Equity

6 Months Ended

Jun. 30, 2012

Equity [Abstract]

EQUITY

NOTE 10: EQUITY

Preferred Shares

Dividends:

On January 24, 2012, our board of trustees declared a first quarter 2012 cash dividend of $0.484375 per share on our 7.75% Series A Preferred Shares, $0.5234375 per share on our 8.375% Series B Preferred Shares and $0.5546875 per share on our 8.875% Series C Preferred Shares. The dividends were paid on April 2, 2012 to holders of record on March 1, 2012 and totaled $3,407.

On May 1, 2012, our board of trustees declared a second quarter 2012 cash dividend of $0.484375 per share on our 7.75% Series A Preferred Shares, $0.5234375 per share on our 8.375% Series B Preferred Shares and $0.5546875 per share on our 8.875% Series C Preferred Shares. The dividends were paid on July 2, 2012 to holders of record on June 1, 2012 and totaled $3,406.

On July 24, 2012, our board of trustees declared a third quarter 2012 cash dividend of $0.484375 per share on our 7.75% Series A Preferred Shares, $0.5234375 per share on our 8.375% Series B Preferred Shares and $0.5546875 per share on our 8.875% Series C Preferred Shares. The dividends will be paid on October 1, 2012 to holders of record on September 4, 2012.

At Market Issuance Sales Agreement (ATM):

On May 21, 2012, we entered into an At Market Issuance Sales Agreement, or ATM, with MLV & Co. LLC, or MLV, providing that, from time to time during the term of the ATM, on the terms and subject to the conditions set forth therein, we may issue and sell through MLV, up to 2,000,000 shares of our 7.75% Series A Cumulative Redeemable Preferred Shares, par value $0.01 per share, or the Series A Preferred Shares, up to 2,000,000 shares of our 8.375% Series B Cumulative Redeemable Preferred Shares, par value $0.01 per share, or the Series B Preferred Shares, and up to 2,000,000 shares of our 8.875% Series C Cumulative Redeemable Preferred Shares, par value $0.01 per share, or the Series C Preferred Shares.

During the period from the effective date of the ATM through June 30, 2012, we issued a total of 27,931 Series A Preferred Shares pursuant to the ATM at a weighted-average price of $20.37 per share and we received $552 of net proceeds. During the period from the effective date of the ATM through June 30, 2012, we issued a total of 13,320 Series B Preferred Shares pursuant to the ATM at a weighted-average price of $21.32 per share and we received $275 of net proceeds. During the period from the effective date of the ATM through June 30, 2012, we issued a total of 21,430 Series C Preferred Shares pursuant to the ATM at a weighted-average price of $22.39 per share and we received $465 of net proceeds. From July 1, 2012 through August 1, 2012, we issued a total of 8,069 Series A Preferred Shares pursuant to the ATM at a weighted-average price of $20.30 per share and we received $159 of net proceeds. From July 1, 2012 through August 1, 2012, we issued a total of 10,680 Series B Preferred Shares pursuant to the ATM at a weighted-average price of $21.34 per share and we received $221 of net proceeds. From July 1, 2012 through August 1, 2012, we issued a total of 18,570 Series C Preferred Shares pursuant to the ATM at a weighted-average price of $22.34 per share and we received $402 of net proceeds. After reflecting the preferred shares issued through August 1, 2012, 1,964,000, 1,976,000, and 1,960,000 of Series A Preferred Shares, Series B Preferred Shares, and Series C Preferred Shares, respectively, remain available for issuance under the ATM.

Common Shares

Dividends:

On February 29, 2012, the board of trustees declared a $0.08 dividend on our common shares to holders of record as of March 28, 2012. The dividend was paid on April 27, 2012 and totaled $3,992.

On June 21, 2012, the board of trustees declared a $0.08 dividend on our common shares to holders of record as of July 11, 2012. The dividend was paid on July 31, 2012 and totaled $3,985.

Share Repurchases:

On January 24, 2012, the compensation committee of our board of trustees approved a cash payment to the board’s seven non-management trustees intended to constitute a portion of their respective 2012 annual non-management trustee compensation. The cash payment was subject to terms and conditions set forth in a letter agreement, or the letter agreement, between each of the non-management trustees and RAIT. The letter agreement documented the election of each trustee to use a portion of the cash payment to purchase RAIT’s common shares in purchases that, individually and in the aggregate with all purchases made by all the other non-management trustees pursuant to their respective letter agreements, complied with Rule 10b-18 promulgated under the Securities Exchange Act of 1934, as amended. The aggregate amount used by all of the non-management trustees to purchase common shares was $210 and was used to purchase 36,750 common shares, in the aggregate, in February 2012.

Equity Compensation:

During the six-month period ended June 30, 2012, 220,823 phantom unit awards were redeemed for common shares, a portion of which was withheld in order to satisfy the applicable withholding taxes. These phantom units were fully vested at the time of redemption.

On January 24, 2012, the compensation committee awarded 2,172,000 stock appreciation rights, or SARs, valued at $6,091 based on a Black-Scholes option pricing model at the date of grant, to our executive officers and non-executive officer employees. The SARs vest over a three-year period and may be exercised between the date of vesting and January 24, 2017, the expiration date of the SARs.

Dividend Reinvestment and Share Purchase Plan (DRSPP):

We implemented an amended and restated dividend reinvestment and share purchase plan, or DRSPP, effective as of March 13, 2008, pursuant to which we registered and reserved for issuance, in the aggregate, 10,500,000 common shares. During the six-month period ended June 30, 2012, we issued a total of 1,496,826 common shares pursuant to the DRSPP at a weighted-average price of $5.10 per share and we received $7,595 of net proceeds. As of June 30, 2012, 7,790,756 common shares, in the aggregate, remain available for issuance under the DRSPP.

Common Share Public Offering:

During the six-month period ended June 30, 2012, we issued 6,950,000 common shares in an underwritten public offering. The public offering price was $5.30 per share and we received $34,750 of net proceeds.