Fresh-start accounting adoption for public REIT

Fresh-start accounting adoption for public REIT

Stout was hired to manage and deliver on the fresh-start accounting adoption upon the emergence from Chapter 11 bankruptcy for a public real estate investment trust (REIT). More than 45 professionals across five service areas – Real Estate Valuation, Business Valuation, Complex Securities & Financial Instruments, Accounting and Reporting Advisory, and Project Management Office (PMO) Services – collaborated on this project.

Work included:

  • Determined multi-billion dollar enterprise value of the reorganized entity
  • Performed real property valuations of over 200 properties (greater than $3.5 billion in property valued and over 50 million square feet)
  • Performed valuations on over $1 billion in outstanding debt (including 40+ properties and multiple corporate debt instruments)
  • Supported the client's technical accounting and financial reporting by preparing or reviewing necessary accounting memos, schedules, and disclosures related to ASC 852. Our work included, but was not limited to, complex and convertible debt analysis, variable interest entity analysis, documentation of accounting policies, and required tests and disclosures under ASC 852
  • Provided PMO services throughout the project. The PMO supported company management's strategic direction by ensuring adherence to plans, by identifying, remediating, and resolving issues, and by coordinating effective communication between and among senior company management and various service providers