Ares Real Estate Income Trust Files Q2 2024 10-Q

TL;DR

**ARES REAL ESTATE INCOME TRUST FILES Q2 10-Q - CHECK FINANCIALS**

AI Summary

Ares Real Estate Income Trust Inc. filed its 10-Q for the period ending June 30, 2024. The filing details the company's financial position and performance, including its real estate investments and other assets and liabilities. The company, formerly known as Black Creek Diversified Property Fund Inc., is incorporated in Maryland and operates as a Real Estate Investment Trust.

Why It Matters

This filing provides investors with a detailed look into the financial health and operational performance of Ares Real Estate Income Trust Inc. during the second quarter of 2024, crucial for investment decisions.

Risk Assessment

Risk Level: medium — Real estate investment trusts are subject to market fluctuations, interest rate changes, and property-specific risks, which can impact performance.

Key Numbers

• 20240630 — Reporting Period End Date (Indicates the financial data is as of this date.)
• 20240812 — Filing Date (Shows when the report was submitted to the SEC.)

Key Players & Entities

• Ares Real Estate Income Trust Inc. (company) — Filer of the 10-Q
• Black Creek Diversified Property Fund Inc. (company) — Former name of the filer
• 20240630 (date) — End of the reporting period
• 20240812 (date) — Filing date
• 0001327978 (company) — Central Index Key for Ares Real Estate Income Trust Inc.

FAQ

Filing Documents

• are-20240630x10q.htm (10-Q) — 4575KB
• are-20240630xex10d2.htm (EX-10.2) — 40KB
• are-20240630xex31d1.htm (EX-31.1) — 11KB
• are-20240630xex31d2.htm (EX-31.2) — 14KB
• are-20240630xex32d1.htm (EX-32.1) — 15KB
• are-20240630xex99d1.htm (EX-99.1) — 5KB
• 0001558370-24-011880.txt ( ) — 17343KB
• are-20240630.xsd (EX-101.SCH) — 88KB
• are-20240630_cal.xml (EX-101.CAL) — 95KB
• are-20240630_def.xml (EX-101.DEF) — 371KB
• are-20240630_lab.xml (EX-101.LAB) — 662KB
• are-20240630_pre.xml (EX-101.PRE) — 529KB
• are-20240630x10q_htm.xml (XML) — 4197KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements: Condensed Consolidated Balance Sheets as of June 30, 2024 (unaudited) and December 31, 2023 3 Condensed Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2024 and 2023 (unaudited) 4 Condensed Consolidated Statements of Comprehensive Income (Loss) for the Three and Six Months Ended June 30, 2024 and 2023 (unaudited) 5 Condensed Consolidated Statements of Equity for the Three and Six Months Ended June 30, 2024 and 2023 (unaudited) 6 Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2024 and 2023 (unaudited) 8 Notes to Condensed Consolidated Financial Statements (unaudited) 9 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 35 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 57 Item 4.

Controls and Procedures

Controls and Procedures 58

OTHER INFORMATION

PART II. OTHER INFORMATION Item 1A.

Risk Factors

Risk Factors 58 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 59 Item 5. Other Information 62 Item 6. Exhibits 63 2 Table of contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS ARES REAL ESTATE INCOME TRUST INC. CONDENSED CONSOLIDATED BALANCE SHEETS As of (in thousands, except per share data) June 30, 2024 December 31, 2023 (Unaudited) ASSETS Net investment in real estate properties $ 4,079,598 $ 3,889,314 Investments in real estate debt and securities (includes $ 130,447 and $ 122,375 at fair value as of June 30, 2024 and December 31, 2023, respectively) 398,220 370,176 Investments in unconsolidated joint venture partnerships (includes $ 36,966 and $ 0 at fair value as of June 30, 2024 and December 31, 2023, respectively) 195,441 153,305 Cash and cash equivalents 37,922 15,052 Restricted cash 6,652 4,614 DST Program Loans (includes $ 26,871 and $ 7,753 at fair value as of June 30, 2024 and December 31, 2023, respectively) 121,233 117,019 Other assets 93,913 89,926 Total assets $ 4,932,979 $ 4,639,406 LIABILITIES AND EQUITY Liabilities Accounts payable and accrued expenses $ 80,014 $ 66,386 Debt, net 2,135,212 1,961,120 Intangible lease liabilities, net 36,903 37,079 Financing obligations, net (includes $ 407,710 and $ 102,045 at fair value as of June 30, 2024 and December 31, 2023, respectively) 1,477,989 1,351,090 Distribution fees payable to affiliates 63,722 66,656 Other liabilities 38,542 33,913 Total liabilities 3,832,382 3,516,244 Commitments and contingencies (Note 14) Redeemable noncontrolling interests 9,977 11,746 Equity Stockholders' equity: Preferred stock, $ 0.01 par value— 200,000 shares authorized, none issued and outstanding — — Class T common stock, $ 0.01 par value— 500,000 shares authorized, 28,193 shares and 28,432 shares issued and outstanding, respectively 282 284 Class S common stock, $ 0.01 par value— 500,000 shares authorized, 46,519 shares and 48,145 shares issued and outstanding, respectively 465 482 Class D common stock, $ 0.01 par value— 500,000 shares author

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View this 10-Q filing on SEC EDGAR