Annaly Capital Management, Inc. (NYSE:NLY)’s Board announced 3Q2015 cash dividend payout of $0.30 per common share, payable October 30, to shareholders of record date September 30, 2015. The company reported September 28, 2015 as ex-dividend date. The payouts may be reinvested through the Dividend Reinvestment and Share Purchase Program.
The performance
Annaly’s prime business goal is to record net income for distribution to its common shareholders from its investments. The company is a Maryland corporation that has chosen to be taxed as a REIT. It is advised and managed by Annaly Management Company LLC.
Annaly Capital has done an impressive job compared to other mREITs in containing its expenses. The company may have faced some problems due to some external management deals, but it is still establishing the standard. When a rival has considerably higher costs, it must noticeably outperform Annaly in making investments to achieve the same income level for its shareholders.
The buzz
In unrelated news, Annaly Capital reported that its wholly-owned subsidiary firm Annaly Commercial Real Estate Group, Inc. offered a $592 million loan to an associate of Blackstone Real Estate Partners VIII and their associate Fairstead Capital for the acquisition of a 24 building NY City apartment portfolio. The company capitalized on Blackstone’s robust alliance with the institutional marketable real estate origination team that newly joined it from GE Capital Real Estate.
The management view
Kevin Keyes, the President of Annaly Capital Management, Inc. (NYSE:NLY), said that this deal is another example of the growth the company is achieving in advancing commercial real estate operations through superior institutional relationships. The company will continue to use strong balance sheet as a strategic benefit as they develop commercial real estate platform. Michael Lascher of Blackstone said that while this is the first commercial deal with Annaly, they look forward to advancing the relationship depending on the quality of execution.
