders' Equity - Summary of Company's Initial Public Offering (Parenthetical) (Detail) - Minimum [Member]	Mar. 31, 2017USD ($)
Ohio [Member]
Stockholders Equity [Line Items]
Minimum common stock subscription value	$ 7,000,000
Pennsylvania [Member]
Stockholders Equity [Line Items]
Minimum common stock subscription value	75,000,000
Washington [Member]
Stockholders Equity [Line Items]
Minimum common stock subscription value	$ 10,000,000

Stockholders' Equity - Summar19

Stockholders' Equity - Summary of Changes in Shares Outstanding and Aggregate Par Value of Outstanding Shares for Each Class of Common Stock (Detail)	3 Months Ended
	Mar. 31, 2017USD ($)shares
Class of Stock [Line Items]
Beginning balance	$ 2,114,487
Ending balance	2,108,576
Class A [Member]
Class of Stock [Line Items]
Beginning balance	$ 2,483
Beginning balance, shares | shares	248,349
Issuance of common stock, DRIP	$ 4
Issuance of common stock, DRIP | shares	399
Ending balance	$ 2,487
Ending balance, shares | shares	248,748
Class T [Member]
Class of Stock [Line Items]
Beginning balance	$ 70
Beginning balance, shares | shares	7,000
Ending balance	$ 70
Ending balance, shares | shares	7,000
Common Stock [Member]
Class of Stock [Line Items]
Beginning balance	$ 2,553
Beginning balance, shares | shares	255,349
Issuance of common stock, DRIP	$ 4
Issuance of common stock, DRIP | shares	399
Ending balance	$ 2,557
Ending balance, shares | shares	255,748

Stockholders' Equity - Summar20

Stockholders' Equity - Summary of Company's Cash Distribution Activity (Detail) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2017	Dec. 31, 2016
Stockholders Equity [Line Items]
Payment Date	2017-04
Reinvested in Shares	$ 9,443
Gross Distributions	$ 42,559
Cash Distribution [Member] | March 31, 2017 [Member]
Stockholders Equity [Line Items]
Payment Date	2017-04
Declared per Common Share	$ 0.12950
Paid in Cash	$ 23,101
Reinvested in Shares	10,015
Gross Distributions	$ 33,116
Cash Distribution [Member] | December 31, 2016 [Member]
Stockholders Equity [Line Items]
Payment Date		2017-01
Declared per Common Share		$ 0.12950
Paid in Cash		$ 7,517
Reinvested in Shares		3,604
Gross Distributions		$ 11,121

Stockholders' Equity - Summar21

Stockholders' Equity - Summary of Company's Cash Distribution Activity (Parenthetical) (Detail)	3 Months Ended
	Mar. 31, 2017USD ($)
Class T [Member]
Stockholders Equity [Line Items]
Distribution Fees	$ 0
Class W [Member]
Stockholders Equity [Line Items]
Distribution Fees	$ 0

Fair Value of Financial Instr22

Fair Value of Financial Instruments - Additional Information (Detail) - USD ($)	Mar. 31, 2017	Dec. 31, 2016
Fair Value Disclosures [Abstract]
Carrying value of the notes payable to stockholders	$ 375,400	$ 375,400
Fair value of the notes payable to stockholders	$ 375,400	$ 375,400

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Detail)	3 Months Ended
	Mar. 31, 2017USD ($)
Expense Support Agreement [Member]
Related Party Transaction [Line Items]
Maximum limit on payments under expense support agreement	$ 30,000,000
Expense support agreement effective through, date	Sep. 30, 2019
Termination notice period for expense support agreement	30 days
Advisor [Member]
Related Party Transaction [Line Items]
Maximum organization and offering expense reimbursement to advisor or affiliates as a percentage of gross offering proceeds	2.00%
Current estimate of organization and offering expense reimbursement to advisor or affiliates as a percentage of gross offering proceeds	1.50%
Offering costs incurred by Advisor	$ 3,546,005
Organization costs incurred by Advisor	117,864
Reimbursement related to organization costs	40,072
Other expense reimbursements incurred	0
Aggregate amount paid by the Advisor pursuant to the expense support agreement	$ 467,695

Related Party Transactions - Sc

Related Party Transactions - Schedule of Fees Waived or Expense Supported by the Advisor and Reimbursements to the Advisor by the Company (Detail) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Related Party Transaction [Line Items]
Total expense support from Advisor	$ (318,196)
Advisor [Member]
Related Party Transaction [Line Items]
Expense support payment obligations incurred, asset management fees	0	$ 0
Expense support payment obligations incurred, other expense support	318,196
Total expense support from Advisor	$ 318,196

Related Party Transactions - 25

Related Party Transactions - Schedule of Fees Waived or Expense Supported by the Advisor and Reimbursements to the Advisor by the Company (Parenthetical) (Detail)	Mar. 31, 2017USD ($)
Advisor [Member]
Related Party Transaction [Line Items]
Expense support payable to the company by the Advisor	$ 318,196

Subsequent Events - Summary of

Subsequent Events - Summary of Company's Initial Public Offerings (Detail) - USD ($)	May 02, 2017	Mar. 31, 2017
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 2,503,604
Number of shares issued through stock dividends		946
Number of shares sold		235,748
Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 2,513,644
Number of shares sold	237,805
Primary Offering [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 2,000,000
Number of shares sold		221,349
Primary Offering [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 2,000,000
Number of shares sold	221,349
DRIP [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 3,604
Number of shares sold		399
DRIP [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 13,644
Number of shares sold	1,510
Private Offering [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 500,000
Number of shares sold		14,000
Private Offering [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 500,000
Number of shares sold	14,000
Stock Dividends [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Number of shares issued through stock dividends	946
Class A [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 2,065,904
Number of shares sold		228,748
Class A [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 2,075,944
Number of shares sold	230,779
Class A [Member] | Primary Offering [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 2,000,000
Number of shares sold		221,349
Class A [Member] | Primary Offering [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 2,000,000
Number of shares sold	221,349
Class A [Member] | DRIP [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 3,604
Number of shares sold		399
Class A [Member] | DRIP [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 13,644
Number of shares sold	1,510
Class A [Member] | Private Offering [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 62,300
Number of shares sold		7,000
Class A [Member] | Private Offering [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 62,300
Number of shares sold	7,000
Class A [Member] | Stock Dividends [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Number of shares issued through stock dividends	920
Class T [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 62,300
Number of shares sold		7,000
Class T [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 62,300
Number of shares sold	7,026
Class T [Member] | Private Offering [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 62,300
Number of shares sold		7,000
Class T [Member] | Private Offering [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 62,300
Number of shares sold	7,000
Class T [Member] | Stock Dividends [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Number of shares issued through stock dividends	26
Notes to Stockholders [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 375,400
Notes to Stockholders [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 375,400
Notes to Stockholders [Member] | Private Offering [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised		$ 375,400
Notes to Stockholders [Member] | Private Offering [Member] | Subsequent Event [Member]
Subsidiary, Sale of Stock [Line Items]
Amount of gross proceeds raised	$ 375,400

Subsequent Events - Summary o27

Subsequent Events - Summary of Company's Initial Public Offerings (Parenthetical) (Detail) - Minimum [Member] - USD ($)	May 02, 2017	Mar. 31, 2017
Ohio [Member]
Subsidiary, Sale of Stock [Line Items]
Minimum common stock subscription value		$ 7,000,000
Pennsylvania [Member]
Subsidiary, Sale of Stock [Line Items]
Minimum common stock subscription value		75,000,000
Washington [Member]
Subsidiary, Sale of Stock [Line Items]
Minimum common stock subscription value		$ 10,000,000
Subsequent Event [Member] | Ohio [Member]
Subsidiary, Sale of Stock [Line Items]
Minimum common stock subscription value	$ 7,000,000
Subsequent Event [Member] | Pennsylvania [Member]
Subsidiary, Sale of Stock [Line Items]
Minimum common stock subscription value	75,000,000
Subsequent Event [Member] | Washington [Member]
Subsidiary, Sale of Stock [Line Items]
Minimum common stock subscription value	$ 10,000,000

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - Initial Public Offering [Member] - USD ($)	May 02, 2017	Mar. 31, 2017
Subsequent Event [Line Items]
Total amount of common stock remaining available for sale		$ 1,997,996,396
Amount remaining available for sale through distribution reinvestment plan		$ 499,996,396
Subsequent Event [Member]
Subsequent Event [Line Items]
Total amount of common stock remaining available for sale	$ 1,997,986,356
Amount remaining available for sale through distribution reinvestment plan	$ 499,986,356