8-K

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported): May 3, 2005

RAIT Investment Trust
__________________________________________
(Exact name of registrant as specified in its charter)

Maryland	1-14760	23-2919819
_____________________ (State or other jurisdiction	_____________ (Commission	______________ (I.R.S. Employer
of incorporation)	File Number)	Identification No.)
c/o RAIT Partnership, L.P., 1818 Market Street, 28th Floor, Philadelphia, Pennsylvania		19103
_________________________________ (Address of principal executive offices)		___________ (Zip Code)

Registrant’s telephone number, including area code: (215) 861-7900

Not Applicable
______________________________________________
Former name or former address, if changed since last report

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

[  ]  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[  ]  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[  ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[  ]  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition.

On May 3, 2005, RAIT Investment Trust issued a press release regarding its earnings for the three months ended March 31, 2005. A copy of this press release is furnished with this report as an exhibit to Form 8-K. The information in this Current Report, including the exhibit hereto, is being furnished and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. The information in this Current Report shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	RAIT Investment Trust
May 3, 2005	By:	/s/ Ellen J. DiStefano
		Name: Ellen J. DiStefano
		Title: Chief Financial Officer and Executive Vice President

Exhibit Index

Exhibit No.	Description
99	Press Release

EX-99

RAIT Investment Trust Announces First Quarter 2005 Earnings

PHILADELPHIA, PA — May 3, 2005 — RAIT Investment Trust (“RAIT”) (NYSE: RAS)

Financial Highlights

• Net income available to common shareholders for the three months ended March 31, 2005 increased 17% from the three months ended March 31, 2004

- Total assets at March 31, 2005 increased 8.0% from total assets at December 31, 2004

RAIT reported net income available to common shareholders for the three months ended March 31, 2005 of $16.4 million resulting in net income per common share — diluted of $0.64 based on 25.8 million weighted average common shares — diluted, as compared to net income available to common shareholders of $14.0 million resulting in net income per common — share diluted of $0.60 based on 23.4 million weighted average common shares — diluted, for the three months ended March 31, 2004. Total revenues for the three months ended March 31, 2005 were $28.7 million as compared to $22.7 million for the three months ended March 31, 2004.

Balance Sheet Summary
At March 31, 2005, RAIT’s total assets were $788.7 million (including $548.9 million of real estate loans, net, $44.1 million of unconsolidated real estate interests and $135.0 million of consolidated real estate interests). At December 31, 2004, RAIT’s total assets were $729.5 million (including $491.3 million in real estate loans, net, $44.0 million of unconsolidated real estate interests and $136.5 million of consolidated real estate interests). At March 31, 2005, RAIT’s indebtedness secured by real estate (the sum of senior indebtedness relating to loans and long-term debt secured by real estate owned) was $114.4 million, and there was a $96.4 million aggregate balance outstanding under RAIT’s secured lines of credit. At December 31, 2004, RAIT’s indebtedness secured by real estate was $114.7 million, and there was a $49.0 million aggregate balance outstanding under RAIT’s secured lines of credit. RAIT’s total shareholders’ equity was $542.9 million at March 31, 2005 and $541.7 million at December 31, 2004. Total common shares outstanding were 25,587,774 at March 31, 2005 and 25,579,948 at December 31, 2004. Unconsolidated real estate interests are alternative lending structures.

Dividend Summary
On April 15, 2005, RAIT paid a first quarter dividend of $0.60 per common share to shareholders of record on April 7, 2005. Including this first quarter dividend, RAIT has declared a regular quarterly cash dividend of at least $0.60 per common share during each of the past eleven quarters. On March 31, 2005, RAIT paid a first quarter dividend of $0.484375 per preferred share relating to RAIT’s 7.75% Series A Cumulative Redeemable Preferred Shares and a quarterly dividend of $0.5234375 per share on RAIT’s 8.375% Series B Cumulative Redeemable Preferred Shares to shareholders of record on March 1, 2005.

Conference Call Webcast
Interested parties can access the LIVE webcast of RAIT’s Quarterly Earnings Conference Call at 11:00 AM EDT on Wednesday, May 4, 2005 by clicking on the Webcast link on RAIT’s homepage at www.raitinvestmenttrust.com. For those who are not available to listen to the live broadcast, the replay of the webcast will be available following the live call on RAIT’s investor relations website and telephonically until Wednesday, May 11, 2005 by dialing 888-286-8010, access code 29425553.

About RAIT Investment Trust
RAIT Investment Trust (NYSE:RAS), a real estate investment trust, is a specialty finance company focused on the commercial real estate industry. RAIT provides structured financing to owners of real estate, including senior and mezzanine lending and preferred equity investments. RAIT also acquires real estate for its own account. For more information, please visit www.raitinvestmenttrust.com or call Investor Relations at 215-861-7900. If you would like to be added to RAIT’s distribution list to receive news, updates and announcements, please visit www.raitinvestmenttrust.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding RAIT Investment Trust’s business which are not historical facts are “forward-looking statements” that involve risks and uncertainties. For discussion of such risks and uncertainties, which could cause actual results to differ materially from those contained in the forward looking statement, see RAIT’s filings with the Securities and Exchange Commission, including Registration Statement No. 333-103618 under the section entitled “Risk Factors” and the Form 10-K for the year ended December 31, 2004. RAIT does not undertake to update forward-looking statements in this press release or with respect to matters described herein.

RAIT Investment Trust Contact
Andres Viroslav
215-861-7923
aviroslav@raitinvestmenttrust.com

RAIT INVESTMENT TRUST

and Subsidiaries

Consolidated Statements of Income
(Unaudited)

	For the three months
	ended March 31,
	2005			2004
REVENUES
Interest income		$18,975,191		$	13,314,483
Rental income		7,481,095			6,067,198
Fee income and other		911,432			2,487,208
Investment income		1,318,649			831,894
Total revenues		28,686,367			22,700,783
COSTS AND EXPENSES
Interest		2,664,754			2,466,125
Property operating expenses		3,966,337			3,030,023
Salaries and related benefits		1,250,348			1,151,657
General and administrative		861,057			967,515
Depreciation and amortization		1,044,747			945,469
Total costs and expenses		9,787,243			8,560,789
Net income before minority interest	$	18,899,124		$	14,139,994
Minority interest		(9,989	)		(19,476	)
Net income	$	18,889,135		$	14,120,518
Preferred dividends		2,518,955			150,000
Net income available to common shareholders	$	16,370,180		$	13,970,518
Net income per common share – basic	$	0.64		$	0.60
Weighted average common shares – basic		25,583,041			23,208,884
Net income per common share – diluted	$	0.64		$	0.60
Weighted average common shares – diluted		25,754,477			23,404,114

RAIT INVESTMENT TRUST
and Subsidiaries
Consolidated Balance Sheets

	March 31, 2005
	(unaudited)			December 31, 2004
ASSETS
Cash and cash equivalents	$	15,573,096		$	13,331,373
Restricted cash		18,946,844			22,947,888
Tenant escrows		211,840			211,905
Accrued interest receivable		11,762,216			9,728,674
Real estate loans, net		548,911,092			491,281,473
Unconsolidated real estate interests		44,107,027			44,016,457
Consolidated real estate interests		135,012,289			136,487,247
Furniture, fixtures and equipment, net		616,904			639,582
Prepaid expenses and other assets		12,667,855			9,966,722
Goodwill		887,143			887,143
Total assets	$	788,696,306		$	729,498,464
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities:
Accounts payable and accrued liabilities	$	3,685,284		$	4,410,101
Accrued interest payable		719,802			480,168
Tenant security deposits		366,026			364,508
Borrowers’ escrows		14,356,909			18,326,863
Dividend payable		15,351,018			—
Senior indebtedness relating to loans		51,259,967			51,305,120
Long-term debt secured by real estate owned		63,149,835			63,424,199
Secured lines of credit		96,400,000			49,000,000
Total liabilities	$	245,288,841		$	187,310,959
Minority interest		467,033			477,564
Shareholders’ equity:
Preferred shares, $.01 par value; 25,000,000 shares authorized;
7.75% Series A cumulative redeemable preferred shares, liquidation preference $25.00 per share; 2,760,000 issued and outstanding		27,600			27,600
8.375% Series B cumulative redeemable preferred shares, liquidation preference $25.00 per share; 2,258,300 issued and outstanding		22,583			22,583
Common shares, $.01 par value; 200,000,000 authorized shares; issued and outstanding 25,587,774 and 25,579,948 shares		255,850			255,799
Additional paid-in-capital		540,704,217			540,627,203
Retained earnings		2,919,436			1,900,274
Loans for stock options exercised		(503,600	)		(506,302	)
Deferred compensation		(485,654	)		(617,216	)
Total shareholders’ equity		542,940,432			541,709,941
Total liabilities and shareholders’ equity	$	788,696,306		$	729,498,464