Griffin Industrial Realty, Inc. (Nasdaq: GRIF) reported that it is on target and scheduled to become operational on January 1, 2021, in its election to become a real estate investment trust.

On 17 November 2020, the Board of Directors of the Company approved a change in the Company’s fiscal year ending from 30 November to 31 December 2020, in accordance with the expected election to become a REIT, starting with the Company’s next fiscal year, which will now begin on 1 January 2021 and conclude on 31 December 2021.

As a result of the move, starting on December 1, 2020, and ending on December 31, 2020, the Organization will have a one-month transition period.

It is estimated that the results of the transition phase will be published in the Quarterly Report of the Company on Form 10-Q for the first quarter of the New Fiscal Year ending March 31, 2021, and in the Annual Report of the Company on Form 10-K for the New Fiscal Year.

Michael Gamzon, President & Chief Executive Officer, reported that I am pleased that we are on track to complete our planned election to be taxable as a REIT in 2021. We assume that the conversion of REIT is a critical component of realizing the next stage of Griffin’s growth, increasing our investor base, enhancing our stock’s liquidity, and generating positive long-term shareholder value.

Michael Gamzon, President & Chief Executive Officer, said in a statement that I am pleased that we are on course to conclude our planned election to be taxable as a REIT in 2021. We assume that the REIT conversion is a vital component of Griffin’s next growth process, growing our investor base, improving our market liquidity, and generating positive shareholder value over the long term.

In the meantime, Griffin has declared its plan to offer a dividend in the first quarter of the new fiscal year to share its expected cumulative earnings and dividends in accordance with the planned REIT transfer, instead of paying an annual dividend in the fourth quarter as in previous years. It is projected that the E&P distribution will differ between $10.0 million and $12.0 million, or between $1.77 and $2.12 per share of the common stock of Griffin, and will be focused on the taxable performance of Griffin by December 31, 2020.

The exact volume of the E&P Distribution would vary based on the event if any, and the duration of such deals, including the disposal of properties under the arrangements presently to be exchanged, and the actual financial performance of the Business. The E&P Payout would be paid in a mixture of cash and common stock, with a minimum of $0.55 per share estimated to be the cash portion. Griffin plans to begin making daily quarterly dividend distributions beginning in the second quarter of the New Fiscal Year.