CIM REAL ESTATE FINANCE TRUST, INC. 8-K

What Happened
CIM Real Estate Finance Trust, Inc. (CMRF) announced that its Board approved an estimated net asset value (NAV) of $5.14 per common share as of December 31, 2025 (down from $5.22 as of 12/31/2024). The Audit Committee recommended the midpoint of Kroll, LLC’s valuation range ($5.06–$5.23), and the Board unanimously approved the $5.14 NAV on March 19, 2026. Effective March 27, 2026, the $5.14 figure will be used to price shares issued under the Company’s distribution reinvestment plan (DRIP) and will serve as the most recent NAV for the Company’s share redemption program.

Key Details

• Estimated per‑share NAV: $5.14 (valuation range by Kroll: $5.06–$5.23; midpoint $5.14).
• Shares outstanding: ~436.9 million; implied total estimated value: approximately $2.248 billion.
• Primary valuation advisor: Kroll, LLC (engaged January 2026); methodology: NAV Methodology per IPA Guideline 2013‑01 using income capitalization and sales comparison approaches.
• Drivers of NAV decline: higher fair‑value adjustments on ABS mortgage note obligations (stated rates below current market) and lower estimated values for certain properties under contract/being marketed for sale.
• Sensitivity: a 25 basis‑point increase in capitalization/discount rates would reduce NAV by ~$0.08 per share; a 25 bps decrease would raise it by ~$0.09 per share.

Why It Matters
This NAV update affects the price at which DRIP participants will receive shares and determines the baseline for the Company’s share redemption program — both are practical, near‑term outcomes that impact current shareholders. The change from $5.22 to $5.14 is modest but reflects portfolio and market factors (mortgage note pricing and select property valuations). Investors should note the valuation is an estimate based on assumptions and a third‑party valuation report; it is not a guaranteed liquidation value and can fluctuate with market conditions and future Board updates.