10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2013

	OR
o	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _________ to __________

Commission file number: 333-177563

American Realty Capital Global Trust, Inc.

(Exact name of registrant as specified in its charter)

Maryland	45-2771978
(State or other  jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
405 Park Ave., 15th Floor New York, NY	10022
(Address of principal executive offices)	(Zip Code)
(212) 415-6500
(Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrant submitted electronically and posted on its corporate Web Site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See definition of "large accelerated filer," "accelerated filer," and "smaller reporting company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer o		Accelerated filer o
Non-accelerated filer x	(Do not check if a smaller reporting company)	Smaller reporting company o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). o Yes x No

As of April 30, 2013, the registrant had 1,921,014shares of common stock outstanding.

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

INDEX TO CONSOLIDATED FINANCIAL STATEMENTS

	Page
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
Consolidated Balance Sheets as of March 31, 2013 (Unaudited) and December 31, 2012	2
Consolidated Statements of Operations and Comprehensive Income (Loss) for the Three Months Ended March 31, 2013 and 2012 (Unaudited)	3
Consolidated Statement of Changes in Stockholders' Equity (Deficit) for the Three Months Ended March 31, 2013 (Unaudited)	4
Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2013 and 2012 (Unaudited)	5
Notes to Consolidated Financial Statements (Unaudited)	6
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations	20
Item 3. Quantitative and Qualitative Disclosures About Market Risk	33
Item 4. Controls and Procedures	34
PART II - OTHER INFORMATION
Item 1. Legal Proceedings	35
Item 1A. Risk Factors	35
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	35
Item 3. Defaults Upon Senior Securities	36
Item 4. Mine Safety Disclosures	36
Item 5. Other Information	36
Item 6. Exhibits	36
Signatures	37

1

Part I — FINANCIAL INFORMATION

Item 1. Financial Statements.

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands, except for share and per share data)

	March 31, 2013			December 31, 2012
	(Unaudited)
ASSETS
Real estate investments, at cost:
Land	$	488		$	519
Buildings, fixtures and improvements	1,138			1,210
Acquired intangible lease assets	805			856
Total real estate investments, at cost	2,431			2,585
Less accumulated depreciation and amortization	(70		)	(30		)
Total real estate investments, net	2,361			2,555
Cash	6,359			262
Derivative, at fair value	73			—
Receivable for sale of common stock	396			—
Prepaid expenses and other assets	28			76
Deferred costs, net	32			40
Total assets	$	9,249		$	2,933
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
Mortgage note payable	$	1,155		$	1,228
Derivatives, at fair value	22			53
Accounts payable and accrued expenses	2,465			2,433
Deferred rent and other liabilities	49			—
Distributions payable	46			15
Total liabilities	3,737			3,729
Preferred stock, $0.01 par value, 50,000,000 authorized, none issued and outstanding	—			—
Common stock, $0.01 par value, 300,000,000 shares authorized, 1,028,161 and 256,500 shares issued and outstanding at March 31, 2013 and December 31, 2012, respectively	10			3
Additional paid-in capital	6,048			(311		)
Accumulated other comprehensive loss	(19		)	(43		)
Accumulated deficit	(527		)	(445		)
Total stockholders' equity (deficit)	5,512			(796		)
Total liabilities and stockholders' equity (deficit)	$	9,249		$	2,933

The accompanying notes are an integral part of these statements.

2

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

(In thousands, except for share and per share data)

(Unaudited)

	Three Months Ended March 31,
	2013			2012
Revenue:
Rental income	$	42		$	—
Operating expense reimbursement	3			—
Total revenues	45			—
Expenses:
Property operating	—			—
Operating fees to affiliate	—			—
General and administrative	4			1
Depreciation and amortization	30			—
Total expenses	34			1
Operating income (loss)	11			(1		)
Interest expense	(13		)	—
Net loss	$	(2	)	$	(1	)
Other comprehensive income (loss):
Cumulative translation adjustment	(80		)	—
Designated derivatives, fair value adjustments	104			—
Comprehensive income (loss)	$	22		$	(1	)
Basic and diluted weighted average shares outstanding	439,097			22,222
Basic and diluted net loss per share	$	—		NM

________________ 

NM - not meaningful

The accompanying notes are an integral part of these statements.

3

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT)

For the Three Months Ended March 31, 2013

(In thousands, except for share data)

(Unaudited)

	Common Stock
	Number of Shares	Par Value		Additional Paid-in Capital			Accumulated Other Comprehensive Loss			Accumulated Deficit			Total
Balance, December 31, 2012	256,500	$	3	$	(311	)	$	(43	)	$	(445	)	$	(796	)
Issuance of common stock	771,324	7		7,628			—			—			7,635
Common stock offering costs, commissions and dealer manager fees	—	—		(1,276		)	—			—			(1,276		)
Common stock issued through distribution reinvestment plan	337	—		3			—			—			3
Share-based compensation	—	—		4			—			—			4
Distributions declared	—	—		—			—			(80		)	(80		)
Net loss	—	—		—			—			(2		)	(2		)
Cumulative translation adjustment	—	—		—			(80		)	—			(80		)
Designated derivatives, fair value adjustment	—	—		—			104			—			104
Balance, March 31, 2013	1,028,161	$	10	$	6,048		$	(19	)	$	(527	)	$	5,512

The accompanying notes are an integral part of this statement.

4

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)

	Three Months Ended March 31,
	2013			2012
Cash flows from operating activities:
Net loss	$	(2	)	$	(1	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation	17			—
Amortization of intangibles	13			—
Amortization of deferred financing costs	2			—
Amortization of above market lease	12			—
Share-based compensation	4			—
Changes in assets and liabilities:
Prepaid expenses and other assets	48			—
Accounts payable and accrued expenses	63			(16		)
Deferred rent	49			—
Net cash provided by (used in) operating activities	206			(17		)
Cash flows from financing activities:
Proceeds from issuance of common stock	7,239			—
Payments of offering costs	(1,144		)	(117		)
Distributions paid	(46		)	—
Due to affiliates, net	(157		)	134
Net cash provided by financing activities	5,892			17
Net change in cash	6,098			—
Effect of exchange rate changes on cash	(1		)	—
Cash, beginning of period	262			—
Cash, end of period	$	6,359		$	—
Supplemental Disclosures
Cash paid for interest	$	12		$	—
Non-Cash Financing Activities
Common stock issued through distribution reinvestment plan	$	3		$	—

The accompanying notes are an integral part of these statements.

5

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

Note 1 — Organization

American Realty Capital Global Trust, Inc. (the "Company"), incorporated on July 13, 2011, is a Maryland corporation that intends to qualify as a real estate investment trust ("REIT") for U.S. federal income tax purposes beginning with the taxable year ending December 31, 2013. On April 20, 2012, the Company commenced its initial public offering ("IPO") on a "reasonable best efforts" basis of up to 150.0 million shares of common stock, $0.01 par value per share, at a price of $10.00 per share, subject to certain volume and other discounts, pursuant to a registration statement on Form S-11 (File No. 333-177563) (the "Registration Statement) filed with the Securities and Exchange Commission ("SEC") under the Securities Act of 1933, as amended. The Registration Statement also covers up to 25.0 million shares of common stock pursuant to a distribution reinvestment plan (the "DRIP") under which the Company's common stockholders may elect to have their distributions reinvested in additional shares of the Company's common stock.

On October 24, 2012, the Company received and accepted subscriptions in excess of the minimum offering amount of $2.0 million in shares, broke escrow and issued shares of common stock to initial investors who were admitted as stockholders. As of March 31, 2013, the Company had 1.0 million shares of stock outstanding, including unvested restricted shares and shares issued under the DRIP and had received total gross proceeds from the IPO of $9.9 million. As of March 31, 2013, the aggregate value of all the common stock outstanding was $10.2 million based on a per share value of $10.00 (or $9.50 for shares issued under the DRIP). Until the first quarter following the Company's acquisition of at least $1.2 billion in total investment portfolio assets, the per share purchase price in the IPO will be up to $10.00 per share (including the maximum allowed to be charged for commissions and fees) and shares issued under the DRIP will initially be equal to $9.50 per share, which is 95% of the initial offering price in the IPO. Thereafter, the per share purchase price will vary quarterly and will be equal to the Company's net asset value ("NAV") divided by the number of shares outstanding as of the end of business on the first day of each fiscal quarter after giving effect to any share purchases or repurchases effected in the prior quarter plus applicable commissions and fees, and the per share purchase price in the DRIP will be equal to the NAV per share.

The Company was formed to primarily acquire a diversified portfolio of commercial properties, with an emphasis on sale-leaseback transactions involving single tenant net-leased commercial properties. The Company's primary geographic target will be the United States, although up to 40% of its portfolio may consist of properties purchased in Europe and up to an additional 10% may consist of properties purchased elsewhere internationally. All such properties may be acquired and operated by the Company alone or jointly with another party. The Company may also originate or acquire first mortgage loans secured by real estate. As of March 31, 2013, the Company owned one property consisting of 9,094 rentable square feet, which was 100.0% leased, with a remaining lease term of 11.0 years.

Substantially all of the Company's business is conducted through American Realty Capital Global Operating Partnership, L.P. (the "OP"), a Delaware limited partnership. The Company is the sole general partner and holds substantially all of the units of limited partner interests in the OP ("OP units"). American Realty Capital Global Special Limited Partner, LLC (the "Special Limited Partner"), an entity wholly owned by AR Capital Global Holdings, LLC (the "Sponsor") contributed $200 to the OP in exchange for 22 OP units, which represents a nominal percentage of the aggregate OP ownership. The limited partner interests have the right to convert OP units for the cash value of a corresponding number of shares of common stock or, at the option of the OP, a corresponding number of shares of common stock, as allowed by the limited partnership agreement of the OP. The remaining rights of the limited partner interests are limited, however, and do not include the ability to replace the general partner or to approve the sale, purchase or refinancing of the OP's assets.

The Company has no employees. American Realty Capital Global Advisors, LLC (the "Advisor") has been retained to manage the Company's affairs on a day-to-day basis. The properties are managed and leased by American Realty Capital Global Properties, LLC (the "Property Manager"). Realty Capital Securities, LLC (the "Dealer Manager") serves as the dealer manager of the IPO. The Advisor, Property Manager and Dealer Manager are affiliates of the Sponsor and Special Limited Partner. These related parties have received or will compensation and fees for services related to the IPO and for the investment and management of the Company's assets. These entities receive fees during the offering, acquisition, operational and liquidation stages. The Advisor and Property Manager have entered into a service provider agreement with Moor Park Capital Partners LLP (the "Service Provider"), an affiliate of a principal shareholder. Pursuant to the service provider agreements, the Service Provider has agreed to provide, subject to the Advisor's and Property Manager's oversight, certain real estate related services, as well as sourcing and structuring of investment opportunities, performance of due diligence, and arranging debt financing and equity investment syndicates, solely with respect to properties in Europe. Pursuant to the service provider agreement, 50.0% of the fees payable by the Company to the Advisor and Property Manager will be assigned to the Service Provider, solely with respect to the Company's foreign investment strategy in Europe. Such fees will be deducted from fees paid to the Advisor.

6

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

Note 2 — Summary of Significant Accounting Policies

The accompanying consolidated financial statements of the Company included herein were prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and with the instructions to this Quarterly Report on Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The information furnished includes all adjustments and accruals of a normal recurring nature, which, in the opinion of management, are necessary for a fair presentation of results for the interim periods. All intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the three months ended March 31, 2013 are not necessarily indicative of the results for the entire year or any subsequent interim period.

These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto as of December 31, 2012, and for the year ended December 31, 2012, which are included in the Company's Annual Report on Form 10-K filed with the SEC on March 11, 2013. There have been no significant changes to the Company's significant accounting policies during the three months ended March 31, 2013 other than the updates described below.

Recently Issued Accounting Pronouncements

In December 2011, the Financial Accounting Standards Board ("FASB") issued guidance regarding disclosures about offsetting assets and liabilities, which requires entities to disclose information about offsetting and related arrangements to enable users of its financial statements to understand the effect of those arrangements on its financial position. The guidance is effective for fiscal years and interim periods beginning on or after January 1, 2013 with retrospective application for all comparative periods presented. The adoption of this guidance, which is related to disclosure only, did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In July 2012, the FASB issued revised guidance intended to simplify how an entity tests indefinite-lived intangible assets for impairment. The amendments will allow an entity first to assess qualitative factors to determine whether it is necessary to perform a quantitative impairment test. An entity will no longer be required to calculate the fair value of an indefinite-lived intangible asset and perform the quantitative test unless the entity determines, based on a qualitative assessment, that it is more likely than not that its fair value is less than its carrying amount. The amendments are effective for annual and interim indefinite-lived intangible asset impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption is permitted. The adoption of this guidance did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In February 2013, the FASB issued guidance which requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. The guidance is effective for annual and interim periods beginning after December 15, 2012 with early adoption permitted. The adoption of this guidance, which is related to disclosure only, did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In February 2013, the FASB issued new accounting guidance clarifying the accounting and disclosure requirements for obligations resulting from joint and several liability arrangements for which the total amount under the arrangement is fixed at the reporting date. The new guidance is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. The Company does not expect the adoption of this guidance to have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In March 2013, the FASB issued new accounting guidance clarifying the accounting for the release of cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity.  The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. The Company does not expect the adoption of this guidance to have a material impact on the Company's consolidated financial position, results of operations or cash flows.

7

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

Note 3 — Real Estate Investments

The Company acquires and operates commercial properties. All such properties may be acquired and operated by the Company alone or jointly with another party. The Company owned one property as of March 31, 2013, located in Carlisle, United Kingdom. This property was acquired in October 2012 for a base purchase price of $2.6 million, based on the exchange rate at the time of purchase. There were no assets acquired during the three months ended March 31, 2013.

The following presents future minimum base rental cash payments due to the Company over the next five years and thereafter as of March 31, 2013. These amounts exclude contingent rent payments, as applicable, that may be collected from certain tenants based on provisions related to sales thresholds and increases in annual rent based on exceeding certain economic indexes among other items.

(In thousands)	Future Minimum Base Rent Payments
April 1, 2013 — December 31, 2013	$	160
2014	213
2015	213
2016	213
2017	213
Thereafter	1,325
	$	2,337

The following table lists the tenant whose annualized rental income on a straight-line basis represented all of the Company's annualized rental income on a straight-line basis as of March 31, 2013. The Company did not own any properties at March 31, 2012: 

	March 31,
Tenant	2013
McDonald's Property Company Limited	100.0%

The termination, delinquency or non-renewal of leases by the above tenant may have a material adverse effect on revenues.

Note 4 — Mortgage Note Payable

The Company's mortgage note payable as of March 31, 2013 and December 31, 2012 consists of the following:

	Encumbered Properties	Outstanding Loan Amount				Effective Interest Rate		Interest Rate
Portfolio		March 31, 2013		December 31, 2012					Maturity
		(In thousands)		(In thousands)
McDonald's	1	$	1,155	$	1,228	4.1%	(1)	Fixed	Oct. 2017

____________________

(1) Fixed as a result of entering into a swap agreement.

8

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

The following table summarizes the scheduled aggregate principal payments subsequent to March 31, 2013:

(In thousands)	Future Principal Payments
April 1, 2013 — December 31, 2013	$	—
2014	—
2015	—
2016	—
2017	1,155
Thereafter	—
	$	1,155

The Company's sources of debt financing generally include financial covenants as well as restrictions on corporate guarantees, the maintenance of certain financial ratios (such as specified debt to equity and debt service coverage ratios) as well as the maintenance of minimum net worth. As of March 31, 2013, the Company was in compliance with debt-related covenants under the loan agreement.

Note 5 — Fair Value of Financial Instruments

The Company determines fair value based on quoted prices when available or through the use of alternative approaches, such as discounting the expected cash flows using market interest rates commensurate with the credit quality and duration of the investment. This alternative approach also reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves and implied volatilities. The guidance defines three levels of inputs that may be used to measure fair value:

Level 1 — Quoted prices in active markets for identical assets and liabilities that the reporting entity has the ability to access at the measurement date.

Level 2 — Inputs other than quoted prices included within Level 1 that are observable for the asset and liability or can be corroborated with observable market data for substantially the entire contractual term of the asset or liability.

Level 3 — Unobservable inputs that reflect the entity's own assumptions about the assumptions that market participants would use in the pricing of the asset or liability and are consequently not based on market activity, but rather through particular valuation techniques.

The determination of where an asset or liability falls in the hierarchy requires significant judgment and considers factors specific to the asset or liability. In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company evaluates its hierarchy disclosures each quarter and depending on various factors, it is possible that an asset or liability may be classified differently from quarter to quarter. However, the Company expects that changes in classifications between levels will be rare.

Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with those derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by the Company and its counterparties. However, as of March 31, 2013, the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustments are not significant to the overall valuation of the Company's derivatives. As a result, the Company has determined that its derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy.

The valuation of derivative instruments is determined using a discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, as well as observable market-based inputs, including interest rate curves and implied volatilities. In addition, credit valuation adjustments, are incorporated into the fair values to account for the Company's potential nonperformance risk and the performance risk of the counterparties.

9

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

The following table presents information about the Company's assets and liabilities (including derivatives that are presented net) measured at fair value on a recurring basis as of March 31, 2013 and December 31, 2012, aggregated by the level in the fair value hierarchy within which those instruments fall.

(In thousands)	Quoted Prices in Active Markets Level 1		Significant Other Observable Inputs Level 2			Significant Unobservable Inputs Level 3		Total
March 31, 2013
Foreign currency swap	$	—	$	73		$	—	$	73
Interest rate swap	$	—	$	(22	)	$	—	$	(22	)
December 31, 2012
Foreign currency swap	$	—	$	(33	)	$	—	$	(33	)
Interest rate swap	$	—	$	(20	)	$	—	$	(20	)

A review of the fair value hierarchy classification is conducted on a quarterly basis. Changes in the type of inputs may result in a reclassification for certain assets. There were no transfers between Level 1 and Level 2 of the fair value hierarchy during the three months ended March 31, 2013.

The Company is required to disclose the fair value of financial instruments for which it is practicable to estimate that value. The fair value of short-term financial instruments such as cash and cash equivalents, due from affiliates, accounts payable and distributions payable approximates their carrying value on the consolidated balance sheets due to their short-term nature. The fair values of the Company's remaining financial instruments that are not reported at fair value on the consolidated balance sheets are reported below.

		Carrying Amount at		Fair Value at		Carrying Amount at		Fair Value at
(In thousands)	Level	March 31, 2013		March 31, 2013		December 31, 2012		December 31, 2012
Mortgage note payable	3	$	1,155	$	1,155	$	1,228	$	1,228

The fair value of the mortgage note is estimated using a discounted cash flow analysis, based on the Advisor's experience with similar types of borrowing arrangements.

Note 6 — Derivatives and Hedging Activities

Risk Management Objective of Using Derivatives

The Company may use derivative financial instruments, including interest rate swaps, caps, options, floors and other interest rate derivative contracts, to hedge all or a portion of the interest rate risk associated with its borrowings. The principal objective of such arrangements is to minimize the risks and/or costs associated with the Company's operating and financial structure as well as to hedge specific anticipated transactions. In addition, certain of the Company's foreign operations expose the Company to fluctuations of foreign interest rates and exchange rates. These fluctuations may impact the value of the Company's cash receipts and payments in terms of the Company's functional currency. The Company enters into derivative financial instruments to protect the value or fix the amount of certain obligations in terms of its functional currency, the U.S. dollar.

The Company does not intend to utilize derivatives for speculative or other purposes other than interest rate or foreign currency risk management. The use of derivative financial instruments carries certain risks, including the risk that the counterparties to these contractual arrangements are not able to perform under the agreements. To mitigate this risk, the Company only enters into derivative financial instruments with counterparties with high credit ratings and with major financial institutions with which the Company and its affiliates may also have other financial relationships. The Company does not anticipate that any of the counterparties will fail to meet their obligations.

10

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

Cash Flow Hedges of Interest Rate Risk

The Company's objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company may use interest rate swaps and collars as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Interest rate collars designated as cash flow hedges involve the receipt of variable-rate amounts if interest rates rise above the cap strike rate on the contract and payments of variable-rate amounts if interest rates fall below the floor strike rate on the contract.

The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in accumulated other comprehensive income and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. Such derivatives have been used to hedge the variable cash flows with forecasted variable rate debt. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. During the three months ended March 31, 2013 and 2012, the Company recorded no hedge ineffectiveness in earnings.

Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company's variable-rate debt. During the next 12 months, the Company estimates that an additional $8,000 will be reclassified from other comprehensive income as an increase to interest expense.

As of March 31, 2013 and December 31, 2012, the Company had the following outstanding interest rate derivative that was designated as a cash flow hedge of interest rate risk:

	March 31, 2013			December 31, 2012
Derivative	Number of Instruments	Notional Amount		Number of Instruments	Notional Amount
		(In thousands)			(In thousands)
Interest rate swap	1	$	1,155	1	$	1,228

Net Investment Hedges

The Company is exposed to fluctuations in foreign exchange rates on property investments it holds in foreign countries which pay rental income, property related expenses and hold debt instruments in foreign currencies. The Company uses foreign currency derivatives including cross currency swaps to hedge its exposure to changes in foreign exchange rates on certain of its foreign investments. Cross currency swaps involve fixing the applicable currency exchange rate for delivery of a specified amount of foreign currency on specified dates.

For derivatives designated as net investment hedges, the effective portion of changes in the fair value of the derivatives are reported in accumulated other comprehensive income (outside of earnings) as part of the cumulative translation adjustment. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. Amounts are reclassified out of accumulated other comprehensive income into earnings when the hedged net investment is either sold or substantially liquidated.

As of March 31, 2013 and December 31, 2012 the Company had the following outstanding foreign currency derivatives that were used to hedge its net investments in foreign operations:

	March 31, 2013			December 31, 2012
Derivative	Number of Instruments	Notional Amount		Number of Instruments	Notional Amount
		(In thousands)			(In thousands)
Foreign currency swap (1)	1	$	1,277	1	$	1,357

____________________________________

(1) Payments and obligations pursuant to this foreign currency swap agreement are guaranteed by AR Capital, LLC, the entity that wholly owns the Sponsor.

11

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

The table below presents the fair value of the Company's derivative financial instruments as well as their classification on the balance sheets:

(In thousands)	Balance Sheet Location	March 31, 2013			December 31, 2012
Derivatives designated as hedging instruments:
Foreign currency swap	Derivatives asset, at fair value	$	73		$	—
Interest rate swap	Derivatives liability, at fair value	$	(22	)	$	(20	)
Foreign currency swap	Derivatives liability, at fair value	$	—		$	(33	)

The table below details the location in the financial statements of the gain or loss recognized on interest rate derivatives designated as cash flow hedges for the three months ended March 31, 2013. The Company did not have any interest rate derivatives designated as cash flow hedges for the three months ended March 31, 2012.

	Three Months Ended
(In thousands)	March 31, 2013
Amount of gain recognized in accumulated other comprehensive loss from derivatives (effective portion)	$	106
Amount of loss reclassified from accumulated other comprehensive income into income as interest expense (effective portion)	$	(2	)
Amount of gain (loss) recognized in income on derivative instruments (ineffective portion and amount excluded from effectiveness testing)	$	—

Offsetting Derivatives Disclosure

The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company's derivatives as of March 31, 2013 and December 31, 2012. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the accompanying consolidated balance sheets.

(In thousands)	Derivative Assets				Derivative Liabilities
Derivatives	March 31, 2013		December 31, 2012		March 31, 2013			December 31, 2012
Interest rate swap	$	—	$	—	$	(22	)	$	(20	)
Foreign currency swap	73		—		—			(33		)
Total derivatives, fair value	$	73	$	—	$	(22	)	$	(53	)

Credit-risk-related Contingent Features

The Company has agreements with each of its derivative counterparties that contains a provision whereby if the Company either defaults or is capable of being declared in default on any of its indebtedness, then the Company could also be declared in default on its derivative obligation.

As of March 31, 2013, the fair value of derivatives in a liability position, including accrued interest, excluding any adjustment for non performance risk related to the agreement was approximately $24,000. As of March 31, 2013, the Company has not posted any collateral related to these agreements and was not in breach of any agreement provisions. If the Company had breached any of these provisions, it could have been required to settle its obligations under the agreement at its aggregate termination value of approximately $24,000 at March 31, 2013.

12

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

Note 7 — Common Stock

The Company had 1.0 million and 0.3 million shares of common stock outstanding, including unvested restricted shares and had received total proceeds of $9.9 million and $2.2 million as of March 31, 2013 and December 31, 2012, respectively.

On October 5, 2012, the Company's board of directors authorized and the Company declared, a distribution, which will be calculated based on stockholders of record each day during the applicable period at a rate of $0.0019452055 per day based on $10.00 price per share of common stock. The distributions began to accrue on November 28, 2012, 30 days following the Company's initial property acquisition. The distributions are payable by the 5th day following each month end to stockholders of record at the close of business each day during the prior month. Distributions payments are dependent on the availability of funds. The board of directors may reduce the amount of distributions paid or suspend distribution payments at any time and therefore distributions payments are not assured.

The Company has a Share Repurchase Program that enables stockholders to sell their shares to the Company. As of March 31, 2013, no shares of common stock have been repurchased or requested to be repurchased. The Company funds repurchases from proceeds from the sale of common stock.

Note 8 — Commitments and Contingencies

Litigation

In the ordinary course of business, the Company may become subject to litigation or claims. There are no material legal proceedings pending or known to be contemplated against the Company.

Environmental Matters

In connection with the ownership and operation of real estate, the Company may potentially be liable for costs and damages related to environmental matters. As of March 31, 2013 the Company has not been notified by any governmental authority of any non-compliance, liability or other claim, and is not aware of any other environmental condition that it believes will have a material adverse effect on the results of operations.

Note 9 —Related Party Transactions

As of March 31, 2013 and December 31, 2012, the Sponsor, the Special Limited Partner and a subsidiary of the Service Provider owned 244,444 shares of the Company's outstanding common stock. The Advisor and its affiliates may incur costs and fees on behalf of the Company. All offering costs incurred by the Company or its affiliated entities on behalf of the Company are reflected in the accompanying balance sheets. As of March 31, 2013 and December 31, 2012, the Company had $0.8 million and $1.0 million, respectively, payable to affiliated entities, primarily related to funding the payment of third party professional fees and offering costs, net of expenses absorbed by the Advisor.

Fees Paid in Connection with the IPO

The Dealer Manager receives fees and compensation in connection with the sale of the Company's common stock. The Dealer Manager receives selling commissions of up to 7.0% of the per share purchase price of offering proceeds before reallowance of commissions earned by participating broker-dealers. In addition, the Dealer Manager receives 3.0% of the per share purchase price from the sale of our shares, before reallowance to participating broker-dealers, as a dealer-manager fee. The Dealer Manager may re-allow its dealer-manager fee to participating broker-dealers. A participating broker dealer may elect to receive a fee equal to 7.5% of the gross proceeds from the sale of shares (not including selling commissions and dealer-manager fees) by such participating broker dealers, with 2.5% thereof paid at the time of the sale and 1.0% paid on each anniversary date of the closing of the sale to the fifth anniversary date of the closing of the sale. If this option is elected, the Dealer Manager's fee will be reduced to 2.5% (not including selling commissions and dealer manager fees). The following table details total selling commissions and dealer manager fees incurred from and payable to the Dealer Manager related to the sale of common stock as of and for the periods presented:

					Payable as of
	Three Months Ended March 31,				March 31,		December 31,
(In thousands)	2013		2012		2013		2012
Total commissions and fees from Dealer Manager	$	763	$	—	$	20	$	—

13

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

The Advisor and its affiliates receive compensation and reimbursement for services relating to the IPO. Effective March 1, 2013, the Company began utilizing transfer agent services provided by an affiliate of the Dealer Manager. The following table details fees and offering cost reimbursements incurred from and payable to the Advisor and Dealer Manager related to the sale of common stock as of and for the periods presented:

					Payable as of
	Three Months Ended March 31,				March 31,		December 31,
(In thousands)	2013		2012		2013		2012
Fees and expense reimbursements from the Advisor and Dealer Manager	$	229	$	—	$	1,148	$	930

The Company is responsible for offering and related costs from the IPO, excluding commissions and dealer manager fees, up to a maximum of 1.5% of gross proceeds received from its ongoing offering of common stock, measured at the end of the offering. Offering costs in excess of the 1.5% cap as of the end of the offering are the Advisor's responsibility. As of March 31, 2013, offering and related costs, excluding commissions and dealer manager fees, exceeded 1.5% of gross proceeds received from the IPO by $2.9 million.

After the escrow break, the Advisor has elected to cap cumulative offering costs incurred by the Company, net of unpaid amounts, to 15% of gross common stock proceeds during the offering period. As of March 31, 2013, cumulative offering costs were $3.8 million. Cumulative offering costs net of unpaid amounts, were less than the 15% threshold as of March 31, 2013.

Fees Paid in Connection With the Operations of the Company

The Advisor receives an acquisition fee of 1.0% of the contract purchase price of each acquired property and 1.0% of the amount advanced for a loan or other investment. Solely with respect to investment activities in Europe, the Service Provider is paid 50% of the acquisition fees and the Advisor receives the remaining 50%, as set forth in the service provider agreement. Such fees are deducted from fees payable to the Advisor, pursuant to the service provider agreement. The Advisor is also reimbursed for acquisition costs incurred in the process of acquiring properties, which is expected to be 0.6% of the contract purchase price. In no event will the total of all acquisition fees and acquisition expenses payable with respect to a particular investment exceed 4.5% of the contract purchase price or 4.5% of the amount advanced for a loan or other investment. Once the proceeds from the IPO have been fully invested, the aggregate amount of acquisition fees will not exceed 1.5% of the contract purchase price for all of the assets acquired.

If the Company's Advisor provides services in connection with the origination or refinancing of any debt that the Company obtains and uses to acquire properties or to make other permitted investments, or that is assumed, directly or indirectly, in connection with the acquisition of properties, the Company pays the Advisor a financing coordination fee equal to 0.75% of the amount available and/or outstanding under such financing, subject to certain limitations. Solely with respect to our investment activities in Europe, the Service Provider is paid 50% of the financing coordination fees and the Advisor receives the remaining 50%, as set forth in the service provider agreement.  Such fees will be deducted from fees payable to the Advisor, pursuant to the service provider agreement.

The Company pays the Advisor a monthly fee equal to one-twelfth of 0.75% of the cost of investment portfolio assets (costs include the purchase price, acquisition expenses, capital expenditures and other customarily capitalized costs, but will exclude acquisition fees). All or a portion of the asset management fee may be waived or deferred at the sole discretion of our board of directors (a) to the extent that FFO, as adjusted, during the 6 months ending on the last day of the calendar quarter immediately preceding the date that such asset management fee is payable, is less than the distributions declared with respect to such six month period or (b) for any other reason.

14

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

Subject to the entry by the Company, the Service Provider, the Advisor and the OP into definitive agreements, effective January 1, 2013, the following will be eliminated: (i) the reduction of the asset management fee to the extent, if any, that the Company's funds from operations, as adjusted, during the six months ending on the last calendar quarter immediately preceding the date the asset management fee was payable was less than the distributions declared with respect to such six month period and (ii) the payment of asset management fees in cash, shares or restricted stock grants, or any combination thereof to the Advisor. Instead, the Company expects to issue (subject to periodic approval by the board of directors) to the Advisor performance-based restricted partnership units of the OP designated as "Class B units," which are intended to be profits interests and will vest, and no longer be subject to forfeiture, at such time as: (x) the value of the OP's assets plus all distributions made equals or exceeds the total amount of capital contributed by investors plus a 6.0% cumulative, pre-tax, non-compounded annual return thereon (the "economic hurdle"); (y) any one of the following occurs: (1) the termination of the advisory agreement by an affirmative vote of a majority of the Company's independent directors without cause; (2) a listing; or (3) another liquidity event; and (z) the Advisor is still providing advisory services to the Company (the "performance condition"). Such Class B units will be forfeited immediately if: (a) the advisory agreement is terminated other than by an affirmative vote of a majority of the Company's independent directors without cause; or (b) the advisory agreement is terminated by an affirmative vote of a majority of the Company's independent directors without cause before the economic hurdle has been met.

The calculation of the asset management fees will be based on: (i) the excess of (A) the product of (y) the cost of assets multiplied by (z) 0.1875% over (B) any amounts payable as an oversight fee (as described below) for such calendar quarter; divided by (ii) the value of one share of common stock as of the last day of such calendar quarter. When and if approved by the board of directors, the Class B units are expected to be issued to the Advisor quarterly in arrears pursuant to the terms of the limited partnership agreement of the OP. As of March 31, 2013, the Company does not consider achievement of the performance condition to be probable. The value of issued Class B units will be determined and expensed, when the Company deems the achievement of the performance condition to be probable. The Advisor will receive distributions on unvested Class B units equal to the distribution rate received on the Company's common stock. Such distributions on issued Class B units will be expensed in the consolidated statement of operations until the performance condition is considered probable to occur. No Class B units have been approved by the board of directors or issued as of March 31, 2013.

If the Property Manager or an affiliate provides property management and leasing services for properties owned by the Company, the Company pays fees equal to: (i) with respect to stand-alone, single-tenant net leased properties which are not part of a shopping center, 2.0% of gross revenues from the properties managed and (ii) with respect to all other types of properties, 4.0% of gross revenues from the properties managed.

For services related to overseeing property management and leasing services provided by any person or entity that is not an affiliate of the Property Manager, the Company pays the Property Manager an oversight fee equal to 1.0% of gross revenues of the property managed.

Solely with respect to our investment activities in Europe, the Service Provider or other entity providing property management services with respect to such investments is paid: (i) with respect to single-tenant net leased properties which are not part of a shopping center, 1.75% of the gross revenues from such properties and (ii) with respect to all other types of properties, 3.5% of the gross revenues from such properties. The Property Manager receives 0.25% of the gross revenues from European single-tenant net leased properties which are not part of a shopping center and 0.5% of the gross revenues from all other types of properties, reflecting a 50% split of the oversight fee with the Service Provider or an affiliated entity providing European property management services. Such fees are deducted from fees payable to the Advisor, pursuant to the service provider agreement.

Effective March 1, 2013, the Company entered into an agreement with the Dealer Manager to provide strategic advisory services and investment banking services required in the ordinary course of the Company's business, such as performing financial analysis, evaluating publicly traded comparable companies and assisting in developing a portfolio composition strategy, a capitalization structure to optimize future liquidity options and structuring operations.

15

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

The following table reflects related party fees incurred, forgiven and contractually due as of and for the periods presented:

	Three Months Ended				Three Months Ended				Payable as of
	March 31, 2013				March 31, 2012				March 31,		December 31,
(In thousands)	Incurred		Forgiven		Incurred		Forgiven		2013		2012
Ongoing fees:
Property management and leasing fees	$	—	$	1	$	—	$	—	$	—	$	1
Strategic advisory fees	36		—		—		—		36		—
Total related party operational fees and reimbursements	$	36	$	1	$	—	$	—	$	36	$	1

The Company reimburses the Advisor's costs of providing administrative services, subject to the limitation that the Company will not reimburse the Advisor for any amount by which the Company's operating expenses (including the asset management fee) at the end of the four preceding fiscal quarters exceeds the greater of (a) 2.0% of average invested assets and (b) 25.0% of net income other than any additions to reserves for depreciation, bad debt or other similar non-cash reserves and excluding any gain from the sale of assets for that period. Additionally, the Company reimburses the Advisor for personnel costs in connection with other services during the operational stage, in addition to paying an asset management fee; however, the Company does not reimburse the Advisor for personnel costs in connection with services for which the Advisor receives acquisition fees or real estate commissions. No reimbursement was incurred from the Advisor for providing services during the three months ended March 31, 2013 and 2012.

The Company pays the Advisor an annual subordinated performance fee calculated on the basis of the Company's total return to stockholders, payable annually in arrears, such that for any year in which the Company's total return on stockholders' capital exceeds 6.0% per annum, the Advisor is entitled to 15.0% of the excess total return but not to exceed 10.0% of the aggregate total return for such year (which will take into account distributions and realized appreciation). This fee is payable only upon the sale of assets, distributions or other events which results in our return on stockholders' capital exceeding 6.0% per annum. Solely with respect to our investment activities in Europe, the Service Provider will be paid 50.0% of the annual subordinated performance fee payable in respect of such investments, and the Advisor or its affiliates will receive the remaining 50%, as set forth in the service provider agreement. No such amounts have been incurred during the three months ended March 31, 2013 and 2012.

In order to improve operating cash flows and the ability to pay distributions from operating cash flows, the Advisor may waive certain fees including asset management and property management fees. Because the Advisor may waive certain fees, cash flow from operations that would have been paid to the Advisor may be available to pay distributions to stockholders. The fees that may be forgiven are not deferrals and accordingly, will not be paid to the Advisor in cash. In certain instances, to improve the Company's working capital, the Advisor may elect to absorb a portion of the Company's general and administrative costs or property operating expenses. These absorbed costs are presented net in the accompanying consolidated statements of operations and comprehensive loss. The following table details property operating and general and administrative expenses absorbed by the Advisor during the three months ended March 31, 2013 and 2012:

	Three Months Ended March 31,
(In thousands)	2013		2012
Property operating expenses absorbed	$	4	$	—
General and administrative expenses absorbed	153		—
Total expenses absorbed (1)	$	157	$	—

______________________

(1) The Company had a receivable from the Advisor related to absorbed costs of $0.2 million and $0.1 million as of March 31, 2013 and December 31, 2012, respectively.

16

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

Fees Paid in Connection with the Liquidation or Listing of the Company's Real Estate Assets

The Company pays a brokerage commission on the sale of property, not to exceed the lesser of 2.0% of the contract sale price of the property and 50% of the total brokerage commission paid if a third party broker is also involved; provided, however, that in no event may the real estate commissions paid to the Advisor, its affiliates and unaffiliated third parties exceed the lesser of 6.0% of the contract sales price and a reasonable, customary and competitive real estate commission, in each case, payable to the Advisor if the Advisor or its affiliates, as determined by a majority of the independent directors, provided a substantial amount of services in connection with the sale. No such amounts have been incurred during the three months ended March 31, 2013 and 2012.

If the Company is not simultaneously listed on an exchange, the Company will pay a subordinated participation in the net sales proceeds of the sale of real estate assets of 15.0% of remaining net sale proceeds after return of capital contributions to investors plus payment to investors of an annual 6.0% cumulative, pre-tax non-compounded return on the capital contributed by investors. The Company cannot assure that it will provide this 6.0% return but the Advisor will not be entitled to the subordinated participation in net sale proceeds unless the Company's investors have received a 6.0% cumulative non-compounded return on their capital contributions. No such amounts have been incurred during the three months ended March 31, 2013 and 2012.

The Company will pay a subordinated incentive listing distribution of 15.0%, payable in the form of a promissory note, of the amount by which the market value of all issued and outstanding shares of the Company's common stock plus distributions exceeds the aggregate capital contributed by investors plus an amount equal to a 6.0% cumulative, pre-tax non-compounded annual return to investors. The Company cannot assure that it will provide this 6.0% return but the Advisor will not be entitled to the subordinated incentive listing fee unless investors have received a 6.0% cumulative, pre-tax non-compounded return on their capital contributions. No such fees have been incurred during the three months ended March 31, 2013 and 2012. Neither the Advisor nor any of its affiliates can earn both the subordination participation in the net proceeds and the subordinated listing distribution.

Solely with respect to the Company's properties in Europe, the Service Provider has the right to be paid up to 50% of subordinated participation in the net sales proceeds of the sale of real estate assets and 50% of subordinated incentive listing distribution relating to such properties. No such fees have been incurred during the three months ended March 31, 2013 and 2012.

Upon termination or non-renewal of the advisory agreement, the Advisor will receive distributions from the OP payable in the form of a promissory note. In addition, the Advisor may elect to defer its right to receive a subordinated distribution upon termination until either a listing on a national securities exchange or other liquidity event occurs.

Note 10 — Economic Dependency

Under various agreements, the Company has engaged or will engage the Advisor and its affiliates to provide certain services that are essential to the Company, including asset management services, supervision of the management and leasing of properties owned by the Company, asset acquisition and disposition decisions, the sale of shares of the Company's common stock available for issue, as well as other administrative responsibilities for the Company including accounting services and investor relations.

As a result of these relationships, the Company is dependent upon the Advisor and its affiliates. In the event that these companies are unable to provide the Company with the respective services, the Company will be required to find alternative providers of these services.

Note 11 — Share-Based Compensation

Stock Option Plan

 The Company has a stock option plan (the "Plan") which authorizes the grant of nonqualified stock options to the Company's independent directors, officers, advisors, consultants and other personnel, subject to the absolute discretion of the board of directors and the applicable limitations of the Plan. The exercise price for all stock options granted under the Plan during the IPO will be $9.00, until the later of the end of the escrow period or the Company's first property acquisition, and thereafter through the termination of the IPO, based on NAV, and thereafter the exercise price for stock options granted to the independent directors will be equal to the fair market value of a share on the last business day preceding the annual meeting of stockholders. A total of 0.5 million shares have been authorized and reserved for issuance under the Plan. As of March 31, 2013 and December 31, 2012, no stock options were issued under the Plan.

17

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

Restricted Share Plan

The Company has an employee and director incentive restricted share plan (the "RSP"), which provides for the automatic grant of 3,000 restricted shares of common stock to each of the independent directors, without any further action by the Company's board of directors or the stockholders, on the date of initial election to the board of directors and on the date of each annual stockholder's meeting. Restricted stock issued to independent directors will vest over a five-year period following the first anniversary of the date of grant in increments of 20% per annum. The RSP provides the Company with the ability to grant awards of restricted shares to the Company's directors, officers and employees (if the Company ever has employees), employees of the Advisor and its affiliates, employees of entities that provide services to the Company, directors of the Advisor or of entities that provide services to the Company, certain consultants to the Company and the Advisor and its affiliates or to entities that provide services to the Company. The fair market value of any shares of restricted stock granted under our restricted share plan, together with the total amount of acquisition fees, acquisition expense reimbursements, asset management fees, financing coordination fees, disposition fees and subordinated distributions by the operating partnership payable to the Advisor (or its assignees), shall not exceed (a) 6% of all properties' aggregate gross contract purchase price, (b) as determined annually, the greater, in the aggregate, of 2% of average invested assets and 25% of net income other than any additions to reserves for depreciation, bad debt or other similar non-cash reserves and excluding any gain from the sale of assets for that period, (c) disposition fees, if any, of up to 3% of the contract sales price of all properties that we sell and (d) 15% of remaining net sales proceeds after return of capital contributions plus payment to investors of a 6% cumulative, pre-tax, non-compounded return on the capital contributed by investors. Additionally, the total number of shares of common stock granted under the RSP shall not exceed 5.0% of the Company's authorized shares of common stock pursuant to the IPO and in any event will not exceed 7.5 million shares (as such number may be adjusted for stock splits, stock dividends, combinations and similar events).

Restricted share awards entitle the recipient to receive shares of common stock from the Company under terms that provide for vesting over a specified period of time or upon attainment of pre-established performance objectives. Such awards would typically be forfeited with respect to the unvested shares upon the termination of the recipient's employment or other relationship with the Company. Restricted shares may not, in general, be sold or otherwise transferred until restrictions are removed and the shares have vested. Holders of restricted shares may receive cash distributions prior to the time that the restrictions on the restricted shares have lapsed. Any distributions payable in shares of common stock shall be subject to the same restrictions as the underlying restricted shares. As of March 31, 2013 and December 31, 2012, there were 9,000 restricted unvested shares issued to independent directors under the RSP at $9.00 per share. The value of the shares is being expensed over the vesting period of five years. Compensation expense related to restricted stock was approximately $4,000 during the three months ended March 31, 2013. There was no compensation expense related to restricted stock during the three months ended March 31, 2012.

Other Share-Based Compensation

The Company may issue common stock in lieu of cash to pay fees earned by the Company's directors. There are no restrictions on the shares issued since these payments in lieu of cash relate to fees earned for services performed. There were no such shares of common stock issued in lieu of cash during the three months ended March 31, 2013 or 2012.

Note 12 — Net Loss Per Share

The following is a summary of the basic and diluted net loss per share computation for the three months ended March 31, 2013 and 2012:

	Three Months Ended March 31,
	2013			2012
Net loss (in thousands)	$	(2	)	$	(1	)
Weighted average shares of common stock outstanding	439,097			22,222
Net loss per share, basic and diluted	$	—		NM

__________________________

NM - not meaningful

As of March 31, 2013, the Company had 9,000 shares of unvested restricted stock and as of March 31, 2013 and 2012 the Company had 22 OP units outstanding, which were excluded from the calculation of diluted loss per share attributable to stockholders as the effect would have been antidilutive.

18

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31. 2013

(Unaudited)

Note 13 — Subsequent Events

The Company has evaluated subsequent events through the filing of this Quarterly Report on Form 10-Q, and determined that there have not been any events that have occurred that would require adjustments to disclosures in the consolidated financial statements except for the following transactions:

Sales of Common Stock

As of April 30, 2013, the Company had 1.9 million shares of common stock outstanding, including unvested restricted shares. Total gross proceeds, net of repurchases, from these issuances were $18.7 million. including shares issued under the DRIP. As of April 30, 2013, the aggregate value of all share issuances was $19.1 million based on a per share value of $10.00 (or $9.50 per share for shares issued under the DRIP).

Total capital raised to date, including shares issued under the DRIP, is as follows:

Source of Capital (in thousands)	Inception to March 31, 2013		April 1, 2013 to April 30, 2013		Total
Common stock	$	9,869	$	8,838	$	18,707

Acquisitions and Financings

On May 3, 2013, the Company acquired a fee simple interest in a retail warehouse located in Blackpool, United Kingdom for a contract purchase price of $6.1 million. The property contains 29,679 rentable square feet and is 100% leased to Wickes Building Supplies Limited with an original lease term of 25 years and 11.4 years remaining at the date of acquisition. The lease is net whereby the tenant is required to pay substantially all operating expenses, including all costs to maintain and repair the roof and structure of the building, in addition to base rent.  The annualized straight line rental income is $0.5 million. Rent is adjusted to market every 5 years.

The Company partially funded the acquisition with a $3.0 million secured mortgage note payable, which bears interest at 3.675%, fixed by an interest rate swap. The mortgage note payable provides for quarterly interest payments with all principal outstanding being due on the maturity date in May 2018.

19

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.

The following discussion and analysis should be read in conjunction with the accompanying financial statements of American Realty Capital Global Trust, Inc. and the notes thereto. As used herein, the terms "Company," "we," "our" and "us" refer to American Realty Capital Global Trust, Inc., a Maryland corporation, including, as required by context, to American Realty Capital Global Operating Partnership, L.P., a Delaware limited partnership, which we refer to as the "OP," and to its subsidiaries. The Company is externally managed by American Realty Capital Global Advisors, LLC (our "Advisor"), a Delaware limited liability company.

Forward-Looking Statements

Certain statements included in this Quarterly Report on Form 10-Q are forward-looking statements. Those statements include statements regarding the intent, belief or current expectations of the Company and members of our management team, as well as the assumptions on which such statements are based, and generally are identified by the use of words such as "may," "will," "seeks," "anticipates," "believes," "estimates," "expects," "plans," "intends," "should" or similar expressions. Actual results may differ materially from those contemplated by such forward-looking statements. Further, forward-looking statements speak only as of the date they are made, and we undertake no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time, unless required by law.

The following are some of the risks and uncertainties, although not all risks and uncertainties, that could cause our actual results to differ materially from those presented in our forward-looking statements:

• We have a limited operating history and the Advisor has limited experience operating a public company. This inexperience makes our future performance difficult to predict.

• All of our executive officers are also officers, managers and/or holders of a direct or indirect controlling interest in our Advisor, our dealer manager, Realty Capital Securities, LLC (the "Dealer Manager") and other American Realty Capital affiliated entities. As a result, our executive officers, our Advisor and its affiliates face conflicts of interest, including significant conflicts created by our Advisor's compensation arrangements with us and other investment programs advised by American Realty Capital affiliates and conflicts in allocating time among these investment programs and us. These conflicts could result in unanticipated actions.

• Because investment opportunities that are suitable for us may also be suitable for other American Realty Capital advised investment programs, our Advisor and its affiliates face conflicts of interest relating to the purchase of properties and other investments and such conflicts may not be resolved in our favor, meaning that we could invest in less attractive assets, which could reduce the investment return to our stockholders.

• After the quarter following our acquisition of at least $1.2 billion in total portfolio assets, the purchase price and repurchase price for our shares will be based on our net asset value ("NAV") rather than a public trading market. Our published NAV may not accurately reflect the value of our assets. No public market currently exists, or may ever exist, for shares of our common stock and our shares are, and may continue to be, illiquid.

• If we and our Advisor are unable to find suitable investments, then we may not be able to achieve our investment objectives or pay distributions.

• Our initial public offering of common stock (the "IPO"), which commenced on April 20, 2012, is a blind pool offering and you may not have the opportunity to evaluate our investments before you make your purchase of our common stock, thus making your investment more speculative.

• If we raise substantially less than the maximum offering in our IPO, we may not be able to invest in a diversified portfolio of real estate assets and the value of an investment in us may vary more widely with the performance of specific assets.

• We may be unable to pay or maintain cash distributions or increase distributions over time.

• We are obligated to pay substantial fees to our Advisor and its affiliates.

• We will depend on tenants for our revenue and, accordingly, our revenue is dependent upon the success and economic viability of our tenants.

• Increases in interest rates could increase the amount of our debt payments and limit our ability to pay distributions to our stockholders.

• Our organizational documents permit us to pay distributions from unlimited amounts of any source. Until substantially all the proceeds from our IPO are invested, we may use proceeds from our IPO and financings to fund distributions until we have sufficient cash flow. There are no established limits on the amounts of net proceeds and borrowings that we may use to fund such distribution payments.

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• Any of these distributions may reduce the amount of capital we ultimately invest in properties and other permitted investments and negatively impact the value of your investment.

• We may not generate cash flows sufficient to pay our distributions to stockholders, as such we may be forced to borrow at higher rates or depend on our Advisor to waive reimbursement of certain expenses and fees to fund our operations.

• We are subject to risks associated with the significant dislocations and liquidity disruptions that have recently occurred in the credit markets of the United States of America and Europe.

• We may fail to qualify, or continue to qualify, to be treated as a real estate investment trust ("REIT") for U.S. federal income tax purposes, which would result in higher taxes, may adversely affect operations and would reduce our NAV and cash available for distributions.

• We may be deemed to be an investment company under the Investment Company Act of 1940, as amended, and thus subject to regulation under the Investment Company Act of 1940, as amended.

• As of March 31, 2013, we only own one property.

Overview

We were incorporated on July 13, 2011, is a Maryland corporation that intends to qualify as a REIT for U.S. federal income tax purposes beginning with the taxable year ending December 31, 2013. On April 20, 2012, we commenced our IPO on a "reasonable best efforts" basis of up to 150.0 million shares of common stock, $0.01 par value per share, at a price of $10.00 per share, subject to certain volume and other discounts, pursuant to a registration statement on Form S-11 (File No. 333-177563) (the "Registration Statement) filed with the Securities and Exchange Commission ("SEC") under the Securities Act of 1933, as amended. The Registration Statement also covers up to 25.0 million shares of common stock pursuant to a distribution reinvestment plan (the "DRIP") under which the Company's common stockholders may elect to have their distributions reinvested in additional shares of our common stock.

On October 24, 2012, we received and accepted subscriptions in excess of the minimum offering amount of $2.0 million in shares, broke escrow and issued shares of common stock to initial investors who were admitted as stockholders. As of March 31, 2013, we had 1.0 million shares of stock outstanding, including unvested restricted shares and had received total gross proceeds from the IPO of $9.9 million. As of March 31, 2013, the aggregate value of all the common stock outstanding was $10.2 million based on a per share value of $10.00. Until the first quarter following our acquisition of at least $1.2 billion in total investment portfolio assets, the per share purchase price in the IPO will be up to $10.00 per share (including the maximum allowed to be charged for commissions and fees) and shares issued under the DRIP will be initially equal to $9.50 per share, which is 95% of the initial offering price in the IPO. Thereafter, the per share purchase price will vary quarterly and will be equal to the NAV divided by the number of shares outstanding as of the end of business on the first day of each fiscal quarter after giving effect to any share purchases or repurchases effected in the prior quarter plus applicable commissions and fees, and the per share purchase price of the DRIP will be equal to the NAV per share.

We were formed to primarily acquire a diversified portfolio of commercial properties, with an emphasis on sale-leaseback transactions involving single tenant net-leased commercial properties. Our primary geographic target will be the United States, although up to 40% of our portfolio may consist of properties purchased in Europe and up to an additional 10% may consist of properties purchased elsewhere internationally. All such properties may be acquired and operated by us alone or jointly with another party. We may also originate or acquire first mortgage loans secured by real estate. We purchased our first property and commenced active operations in October 2012. As of March 31, 2013, we owned one property consisting of 9,094 rentable square feet, which was 100% leased, with a remaining lease term of 11.0 years.

Substantially all of our business is conducted through the OP. We are the sole general partner and hold substantially all of the units of limited partner interests in the OP ("OP units"). American Realty Capital Global Special Limited Partner, LLC (the "Special Limited Partner"), an entity wholly owned by AR Capital Global Holdings, LLC (the "Sponsor"), contributed $200 to the OP in exchange for 22 OP units, which represents a nominal percentage of the aggregate OP ownership. The limited partner interests have the right to convert OP units for the cash value of a corresponding number of shares of common stock or, at the option of the OP, a corresponding number of shares of common stock, as allowed by the limited partnership agreement of the OP. The remaining rights of the limited partner interests are limited, however, and do not include the ability to replace the general partner or to approve the sale, purchase or refinancing of the OP's assets.

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We have no employees. The Advisor is our affiliated advisor, which has been retained to manage our affairs on a day-to-day basis. The properties are managed and leased by American Realty Capital Global Properties, LLC (the "Property Manager"). The Dealer Manager serves as the dealer manager of the IPO. The Advisor, Property Manager and Dealer Manager are affiliates of the Sponsor and Special Limited Partner. These related parties have received or will receive compensation and fees for services related to the IPO and for the investment and management of our assets. These entities receive fees during the offering, acquisition, operational and liquidation stages. The Advisor and Property Manager have entered into a service provider agreement with a third party, Moor Park Capital Partners LLP (the "Service Provider"), pursuant to which the Service Provider has agreed to provide, subject to the Advisor's and Property Manager's oversight, certain real estate related services, as well as sourcing and structuring of investment opportunities, performance of due diligence, and arranging debt financing and equity investment syndicates, solely with respect to our properties in Europe. Pursuant to the service provider agreement, 50% of the fees payable by us to the Advisor and Property Manager will be assigned to the Service Provider, solely with respect to our foreign investment strategy in Europe. Such fees will be deducted from fees paid to the Advisor.

Significant Accounting Estimates and Critical Accounting Policies

Set forth below is a summary of the significant accounting estimates and critical accounting policies that management believes are important to the preparation of our financial statements. Certain of our accounting estimates are particularly important for an understanding of our financial position and results of operations and require the application of significant judgment by our management. As a result, these estimates are subject to a degree of uncertainty. These significant accounting estimates and critical accounting policies include:

Offering and Related Costs

Offering and related costs include all expenses incurred in connection with our IPO. Offering costs (other than selling commissions and the dealer manager fees) include costs that may be paid by the Advisor, the Dealer Manager or their affiliates on our behalf. These costs include but are not limited to (i) legal, accounting, printing, mailing, and filing fees; (ii) escrow service related fees; (iii) reimbursement of the Dealer Manager for amounts it may pay to reimburse the bona fide diligence expenses of broker-dealers; and (iv) reimbursement to the Advisor for a portion of the costs of its employees and other costs in connection with preparing supplemental sales materials and related offering activities. We are obligated to reimburse the Advisor or its affiliates, as applicable, for organization and offering costs paid by them on our behalf, provided that the Advisor is obligated to reimburse us to the extent organization and offering costs (excluding selling commissions and the dealer manager fee) incurred by us in our offering exceed 1.5% of gross offering proceeds in the IPO. As a result, these costs are only our liability to the extent aggregate selling commissions, the dealer manager fee and other organization and offering costs do not exceed 11.5% of the gross proceeds determined at the end of the IPO.

Revenue Recognition

Our revenues, which are derived primarily from rental income, include rents that each tenant pays in accordance with the terms of each lease reported on a straight-line basis over the initial term of the lease. Since many of our leases provide for rental increases at specified intervals, straight-line basis accounting requires us to record a receivable, and include in revenues, unbilled rent receivables that we will only receive if the tenant makes all rent payments required through the expiration of the initial term of the lease. We defer the revenue related to lease payments received from tenants in advance of their due dates.

We continually review receivables related to rent and unbilled rent receivables and determine collectability by taking into consideration the tenant's payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates and economic conditions in the area in which the property is located. In the event that the collectability of a receivable is in doubt, we record an increase in our allowance for uncollectible accounts or record a direct write-off of the receivable in our consolidated statements of operations.

Investments in Real Estate

Investments in real estate are recorded at cost. Improvements and replacements are capitalized when they extend the useful life of the asset. Costs of repairs and maintenance are expensed as incurred. Depreciation is computed using the straight-line method over the estimated useful lives of up to 40 years for buildings, 15 years for land improvements, five years for fixtures and improvements and the shorter of the useful life or the remaining lease term for tenant improvements and leasehold interests.

We are required to make subjective assessments as to the useful lives of our properties for purposes of determining the amount of depreciation to record on an annual basis with respect to our investments in real estate. These assessments have a direct impact on our net income because if we were to shorten the expected useful lives of our investments in real estate, we would depreciate these investments over fewer years, resulting in more depreciation expense and lower net income on an annual basis. We are required to present the operations related to properties that have been sold or properties that are intended to be sold as discontinued operations in the statement of operations at fair value for all periods presented. Properties that are intended to be sold are to be designated as "held for sale" on the balance sheet.

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Long-lived assets are carried at cost and evaluated for impairment when events or changes in circumstances indicate such an evaluation is warranted or when they are designated as held for sale. Valuation of real estate is considered a "critical accounting estimate" because the evaluation of impairment and the determination of fair values involve a number of management assumptions relating to future economic events that could materially affect the determination of the ultimate value, and therefore, the carrying amounts of our real estate. Additionally, decisions regarding when a property should be classified as held for sale are also highly subjective and require significant management judgment.

Events or changes in circumstances that could cause an evaluation for impairment include the following:

• a significant decrease in the market price of a long-lived asset;

• a significant adverse change in the extent or manner in which a long-lived asset is being used or in its physical condition;

• a significant adverse change in legal factors or in the business climate that could affect the value of a long-lived asset, including an adverse action or assessment by a regulator;

• an accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of a long-lived asset; and

• a current-period operating or cash flow loss combined with a history of operating or cash flow losses or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset.

We review our portfolio on an ongoing basis to evaluate the existence of any of the aforementioned events or changes in circumstances that would require us to test for recoverability. In general, our review of recoverability is based on an estimate of the future undiscounted cash flows, excluding interest charges, expected to result from the property's use and eventual disposition. These estimates consider factors such as expected future operating income, market and other applicable trends and residual value expected, as well as the effects of leasing demand, competition and other factors. If impairment exists due to the inability to recover the carrying value of a property, an impairment loss is recorded to the extent that the carrying value exceeds the estimated fair value of the property. We are required to make subjective assessments as to whether there are impairments in the values of our investments in real estate. These assessments have a direct impact on our net income because recording an impairment loss results in an immediate negative adjustment to net income.

Purchase Price Allocation

We allocate the purchase price of acquired properties to tangible and identifiable intangible assets acquired based on their respective fair values. Tangible assets include land, land improvements, buildings, fixtures and tenant improvements on an as-if vacant basis. We utilize various estimates, processes and information to determine the as-if vacant property value. Estimates of value are made using customary methods, including data from appraisals, comparable sales, discounted cash flow analysis and other methods. Amounts allocated to land, land improvements, buildings and fixtures are based on cost segregation studies performed by independent third-parties or on our analysis of comparable properties in our portfolio. Identifiable intangible assets include amounts allocated to acquire leases for above- and below-market lease rates, the value of in-place leases, and the value of customer relationships, as applicable.

The aggregate value of intangible assets related to in-place leases is primarily the difference between the property valued with existing in-place leases adjusted to market rental rates and the property valued as if vacant. Factors considered by us in our analysis of the in-place lease intangibles include an estimate of carrying costs during the expected lease-up period for each property, taking into account current market conditions and costs to execute similar leases. In estimating carrying costs, we include real estate taxes, insurance and other operating expenses and estimates of lost rentals at market rates during the expected lease-up period, which typically ranges from six to 12 months. We also estimate costs to execute similar leases including leasing commissions, legal and other related expenses.

Above-market and below-market in-place lease values for owned properties are recorded based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between the contractual amounts to be paid pursuant to the in-place leases and management's estimate of fair market lease rates for the corresponding in-place leases, measured over a period equal to the remaining non-cancelable term of the lease. The capitalized above-market lease intangibles are amortized as a decrease to rental income over the remaining term of the lease.  The capitalized below-market lease values are amortized as an increase to rental income over the remaining term and any fixed rate renewal periods provided within the respective leases. In determining the amortization period for below-market lease intangibles, we initially will consider, and periodically evaluate on a quarterly basis, the likelihood that a lessee will execute the renewal option.  The likelihood that a lessee will execute the renewal option is determined by taking into consideration the tenant's payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates and economic conditions in the area in which the property is located.

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The aggregate value of intangible assets related to customer relationship is measured based on our evaluation of the specific characteristics of each tenant's lease and our overall relationship with the tenant. Characteristics considered by us in determining these values include the nature and extent of our existing business relationships with the tenant, growth prospects for developing new business with the tenant, the tenant's credit quality and expectations of lease renewals, among other factors.

The value of in-place leases is amortized to expense over the initial term of the respective leases, which is approximately 11 years. The value of customer relationship intangibles is amortized to expense over the initial term and any renewal periods in the respective leases, but in no event does the amortization period for intangible assets exceed the remaining depreciable life of the building. If a tenant terminates its lease, the unamortized portion of the in-place lease value and customer relationship intangibles is charged to expense.

In making estimates of fair values for purposes of allocating purchase price, we utilize a number of sources, including independent appraisals that may be obtained in connection with the acquisition or financing of the respective property and other market data. We also consider information obtained about each property as a result of our pre-acquisition due diligence, as well as subsequent marketing and leasing activities, in estimating the fair value of the tangible and intangible assets acquired and intangible liabilities assumed.

Derivative Instruments

We may use derivative financial instruments to hedge all or a portion of the interest rate risk associated with our borrowings. The principal objective of such agreements is to minimize the risks and/or costs associated with our operating and financial structure as well as to hedge specific anticipated transactions.

We record all derivatives on the balance sheet at fair value.  The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether we have elected to designate a derivative in a hedging relationship and apply hedge accounting and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Derivatives may also be designated as hedges of the foreign currency exposure of a net investment in a foreign operation. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that is attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge.  We may enter into derivative contracts that are intended to economically hedge certain risk, even though hedge accounting does not apply or we elect not to apply hedge accounting.

Recently Issued Accounting Pronouncements

In December 2011, the Financial Accounting Standards Board ("FASB") issued guidance regarding disclosures about offsetting assets and liabilities, which requires entities to disclose information about offsetting and related arrangements to enable users of its financial statements to understand the effect of those arrangements on its financial position. The guidance is effective for fiscal years and interim periods beginning on or after January 1, 2013 with retrospective application for all comparative periods presented. The adoption of this guidance, which is related to disclosure only, did not have a material impact on our consolidated financial position, results of operations or cash flows.

In July 2012, the FASB issued revised guidance intended to simplify how an entity tests indefinite-lived intangible assets for impairment. The amendments will allow an entity first to assess qualitative factors to determine whether it is necessary to perform a quantitative impairment test. An entity will no longer be required to calculate the fair value of an indefinite-lived intangible asset and perform the quantitative test unless the entity determines, based on a qualitative assessment, that it is more likely than not that its fair value is less than its carrying amount. The amendments are effective for annual and interim indefinite-lived intangible asset impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption is permitted. The adoption of this guidance did not have a material impact on our consolidated financial position, results of operations or cash flows.

In February 2013, the FASB issued guidance which requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. The guidance is effective for annual and interim periods beginning after December 15, 2012 with early adoption permitted. The adoption of this guidance, which is related to disclosure only, did not have a material impact on our consolidated financial position, results of operations or cash flows.

In February 2013, the FASB issued new accounting guidance clarifying the accounting and disclosure requirements for obligations resulting from joint and several liability arrangements for which the total amount under the arrangement is fixed at the reporting date. The new guidance is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. We do not expect the adoption of this guidance to have a material impact on our consolidated financial position, results of operations or cash flows.

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In March 2013, the FASB issued new accounting guidance clarifying the accounting for the release of cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity.  The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. We do not expect the adoption of this guidance to have a material impact on our consolidated financial position, results of operations or cash flows.

Properties

As of March 31, 2013, we owned one property located in Carlisle, United Kingdom The following table presents certain additional information about the property we own at March 31, 2013:

Portfolio	Acquisition Date	Number of Properties	Square Feet	Remaining Lease Term (1)	Annualized Net Operating Income (2)		Base Purchase Price (3)		Capitalization Rate (4)	Annualized Rental Income/NOI per Square Foot (5)
					(In thousands)		(In thousands)
McDonald's	Oct. 2012	1	9,094	11.0	$	225	$	2,566	8.8%	$	24.74

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(1) Remaining lease term in years as of March 31, 2013.

(2) Annualized net operating income for the three months ended March 31, 2013 or since acquisition date. Net operating income is rental income on a straight-line basis, which includes tenant concessions such as free rent, as applicable, plus operating expense reimbursement revenue less property operating expenses.

(3) Contract purchase price, excluding acquisition related costs, based on the exchange rate at the time of purchase.

(4) Annualized net operating income divided by base purchase price.

(5) Annualized rental income as of March 31, 2013 for the in-place leases in the property portfolio on a straight-line basis, which includes tenant concessions such as free rent, as applicable.

Results of Operations

We purchased our first property and commenced our real estate operations in October 2012, as such our results of operations for the three months ended March 31, 2013 as compared to the three months ended March 31, 2012 reflect significant increases in most categories.

Rental Income

Rental income for the three months ended March 31, 2013 was approximately $42,000. Rental income was driven by or acquisition of one property in October 2012, for a purchase price of $2.6 million, which is 100% leased. We did not own any properties and therefore had no rental income for the three months ended March 31, 2012.

Operating Expense Reimbursement

Operating expense reimbursement was approximately $3,000 for the three months ended March 31, 2013. The lease to our tenant is net whereby the tenant is required to pay operating expenses, including all costs to maintain and repair the roof and structure of the building, in addition to base rent. The operating expense reimbursement reflects insurance expense incurred by us and reimbursed by the tenant. We did not own any properties and therefore had no operating expense reimbursement for the three months ended March 31, 2012.

Property Operating Expense

Property operating expense of approximately $4,000 for the three months ended March 31, 2013 were absorbed by our Advisor. Property operating expense included insurance expense incurred by us and reimbursed by the tenant. We did not own any properties and therefore had no property operating expenses for the three months ended March 31, 2012.

Operating Fees to Affiliate

Our Advisor is entitled to asset management fees in connection with providing asset management services. Subject to the entry by us, the Service Provider, the Advisor and our OP into definitive agreements, effective January 1, 2013, the payment of asset management fees in cash, shares or restricted stock grants, or any combination thereof to the Advisor was eliminated. Instead we will issue (if approved by the board of directors) to the Advisor Class B Units, which will be forfeited unless certain conditions are met.We did not own any properties and therefore had no asset management fees for the three months ended March 31, 2012.

Our Property Manager is entitled to fees for the management of our properties. During the three months ended March 31, 2013, our Property Manager waived $1,000 of management services related to our property. We did not own any properties and therefore had no operating fees to affiliates for the three months ended March 31, 2012.

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General and Administrative Expense

General and administrative expense of approximately $4,000 during the three months ended March 31, 2013 primarily include board member compensation, directors and officers liability insurance and professional fees of $0.2 million, partially offset by $0.2 million in general and administrative expenses absorbed by the Advisor. During the three months ended March 31, 2013, general and administrative expense of approximately $1,000 related to professional fees.

Depreciation and amortization expense

Depreciation and amortization expense of approximately $30,000 for the three months ended March 31, 2013, related to our acquisition of one property in October 2012 with a base purchase price of $2.6 million. The purchase price of acquired properties is allocated to tangible and identifiable intangible assets and depreciated or amortized over the estimated useful lives. We did not own any properties and therefore had no depreciation and amortization expense for the three months ended March 31, 2012.

Interest expense

Interest expense of approximately $13,000 for the three months ended March 31, 2013 related to our mortgage note payable of $1.2 million with an effective interest rate of 4.1%, which was used to fund a portion of our property purchased in October 2012. We did not own any properties and therefore had no interest expense for the three months ended March 31, 2012.

Cash Flows for the Three Months EndedMarch 31, 2013

During the three months ended March 31, 2013, net cash provided by operating activities was $0.2 million. The level of cash flows used in or provided by operating activities is affected by the volume of acquisition activity, the timing of interest payments and the amount of borrowings outstanding during the period, as well as the receipt of scheduled payments. Cash inflows included a net loss adjusted for non-cash items of $46,000 (net loss of $2,000 adjusted for non-cash items including depreciation and amortization of tangible and intangible real estate assets, amortization of deferred financing costs and share based compensation of $48,000), a decrease in prepaid expenses and other assets of approximately $48,000 related to the amortization of prepaid insurance and board fees, an increase in accounts payable and accrued expenses of approximately $63,000 related to professional fees and interest payable and a increase in deferred rent of $49,000.

Net cash provided by financing activities of $5.9 million during the three months ended March 31, 2013 related to proceeds, net of receivables, from the issuance of common stock of $7.2 million, partially offset by payments related to offering costs of $1.1 million, advances from affiliates of $0.2 million and distributions to stockholders of approximately $46,000.

Cash Flows for the Three Months EndedMarch 31, 2012

During the three months ended March 31, 2012, net cash used in operating activities was approximately $17,000, mainly due to a net loss of $1,000 and a decrease in accounts payable and accrued expenses of $16,000 related to the payment of professional fees.

Net cash provided by financing activities of $17,000 during the three months ended March 31, 2012, consisted primarily of proceeds from affiliates of approximately $134,000 which was offset of by approximately $117,000 of payments related to offering costs.

Liquidity and Capital Resources

We are offering and selling to the public in our IPO up to 150.0 million shares of our common stock, $0.01 par value per share, until the first quarter following our acquisition of at least $1.2 billion in total portfolio assets, at $10.00 per share (including the maximum allowed to be charged for commissions and fees). We are also offering up to 25.0 million shares of our common stock to be issued pursuant to our DRIP under which our stockholders may elect to have distributions reinvested in additional shares. Following our acquisition of at least $1.2 billion in total portfolio assets, the per share purchase price in the IPO will vary quarterly and will be equal to the NAV divided by the number of shares outstanding as of the end of business on the first day of each fiscal quarter after giving effect to any purchases or repurchases effected in the prior quarter plus applicable commissions and fees, and the per share purchase price in the DRIP will be equal to NAV per share.

In October 2012, we had raised proceeds sufficient to break escrow in connection with our IPO. We received and accepted aggregate subscriptions in excess of the $2.0 million minimum and issued shares of common stock to our initial investors who were simultaneously admitted as stockholders. We expect to continue to raise capital through the sale of our common stock and to utilize the net proceeds from the sale of our common stock and proceeds from secured financings to complete future property acquisitions. We purchased our first property and commenced our real estate operation in October 2012. As of March 31, 2013, we owned one property with an aggregate purchase price of $2.6 million. As of March 31, 2013, we had 1.0 million shares of common stock outstanding, including unvested restricted shares from total gross proceeds of $9.9 million.

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Our principal demands for cash will be for acquisition costs, including the purchase price of any properties, loans and securities we acquire, improvement costs, the payment of our operating and administrative expenses, continuing debt service obligations and distributions to our stockholders. Generally, we will fund our acquisitions from the net proceeds of our offering. We intend to acquire our assets with cash and mortgage or other debt, but we also may acquire assets free and clear of permanent mortgage or other indebtedness by paying the entire purchase price for the asset in cash or in units of limited partnership interest in our operating partnership.

We expect to meet our future short-term operating liquidity requirements through a combination of net cash provided by our current property operations and the operations of properties to be acquired in the future, proceeds from the sale of common stock and proceeds and secured mortgage financings.  Management expects that in the future, as our portfolio matures, our properties will cover operating expenses and the payment of our monthly distribution. Other potential future sources of capital include proceeds from secured or unsecured financings from banks or other lenders, proceeds from public and private offerings, proceeds from the sale of properties and undistributed funds from operations.

We expect to use debt financing as a source of capital. Under our charter, the maximum amount of our total indebtedness shall not exceed 300% of our total "net assets" (as defined by the North American Securities Administrators Association ("NASAA") REIT Guidelines) as of the date of any borrowing, which is generally expected to be approximately 75% of the cost of our investments; however, we may exceed that limit if approved by a majority of our independent directors and disclosed to stockholders in our next quarterly report following such borrowing along with justification for exceeding such limit. This charter limitation, however, does not apply to individual real estate assets or investments. In addition, it is currently our intention to limit our aggregate borrowings to 45% of the aggregate fair market value of our assets (calculated after the close of our offering and once we have invested substantially all the proceeds of our offering), unless borrowing a greater amount is approved by a majority of our independent directors and disclosed to stockholders in our next quarterly report following such borrowing along with justification for borrowing such a greater amount. This limitation, however, will not apply to individual real estate assets or investments. At the date of acquisition of each asset, we anticipate that the cost of investment for such asset will be substantially similar to its fair market value, which will enable us to satisfy our requirements under the NASAA REIT Guidelines. However, subsequent events, including changes in the fair market value of our assets, could result in our exceeding these limits. As of March 31, 2013, we had one secured mortgage note payable of $1.2 million. Our secured debt leverage ratio was 45.0% (total secured debt as a percentage of total real estate investments) as of March 31, 2013.

We intend to maintain the following percentage of the overall value of our portfolio in liquid assets that can be liquidated more readily than properties: 5% of our NAV in excess of $1 billion. However, our stockholders should not expect that we will maintain liquid assets at or above these levels. To the extent that we maintain borrowing capacity under a line of credit, such available amount will be included in calculating our liquid assets. The Advisor will consider various factors in determining the amount of liquid assets we should maintain, including but not limited to our receipt of proceeds from sales of additional shares, our cash flow from operations, available borrowing capacity under a line of credit, if any, our receipt of proceeds from any asset sale, and the use of cash to fund repurchases. The board of directors will review the amount and sources of liquid assets on a quarterly basis.

Our board of directors has adopted a share repurchase plan that enables our stockholders to sell their shares to us under limited circumstances. At the time a stockholder requests a repurchase, we may, subject to certain conditions, repurchase the shares presented for repurchase for cash to the extent we have sufficient funds available to fund such purchase. Since the inception of the Company, no shares of common stock have been repurchased or requested to be repurchased.

As of March 31, 2013, we had cash of $6.4 million. We expect cash flows from operations and the sale of common stock to be used primarily to invest in additional real estate, pay debt service, pay operating expenses and pay stockholder distributions.

Acquisitions

Our Advisor evaluates potential acquisitions of real estate and real estate related assets and engages in negotiations with sellers and borrowers on our behalf.  Investors should be aware that after a purchase contract is executed that contains specific terms the property will not be purchased until the successful completion of due diligence and negotiation of final binding agreements. During this period, we may decide to temporarily invest any unused proceeds from common stock offerings in certain investments that could yield lower returns than the properties. These lower returns may affect our ability to make distributions.

Funds from Operations and Modified Funds from Operations

Due to certain unique operating characteristics of real estate companies, as discussed below, the National Association of Real Estate Investment Trusts ("NAREIT"), an industry trade group, has promulgated a measure known as funds from operations ("FFO"), which we believe to be an appropriate supplemental measure to reflect the operating performance of a REIT. The use of FFO is recommended by the REIT industry as a supplemental performance measure. FFO is not equivalent to net income or loss as determined under accounting principles generally accepted in the United States ("GAAP").

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We define FFO, a non-GAAP measure, consistent with the standards established by the White Paper on FFO approved by the Board of Governors of NAREIT, as revised in February 2004 (the "White Paper"). The White Paper defines FFO as net income or loss computed in accordance with GAAP, excluding gains or losses from sales of property and asset impairment writedowns, plus depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures. Adjustments for unconsolidated partnerships and joint ventures are calculated to reflect FFO. Our FFO calculation complies with NAREIT's policy described above.

The historical accounting convention used for real estate assets requires straight-line depreciation of buildings and improvements, which implies that the value of real estate assets diminishes predictably over time, especially if such assets are not adequately maintained or repaired and renovated as required by relevant circumstances and/or is requested or required by lessees for operational purposes in order to maintain the value disclosed. We believe that, since real estate values historically rise and fall with market conditions, including inflation, interest rates, the business cycle, unemployment and consumer spending, presentations of operating results for a REIT using historical accounting for depreciation may be less informative. Additionally, we believe it is appropriate to disregard impairment charges, as this is a fair value adjustment that is largely based on market fluctuations and assessments regarding general market conditions which can change over time. An asset will only be evaluated for impairment if certain impairment indicators exist and if the carrying, or book value, exceeds the total estimated undiscounted future cash flows (including net rental and lease revenues, net proceeds on the sale of the property, and any other ancillary cash flows at a property or group level under GAAP) from such asset. Investors should note, however, that determinations of whether impairment charges have been incurred are based partly on anticipated operating performance, because estimated undiscounted future cash flows from a property, including estimated future net rental and lease revenues, net proceeds on the sale of the property, and certain other ancillary cash flows, are taken into account in determining whether an impairment charge has been incurred. While impairment charges are excluded from the calculation of FFO as described above, investors are cautioned that due to the fact that impairments are based on estimated undiscounted future cash flows and the relatively limited term of our operations, it could be difficult to recover any impairment charges.

Historical accounting for real estate involves the use of GAAP. Any other method of accounting for real estate such as the fair value method cannot be construed to be any more accurate or relevant than the comparable methodologies of real estate valuation found in GAAP. Nevertheless, we believe that the use of FFO, which excludes the impact of real estate related depreciation and amortization and impairments, provides a more complete understanding of our performance to investors and to management, and when compared year over year, reflects the impact on our operations from trends in occupancy rates, rental rates, operating costs, general and administrative expenses, and interest costs, which may not be immediately apparent from net income. However, FFO and modified funds from operations ("MFFO"), as described below, should not be construed to be more relevant or accurate than the current GAAP methodology in calculating net income or in its applicability in evaluating our operating performance. The method utilized to evaluate the value and performance of real estate under GAAP should be construed as a more relevant measure of operational performance and considered more prominently than the non-GAAP FFO and MFFO measures and the adjustments to GAAP in calculating FFO and MFFO.

28

Changes in the accounting and reporting promulgations under GAAP (for acquisition fees and expenses from a capitalization/depreciation model to an expensed-as-incurred model) that were put into effect in 2009 and other changes to GAAP accounting for real estate subsequent to the establishment of NAREIT's definition of FFO have prompted an increase in cash-settled expenses, specifically acquisition fees and expenses for all industries as items that are expensed under GAAP, that are typically accounted for as operating expenses. Management believes these fees and expenses do not affect our overall long-term operating performance. Publicly registered, non-listed REITs typically have a significant amount of acquisition activity and are substantially more dynamic during their initial years of investment and operation. While other start up entities also may experience significant acquisition activity during their initial years, we believe that non-listed REITs are unique in that they have a limited life with targeted exit strategies within a relatively limited time frame after the acquisition activity ceases. As disclosed in the prospectus for our offering (the "Prospectus"), we will use the proceeds raised in the offering to acquire properties, and intend to begin the process of achieving a liquidity event (i.e., listing of our common stock on a national exchange, a merger or sale or another similar transaction) within three to five years of the completion of the offering. Thus, we will not continuously purchase assets and will have a limited life. Due to the above factors and other unique features of publicly registered, non-listed REITs, the Investment Program Association ("IPA"), an industry trade group, has standardized a measure known as MFFO, which the IPA has recommended as a supplemental measure for publicly registered non-listed REITs and which we believe to be another appropriate supplemental measure to reflect the operating performance of a non-listed REIT having the characteristics described above. MFFO is not equivalent to our net income or loss as determined under GAAP, and MFFO may not be a useful measure of the impact of long-term operating performance on value if we do not continue to operate with a limited life and targeted exit strategy, as currently intended. We believe that, because MFFO excludes costs that we consider more reflective of investing activities and other non-operating items included in FFO and also excludes acquisition fees and expenses that affect our operations only in periods in which properties are acquired, MFFO can provide, on a going forward basis, an indication of the sustainability (that is, the capacity to continue to be maintained) of our operating performance after the period in which we are acquiring our properties and once our portfolio is in place. By providing MFFO, we believe it is presenting useful information that assists investors and analysts to better assess the sustainability of our operating performance after our IPO has been completed and our properties have been acquired. We also believe that MFFO is a recognized measure of sustainable operating performance by the non-listed REIT industry. Further, we believe MFFO is useful in comparing the sustainability of our operating performance after our IPO and acquisitions are completed with the sustainability of the operating performance of other real estate companies that are not as involved in acquisition activities. Investors are cautioned that MFFO should only be used to assess the sustainability of our operating performance after our offering has been completed and properties have been acquired, as it excludes acquisition costs that have a negative effect on our operating performance during the periods in which properties are acquired.

We define MFFO, a non-GAAP measure, consistent with the IPA's Guideline 2010-01, Supplemental Performance Measure for Publicly Registered, Non-Listed REITs: Modified Funds from Operations ("Practice Guideline") issued by the IPA in November 2010. The Practice Guideline defines MFFO as FFO further adjusted for the following items, as applicable, included in the determination of GAAP net income: acquisition fees and expenses; amounts relating to deferred rent receivables and amortization of above and below market leases and liabilities (which are adjusted in order to reflect such payments from a GAAP accrual basis to a cash basis of disclosing the rent and lease payments); accretion of discounts and amortization of premiums on debt investments; mark-to-market adjustments included in net income; gains or losses included in net income from the extinguishment or sale of debt, hedges, foreign exchange, derivatives or securities holdings where trading of such holdings is not a fundamental attribute of the business plan, unrealized gains or losses resulting from consolidation from, or deconsolidation to, equity accounting, and after adjustments for consolidated and unconsolidated partnerships and joint ventures, with such adjustments calculated to reflect MFFO on the same basis. The accretion of discounts and amortization of premiums on debt investments, gains and losses on hedges, foreign exchange, derivatives or securities holdings, unrealized gains and losses resulting from consolidations, as well as other listed cash flow adjustments are adjustments made to net income in calculating the cash flows provided by operating activities and, in some cases, reflect gains or losses which are unrealized and may not ultimately be realized. While we are responsible for managing interest rate, hedge and foreign exchange risk, we do retain an outside consultant to review all our hedging agreements. Inasmuch as interest rate hedges are not a fundamental part of our operations, we believe it is appropriate to exclude such gains and losses in calculating MFFO, as such gains and losses are not reflective of ongoing operations.

29

Our MFFO calculation complies with the IPA's Practice Guideline described above. In calculating MFFO, we exclude acquisition related expenses, amortization of above and below market leases, fair value adjustments of derivative financial instruments, deferred rent receivables and the adjustments of such items related to non-controlling interests. Under GAAP, acquisition fees and expenses are characterized as operating expenses in determining operating net income. These expenses are paid in cash by us, and therefore such funds will not be available to distribute to investors. All paid and accrued acquisition fees and expenses negatively impact our operating performance during the period in which properties are acquired and will have negative effects on returns to investors, the potential for future distributions, and cash flows generated by us, unless earnings from operations or net sales proceeds from the disposition of other properties are generated to cover the purchase price of the property, these fees and expenses and other costs related to such property. Therefore, MFFO may not be an accurate indicator of our operating performance, especially during periods in which properties are being acquired. MFFO that excludes such costs and expenses would only be comparable to that of non-listed REITs that have completed their acquisition activities and have similar operating characteristics as us. Further, under GAAP, certain contemplated non-cash fair value and other non-cash adjustments are considered operating non-cash adjustments to net income in determining cash flow from operating activities. In addition, we view fair value adjustments of derivatives as items which are unrealized and may not ultimately be realized. We view both gains and losses from dispositions of assets and fair value adjustments of derivatives as items which are not reflective of ongoing operations and are therefore typically adjusted for when assessing operating performance. As disclosed elsewhere in the Prospectus, the purchase of properties, and the corresponding expenses associated with that process, is a key operational feature of our business plan to generate operational income and cash flows in order to make distributions to investors. Acquisition fees and expenses will not be reimbursed by our Advisor if there are no further proceeds from the sale of shares in our offering, and therefore such fees and expenses will need to be paid from either additional debt, operational earnings or cash flows, net proceeds from the sale of properties or from ancillary cash flows.

Our management uses MFFO and the adjustments used to calculate it in order to evaluate our performance against other non-listed REITs which have limited lives with short and defined acquisition periods and targeted exit strategies shortly thereafter. As noted above, MFFO may not be a useful measure of the impact of long-term operating performance on value if we do not continue to operate in this manner. We believe that our use of MFFO and the adjustments used to calculate it allow us to present our performance in a manner that reflects certain characteristics that are unique to non-listed REITs, such as their limited life, limited and defined acquisition period and targeted exit strategy, and hence that the use of such measures is useful to investors. For example, acquisitions costs are funded from the proceeds of our IPO and other financing sources and not from operations. By excluding expensed acquisition costs, the use of MFFO provides information consistent with management's analysis of the operating performance of the properties. Additionally, fair value adjustments, which are based on the impact of current market fluctuations and underlying assessments of general market conditions, but can also result from operational factors such as rental and occupancy rates, may not be directly related or attributable to our current operating performance. By excluding such changes that may reflect anticipated and unrealized gains or losses, we believe MFFO provides useful supplemental information.

Presentation of this information is intended to provide useful information to investors as they compare the operating performance of different REITs, although it should be noted that not all REITs calculate FFO and MFFO the same way. Accordingly, comparisons with other REITs may not be meaningful. Furthermore, FFO and MFFO are not necessarily indicative of cash flow available to fund cash needs and should not be considered as an alternative to net income (loss) or income (loss) from continuing operations as an indication of our performance, as an alternative to cash flows from operations as an indication of our liquidity, or indicative of funds available to fund our cash needs including our ability to make distributions to our stockholders. FFO and MFFO should be reviewed in conjunction with GAAP measurements as an indication of our performance. MFFO has limitations as a performance measure in an offering such as ours where the price of a share of common stock is a stated value and there is no net asset value determination during the offering stage and for a period thereafter. MFFO is useful in assisting management and investors in assessing the sustainability of operating performance in future operating periods, and in particular, after the offering and acquisition stages are complete and net asset value is disclosed. FFO and MFFO are not useful measures in evaluating net asset value because impairments are taken into account in determining net asset value but not in determining FFO or MFFO.

Neither the SEC, NAREIT nor any other regulatory body has passed judgment on the acceptability of the adjustments that we use to calculate FFO or MFFO. In the future, the SEC, NAREIT or another regulatory body may decide to standardize the allowable adjustments across the non-listed REIT industry and we would have to adjust our calculation and characterization of FFO or MFFO.

30

The table below reflects the items deducted or added to net loss in our calculation of FFO and MFFO for the three months ended March 31, 2013:

	Three Months Ended
(In thousands)	March 31, 2013
Net loss (in accordance with GAAP)	$	(2	)
Depreciation and amortization	30
FFO	28
Amortization of above market leases (1)	12
MFFO	$	40

_________________

(1) Under GAAP, certain intangibles are accounted for at cost and reviewed at least annually for impairment, and certain intangibles are assumed to diminish predictably in value over time and amortized, similar to depreciation and amortization of other real estate related assets that are excluded from FFO. However, because real estate values and market lease rates historically rise or fall with market conditions, management believes that by excluding charges relating to amortization of these intangibles, MFFO provides useful supplemental information on the performance of the real estate.

Distributions

On October 5, 2012, our board of directors authorized, and we declared, a distribution, which is calculated based on stockholders of record each day during the applicable period at a rate of $0.00194520548 per day, based on a price of $10.00 per share of common stock. Our distributions are payable by the 5th day following each month end to stockholders of record at the close of business each day during the prior month.

The amount of distributions payable to our stockholders is determined by our board of directors and is dependent on a number of factors, including funds available for distribution, our financial condition, capital expenditure requirements, as applicable, requirements of Maryland law and annual distribution requirements needed to qualify and maintain our status as a REIT under the Internal Revenue Code of 1986 (the "Code"). Distribution payments are dependent on the availability of funds. Our board of directors may reduce the amount of distributions paid or suspended distribution payments at any time and therefore distribution payments are not assured. There is no assurance that we will continue to declare distributions at this rate.

The distributions began to accrue on November 28, 2012, 30 days following our initial property acquisition. The first distribution was paid in December 2012. During the three months ended March 31, 2013, distributions paid to common stockholders $49,000, inclusive of approximately $3,000 of distributions issued under the DRIP. During the three months ended March 31, 2013, cash used to pay our distributions was generated from cash flows from operations and common stock issued under the DRIP. 

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The following table shows the sources for the payment of distributions to common stockholders for the period indicated:

	Three Months Ended
	March 31, 2013
(In thousands)				Percentage of Distributions
Distributions:
Distributions paid in cash	$	46
Distributions reinvested	3
Total distributions	$	49
Source of distribution coverage:
Cash flows provided by operations	$	46		93.9	%
Proceeds from issuance of common stock	—			—	%
Common stock issued under the DRIP / offering proceeds	3			6.1	%
Proceeds from financings	—			—	%
Total sources of distribution coverage	$	49		100.0	%
Cash flows provided by operations (GAAP basis)	$	206
Net loss (in accordance with GAAP)	$	(2	)

The following table compares cumulative distributions paid to cumulative net loss (in accordance with GAAP) for the period from July 13, 2011 (date of inception) through March 31, 2013:

	For the Period from July 13, 2011 (date of inception) to
(In thousands)	March 31, 2013
Distributions paid:
Common stockholders in cash	$	47
Common stockholders pursuant to DRIP / offering proceeds	3
Total distributions paid	$	50
Reconciliation of net loss:
Revenues	$	75
Acquisition and transaction-related expenses	(228		)
Depreciation and amortization	(51		)
Other operating expenses	(204		)
Other non-operating income	(23		)
Net loss (in accordance with GAAP) (1)	$	(431	)

___________________

(1) Net loss as defined by GAAP includes the non-cash impact of depreciation and amortization expense as well as costs incurred relating to acquisitions and related transactions.

Loan Obligations

The payment terms of our loan obligations require principal and interest amounts payable monthly with all unpaid principal and interest due at maturity. Our loan agreements stipulate that we comply with specific reporting covenants. As of March 31, 2013, we were in compliance with the debt covenants under our loan agreements.

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Our Advisor may, with approval from our independent board of directors, seek to borrow short-term capital that, combined with secured mortgage financing, exceeds our targeted leverage ratio. Such short-term borrowings may be obtained from third-parties on a case-by-case basis as acquisition opportunities present themselves simultaneous with our capital raising efforts. We view the use of short-term borrowings as an efficient and accretive means of acquiring real estate in advance of raising equity capital. Accordingly, we can take advantage of buying opportunities as we expand our fund raising activities. As additional equity capital is obtained, these short-term borrowings will be repaid.

Contractual Obligations

The following is a summary of our contractual obligations as of March 31, 2013:

			April 1, 2013 — December 31, 2013		Years Ended December 31,
(In thousands)	Total				2014 — 2015		2016 — 2017		Thereafter
Principal Payments Due:
Mortgage notes payable	$	1,155	$	—	$	—	$	1,155	$	—
Interest Payments Due:
Mortgage notes payable	$	223	$	35	$	94	$	94	$	—

Election as a REIT

We intend to elect to be taxed as a REIT under Sections 856 through 860 of the Code, effective for our taxable year ending December 31, 2013. We believe that, commencing with such taxable year, we are organized and operate in such a manner as to qualify for taxation as a REIT under the Code. We intend to continue to operate in such a manner to qualify for taxation as a REIT, but no assurance can be given that we will operate in a manner so as to qualify or remain qualified as a REIT. If we continue to qualify for taxation as a REIT, we generally will not be subject to federal corporate income tax to the extent we distribute our REIT taxable income to our stockholders, and so long as we distribute at least 90% of our REIT taxable income. REITs are subject to a number of other organizational and operational requirements. Even if we qualify for taxation as a REIT, we may be subject to certain state and local taxes on our income and property, and federal income and excise taxes on our undistributed income.

Inflation

We may be adversely impacted by inflation on any leases that do not contain indexed escalation provisions. In addition, we may be required to pay costs for maintenance and operation of properties which may adversely impact our results of operations due to potential increases in costs and operating expenses resulting from inflation.

Related-Party Transactions and Agreements

We have entered into agreements with affiliates of our Sponsor, whereby we will pay certain fees or reimbursements to our Advisor or its affiliates in connection with acquisition and financing activities, sales of common stock under our offering, asset and property management services and reimbursement of operating and offering related costs. See Note 9 —Related Party Transactions to our financial statements included in this report for a discussion of the various related party transactions, agreements and fees.

Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements as of March 31, 2013 that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors.

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

The market risk associated with financial instruments and derivative financial instruments is the risk of loss from adverse changes in market prices or rates. Our interest rate risk management objectives with respect to our long-term debt will be to limit the impact of interest rate changes in earnings and cash flows and to lower our overall borrowing costs. To achieve these objectives, from time to time, we may enter into interest rate hedge contracts such as swaps and collars in order to mitigate our interest rate risk with respect to various debt instruments. We would not hold or issue these derivative contracts for trading or speculative purposes. We may also be exposed to foreign currency fluctuations as a result of any investments in foreign operations in Europe and elsewhere internationally.

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As of March 31, 2013, our debt included a fixed-rate secured mortgage financing, with a carrying value and fair value of $1.2 million. Changes in market interest rates on our fixed-rate debt impact the fair value of the notes, but it has no impact on interest incurred or cash flow. For instance, if interest rates rise 100 basis points and our fixed rate debt balance remains constant, we expect the fair value of our obligation to decrease, the same way the price of a bond declines as interest rates rise. The sensitivity analysis related to our fixed–rate debt assumes an immediate 100 basis point move in interest rates from their March 31, 2013 levels, with all other variables held constant. A 100 basis point increase in market interest rates would result in a decrease in the fair value of our fixed-rate debt by approximately $1,000. A 100 basis point decrease in market interest rates would result in an increase in the fair value of our fixed-rate debt by approximately $1,000.

These amounts were determined by considering the impact of hypothetical interest rates changes on our borrowing costs, and, assuming no other changes in our capital structure. As the information presented above includes only those exposures that existed as of March 31, 2013, it does not consider exposures or positions arising after that date. The information represented herein has limited predictive value. Future actual realized gains or losses with respect to interest rate fluctuations will depend on cumulative exposures, hedging strategies employed and the magnitude of the fluctuations.

Item 4. Controls and Procedures.

In accordance with Rules 13a-15(b) and 15d-15(b) of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), we, under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer, carried out an evaluation of the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) and Rule 15d-15(e) of the Exchange Act) as of the end of the period covered by this Quarterly Report on Form 10-Q and determined that the disclosure controls and procedures are effective.

No change occurred in our internal controls over financial reporting (as defined in Rule 13a-15(f) and 15d-15(f) of the Exchange Act) during the three months ended March 31, 2013 that has materially affected, or is reasonably likely to materially affect, our internal controls over financial reporting.

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PART II — OTHER INFORMATION

Item 1. Legal Proceedings.

As of the end of the period covered by this Quarterly Report on Form 10-Q, we are not a party to any material pending legal proceedings.

Item 1A. Risk Factors.

There have been no material changes from the risk factors set forth in our Annual Report on Form 10-K for the fiscal year ended December 31, 2012, except for the items described below:

Distributions paid from sources other than our cash flows from operations, particularly from proceeds of our IPO, will result in us having fewer funds available for the acquisition of properties and other real estate-related investments and may dilute your interests in us, which may adversely affect our ability to fund future distributions with cash flows from operations and may adversely affect your overall return.

Distributions paid from sources other than our cash flows from operations, particularly from proceeds of our offering, will result in us having fewer funds available for the acquisition of properties and other real estate-related investments and may dilute your interests in us, which may adversely affect our ability to fund future distributions with cash flows from operations and may adversely affect your overall return.

Our cash flows provided by operations was $206,000 for the three months ended March 31, 2013. During the three months ended March 31, 2013, we paid distributions of $49,000, of which $46,000 was funded from cash flows from operations and $3,000, or 6.1% was funded from proceeds from common stock issued under the DRIP. During the three months ended March 31, 2013 cash flow from operations included an increase in accounts payable and accrued expenses of $63,000, as reflected on the statement of cash flows. Accordingly, if these accounts payable and accrued expenses had been paid during the three months ended March 31, 2013, there would have been $63,000, less in cash flow from operations available to pay distributions. Additionally, we may in the future pay distributions from sources other than from our cash flows from operations.

Until we acquire additional properties or other real estate-related investments, we may not generate sufficient cash flows from operations to pay distributions. If we are unable to acquire additional properties or other real estate-related investments may result in a lower return on your investment than you expect. If we have not generated sufficient cash flows from our operations and other sources, such as from borrowings, the sale of additional securities, advances from our Advisor, and/or our Advisor's deferral, suspension and/or waiver of its fees and expense reimbursements, in order to fund distributions, we may use the proceeds from our IPO. Moreover, our board of directors may change our distribution policy, in its sole discretion, at any time. Distributions made from offering proceeds are a return of capital to stockholders, from which we will have already paid offering expenses in connection with our IPO. We have not established any limit on the amount of proceeds from our IPO that may be used to fund distributions, except that, in accordance with our organizational documents and Maryland law, we may not make distributions that would: (1) cause us to be unable to pay our debts as they become due in the usual course of business; (2) cause our total assets to be less than the sum of our total liabilities plus senior liquidation preferences, if any; or (3) jeopardize our ability to qualify as a REIT.

If we fund distributions from the proceeds of our IPO, we will have less funds available for acquiring properties or other real estate-related investments. As a result, the return you realize on your investment may be reduced. Funding distributions from borrowings could restrict the amount we can borrow for investments, which may affect our profitability. Funding distributions with the sale of assets or the proceeds of our IPO may affect our ability to generate cash flows. Funding distributions from the sale of additional securities could dilute your interest in us if we sell shares of our common stock or securities convertible or exercisable into shares of our common stock to third party investors. Payment of distributions from the mentioned sources could restrict our ability to generate sufficient cash flows from operations, affect our profitability and/or affect the distributions payable to you upon a liquidity event, any or all of which may have an adverse effect on your investment.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds of Registered Securities.

We did not sell any equity securities that were not registered under the Securities Act of 1933 during the three months months ended March 31, 2013.

On April 20, 2012 we commenced our IPO on a "reasonable best efforts" basis of up to 150.0 million of common stock, pursuant to the Registration Statement on Form S-11 (File No. 333-177563) filed with the SEC under the Securities Act of 1933, as amended.  The Registration Statement also covers up to 25.0 million shares of common stock pursuant the DRIP under which common stockholders may elect to have their distributions reinvested in additional shares of common stock. As of March 31, 2013, we have issued 1.0 million shares of our common stock, and received $9.9 million of offering proceeds.

35

The following table reflects the offering costs associated with the issuance of common stock:

	Three Months Ended
(In thousands)	March 31, 2013
Selling commissions and dealer manager fees	$	763
Other offering costs	513
Total offering costs	$	1,276

The Dealer Manager may reallow the selling commissions and a portion of the dealer manager fees to participating broker-dealers. The following table details the selling commissions incurred and reallowed related to the sale of shares of common stock:

	Three Months Ended
(In thousands)	March 31, 2013
Total commissions paid to the Dealer Manager	$	763
Less:
Commissions to participating brokers	(476		)
Reallowance to participating broker dealers	(49		)
Net to the Dealer Manager	$	238

As of March 31, 2013, we have incurred $3.8 million of cumulative offering costs in connection with the issuance and distribution of our registered securities. As of March 31, 2013, cumulative offering costs included $1.2 million of offering cost reimbursements incurred from the Advisor and Dealer Manager. The Advisor has elected to cap cumulative offering costs incurred by us, net of unpaid amounts, to 15% of gross common stock proceeds during the offering period. Cumulative offering costs, net of unpaid amounts, were less than the 15% threshold as of March 31, 2013. Cumulative offering proceeds from the sale of common stock exceeded cumulative offering costs by $6.0 million at March 31, 2013.

We expect to use substantially all of the net proceeds from our IPO to primarily acquire a diversified portfolio of income producing real estate properties, focusing primarily on acquiring freestanding, single-tenant bank branches, convenience stores, office, industrial and retail properties net leased to investment grade and other creditworthy tenants. We may also originate or acquire first mortgage loans secured by real estate. As of March 31, 2013, we have used the net proceeds from our IPO and debt financing to purchase one property with an aggregate purchase price of $2.6 million.

We did not repurchase any of our securities during the three months ended March 31, 2013.

Item 3. Defaults Upon Senior Securities.

None.

Item 4. Mine Safety Disclosures.

Not applicable.

Item5. Other Information.

None.

Item6. Exhibits.

The exhibits listed on the Exhibit Index (following the signatures section of this report) are included, or incorporated by reference, in this Quarterly Report on Form 10-Q.

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SIGNATURES

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

AMERICAN REALTY CAPITAL GLOBAL TRUST, INC.
By:	/s/ Nicholas S. Schorsch
	Nicholas S. Schorsch
	Chief Executive Officer and Chairman of the Board of Directors (Principal Executive Officer)
By:	/s/ Brian S. Block
	Brian S. Block
	Executive Vice President and Chief Financial Officer (Principal Financial Officer)

Dated: May 10, 2013

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EXHIBITS INDEX

The following exhibits are included, or incorporated by reference, in this Quarterly Report on Form 10-Q for the quarter ended March 31, 2013 (and are numbered in accordance with Item 601 of Regulation S-K).

Exhibit No.	Description
10.9 *	Agreement for the Sale and Purchase of Wickes Store, dated April 12, 2013, between Aviva Investors Pensions Limited and ARC WKBPLUK001, LLC
10.10 *	Facility Letter, dated May 3, 2013, by and between ARC WKBPLUK001, LLC and Santander UK plc
31.1 *	Certification of the Principal Executive Officer of the Company pursuant to Securities Exchange Act Rule 13a-14(a) or 15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2 *	Certification of the Principal Financial Officer of the Company pursuant to Securities Exchange Act Rule 13a-14(a) or 15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32 *	Written statements of the Principal Executive Officer and Principal Financial Officer of the Company pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101 *	XBRL (eXtensible Business Reporting Language). The following materials from American Global Trust, Inc.'s Quarterly Report on Form 10-Q for the three months ended March 31, 2013, formatted in XBRL: (i) the Consolidated Balance Sheets, (ii) the Consolidated Statements of Operations and Comprehensive Loss, (iii) the Consolidated Statement of Changes in Equity, (iv) the Consolidated Statements of Cash Flows and (v) the Notes to the Consolidated Financial Statements. As provided in Rule 406T of Regulation S-T, this information in furnished and not filed for purpose of Sections 11 and 12 of the Securities Act of 1933 and Section 18 of the Securities Exchange Act of 1934

_______________________

*    Filed herewith

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EX-10.9

Exhibit 10.9

DATED 12 April 2013

AVIVA INVESTORS PENSIONS LIMITED

and

ARC WKBPLUK001, LLC

AGREEMENT

for the sale and purchase of Wickes Store, New Preston Road, Blackpool

Legal Services

Surrey Street

Norwich

CONTENTS

Clause 1	Definitions
Clause 2	Interpretation
Clause 3	The Property Sold
Clause 4	Completion
Clause 5	Covenant for Title
Clause 6	Incorporation of Conditions
Clause 7	Variation of Conditions
Clause 8	Title
Clause 9	Matters Affecting the Property
Clause 10	Representations Excluded
Clause 11	Apportionment of Rent due under the Lease
Clause 12	Arrears
Clause 13	Interest – Late Payments
Clause 14	Form of Transfer
Clause 15	Discharge of Contract
Clause 16	VAT
Clause 17	Risk and Insurance
Clause 18	Planning
Clause 19	Tenant’s Fixtures and Fittings
Clause 20	Whole Contract
Clause 21	Buyer’ Bank Details
Clause 22	English Law
Clause 23	Contracts (Rights of Third Parties) Act 1999
Clause 24	Capital Allowances
Clause 25	Acknowledgement
Clause 26	Rent Authority Letter
Clause 27	Pending Registration

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Clause 28	Following Completion
Clause 29	Opinion Letter
Clause 30	Title Indemnity Insurance Policy

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THIS AGREEMENT dated                                                         2013 is made BETWEEN

(1) The Seller: AVIVA INVESTORS PENSIONS LIMITED (company registration number 1059606) whose registered office is at 1 Poultry London EC2R 8EJ

(2) The Buyer: ARC WKBPLUK001, LLC (a limited liability company registered in the State of Delaware) whose registered office is at 2711 Centreville Road, Suite 400, Wilmington, Delaware 19808 USA

IT IS AGREED:-

1. DEFINITIONS

In this agreement the following expressions shall have the following meanings:-

Actual Completion" means the date on which the sale and purchase of the Property is actually completed in accordance with the terms of this agreement

"Buyer's Solicitors" means Trowers & Hamlins LLP 3 Bunhill Row London EC1Y 8YZ (reference JCA/ARC/02)

"Completion Date" means   3    May  2013 and for the avoidance of doubt is the “completion date” for the purposes of the Conditions

"Conditions" means the Standard Commercial Property Conditions of Sale (Second Edition)

“Contamination” means the presence in, on, under or over the Property of any substance capable of causing pollution or contamination of the environment

"Customs" means H M Revenue & Customs

"Income" means the principal yearly rents other sums reserved as rent insurance costs interest and all other sums payable under the Lease

"Lease" means the documents relating to a tenancy to which the Property is subject short particulars of which are set out in the Second Schedule and any other supplemental document entered into in accordance with this agreement by the Seller in connection with the management of the Property between the date of this agreement and Actual Completion

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"Planning Acts" means the Town and Country Planning Act 1990 and all other legislation for the time being in force relating to town and country planning

"Price" means three million eight hundred and ninety-three thousand pounds (£3,893,000)

"Property" means the property described in the First Schedule

“Records” means the records referred to in Section 49 VATA and which relate to the Property

"Seller's Solicitors" means Aviva Legal Services of PO Box 432 5^th Floor Carrara Surrey Street Norwich NR1 3PG (Reference LS/JW)

"Tenant" means the tenant under the Lease

"VAT" means Value Added Tax chargeable under the Value Added Tax Act 1994 or any identical or substantially similar tax which may replace such Value Added Tax and whether payable as a result of any election or otherwise

"Working Day" means a day falling on or between Monday and Friday upon which clearing banks in the City of London are open for normal business

2. INTERPRETATION

2.1 Words importing the singular number only shall include the plural number and vice versa and words importing any particular gender shall include masculine feminine and neuter genders

2.2 Any reference in this agreement or in the Conditions to a statute or order shall include any statutory extension or modification or re-enactment of such statute or order and any regulations directions bye-laws orders or other such matter made under or pursuant to it or them

2.3 The clause and schedule headings (if any) in and the front cover of the agreement are for reference only and do not affect the construction or interpretation of this agreement

2.4 A reference to a clause or schedule without further designation is to a clause or schedule of this agreement and a clause includes a sub-clause

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2.5 References in this agreement to the Buyer shall save where indicated to the contrary include its successors in title

2.6 Unless this agreement requires otherwise references to persons include firms companies and corporations and vice versa

3. THE PROPERTY SOLD

The Seller shall sell and the Buyer shall buy the Property at the Price on the terms of this agreement

4. COMPLETION

Completion of the sale and purchase hereby agreed shall take place on the Completion Date

5. COVENANT FOR TITLE

The Seller sells the Property with full title guarantee subject to the terms of this agreement

6. INCORPORATION OF CONDITIONS

6.1 The Conditions shall be deemed to be incorporated in this agreement insofar as they are not varied by or inconsistent with the terms of this agreement

6.2 Where the terms of this agreement conflict with the Conditions the terms of this agreement shall prevail

7. VARIATION OF CONDITIONS

The Conditions are varied as follows:-

7.1 The contract rate is 3 percent per annum above the base lending rate from time to time of Barclays Bank plc

7.2 Conditions 1.3.3(b) 1.3.5(c) 1.3.7(e) 1.3.8 5 6.1 6.3 6.4.2 6.6 7 8.1.3 8.3 10.3 and 11 shall not apply

7.3 Condition 1.3.1 - add at the end the words "and signed by (or by some person duly authorised by) the person giving it and in the case of service on the relevant party's solicitors quoting the reference set out in this agreement"

7.4 Condition 1.3.4 – delete “subject to conditions 1.3.5 to 1.3.7” and insert “subject to condition 1.3.5”

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7.5 Condition 1.4 shall be replaced by the following:-

"An obligation to pay money or the receipt of a taxable supply includes an obligation to pay any Value Added Tax chargeable in respect of that payment or due in respect of the relevant taxable supply as the case may be"

7.6 The Buyer's obligation to pay money due whether on the date of this agreement or on Actual Completion shall be discharged by telegraphic or other direct transfer to the bank account specified by the Seller's Solicitors

7.7 Condition 2.2.2 shall be replaced by the following:-

"A deposit of one hundred and ninety-five thousand pounds (£195,000) shall be paid by the Buyer to the Buyer’s Solicitors to be held by them as stakeholder and the interest on the deposit shall be paid to the Seller at Actual Completion and if for any reason whatsoever the Seller becomes entitled under the Conditions to retain for its own benefit the deposit paid by the Buyer the Buyer undertakes to pay to the Seller on demand such sum as with the deposit already paid would amount to a full 10% of the Price together with compensation calculated at the contract rate on the deposit from the date of this agreement until payment"

7.8 Condition 4.2.3 – add the word “reasonable” after the words “in accordance with”

7.9 Condition 8.1.1 - add after the words "Completion date is" the words "the date specified in clause 1 or if none"

7.10 Condition 8.1.2 - the reference to “conditions 8.3 and 9.3” shall be substituted by the reference to “condition 9.3 and the apportionment provisions of this agreement” and the words “as a result of the buyer’s default” shall be deleted

7.11 Condition 8.4(a) – replace the words “condition 8.3” with “the provisions of this agreement”

7.12 Condition 8.4 (c) - replace “condition 7.1.2 or 7.1.3” with “clause 17 of this agreement”

7.13 Condition 9.1.1 - add after the words "leading to it" the words "(made or confirmed in writing by the Seller's Solicitors)"

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7.14 Condition 9.2 (c) - replace the words “condition 7.1.2 (e)” with “clause 17 of this agreement”

8. TITLE

The Seller having deduced title to the Property to the Buyer before the date of this agreement as the Buyer accepts and in addition having produced to the Buyer copies of the documents referred to in the Schedules the Buyer shall be deemed to purchase with full knowledge of the contents of such documents and shall take subject thereto and shall raise no objection to or requisition on any matter concerning or arising out of the title to the Property or to or on any such document save for any matters arising whether from the usual pre-completion searches or otherwise after the date of this agreement

9. MATTERS AFFECTING THE PROPERTY

9.1 The Property is sold subject to and (as the case may be) with the benefit of the following matters so far as they are still subsisting and capable of taking effect at Actual Completion:-

9.1.1 the entries in the property and charges registers of the title number specified in the First Schedule (save for any financial charges) and the matters referred to in or arising out of the documents brief details whereof are set out in the Third Schedule

9.1.2 the Lease

9.1.3 all rights of way water light and air support drainage and other rights easements quasi-easements liabilities and public or private rights whatsoever and to any liability to repair or contribute to the repair of roads passages sewers drains pipes fences party structures and other like matters

9.1.4 in respect of the whole or any part of the Property which is registered any matters which are unregistered interests which override registered dispositions under Schedule 3 to the Land Registration Act 2002 and in respect of the whole or any part of the Property which is unregistered any matters which are or would be unregistered interests which override first registration under Schedule 1 to the Land Registration Act 2002

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9.1.5 all local land charges (whether or not registered before the date of this agreement) and all matters capable of registration as local land charges (whether or not actually registered)

9.1.6 all notices served and orders demands proposals or requirements made by any local or other public or competent authority whether made before or after the date of this agreement

9.1.7 all actual or proposed orders directions plans notices instruments charges restrictions conditions agreements or other matters arising under any statute relating to the Planning Acts and any laws and regulations intended to control or regulate the construction demolition alteration or change of use of land or buildings or to preserve or protect the environment

and the Seller warrants to the Buyer that that it has disclosed any such matters revealed by its records.

10. REPRESENTATIONS EXCLUDED

In relation to this sale and purchase the Buyer hereby admits that it has not entered into this agreement in reliance wholly or partly upon any statement representation or description whatsoever made by or on behalf of the Seller save as set out in this agreement or any written statements of the Seller's Solicitors in reply to enquiries before contract which were not capable of independent verification by:-

10.1 non-intrusive inspection and survey of the Property or any part thereof to the extent reasonably to be expected of a prudent purchaser

10.2 searches and enquiries of the local or other public authority to the extent reasonably to be expected of a prudent purchaser or

10.3 inspection of the documents disclosed to the Buyer

(whether or not such inspections survey search and enquiry have been made)

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11. APPORTIONMENT OF RENT DUE UNDER THE LEASE

11.1 In this clause "Rent" means the principal yearly rent reserved under the Lease at the rate payable on Actual Completion

11.2 The Rent will be apportioned with effect from Actual Completion so that the Seller pays or allows to the Buyer on Actual Completion the total of:

Rent

____ x A

365

for the Lease where A is the number of days from but excluding Actual Completion to but excluding the date when the next instalment of the Rent under the Lease is due plus half a day

11.3 The Seller shall not be required to account to the Buyer for any Rent in respect of the period after Actual Completion unless the Seller has actually received such Rent from the Tenant

11.4 If after Actual Completion the Seller receives any Rent the whole or any part of which is attributable to the period after Actual Completion the Seller shall within five Working Days of receipt pay such Rent or the part so attributable to the Buyer

11.5 If after Actual Completion the Buyer receives any Rent the whole or any part of which is attributable to the period up to and including half of the day of Actual Completion the Buyer shall within five Working Days of receipt pay such Rent or the part so attributable to the Seller

12. ARREARS

12.1 If at Actual Completion there are arrears of Income neither party hereto shall be obliged to make payment to the other in respect of such arrears

12.2 The Buyer agrees that for a period of six months from Actual Completion it will take reasonable steps to pursue any arrears and shall account to the Seller for any arrears recovered that are due to the Seller within ten working days of receipt

12.3 The Buyer agrees that it will not dispose of the reversion immediately expectant on the determination of the Lease whilst there are arrears of Income due to the Seller which are less than six months old unless the person to whom such disposal is made enters into a deed with the Seller in the same form mutatis mutandis as clause 12.2

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12.4 Where clause 12.3 applies the Buyer agrees to notify the Seller promptly in writing and in any event no later than three Working Days after a disposal of its reversionary interest

13 INTEREST - LATE PAYMENTS

Without prejudice to condition 9.3 if and whenever the one party shall fail to pay any sum or sums provided for in this agreement by or on the date on which the same shall become due such party shall pay to the other interest on such sum or sums at the contract rate calculated from the due date to the date of actual payment

14 FORM OF TRANSFER

14.1 The Seller shall not be obliged to complete the transfer of the Property other than by way of a single transfer of the whole of the Property to the Buyer

14.2 The transfer shall be in the form attached to this agreement as Appendix 1 (with such changes as the Seller’s Solicitors and the Buyer’s Solicitors shall agree) and shall be engrossed as a counterpart and an original by the Seller’s Solicitors and delivered to the Buyer’s Solicitors not less than three Working Days before the Completion Date

15 DISCHARGE OF CONTRACT

The Seller may give notice to the Buyer discharging the contract if prior to Actual Completion:-

15.1 the Buyer being a company goes into liquidation (otherwise than for the purpose of a reconstruction or amalgamation) or a petition which is not frivolous or vexatious for an administration order is made or enters into a voluntary arrangement with a creditor or creditors under Part I of the Insolvency Act 1986 or enters into administrative receivership or has a receiver appointed or

15.2 the Buyer being a private person (or being private persons any one of them) is adjudicated bankrupt or an interim receiver is appointed of the property of the Buyer or if the Buyer enters into a voluntary arrangement with a creditor or creditors under Part VIII of the Insolvency Act 1986

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16 VAT

16.1 Unless the provisions of clause 16.2 apply the Buyer shall pay to the Seller on Actual Completion in addition to the Price VAT on the Price (if any) and the Seller shall deliver to the Buyer on Actual Completion a proper VAT invoice

16.2 If the Buyer produces evidence to the reasonable satisfaction of the Seller before the date of this agreement that:-

16.2.1 the Buyer will at Actual Completion be registered or required to be registered for the purposes of VAT

16.2.2 the Buyer has given notice in accordance with Part 1 of Schedule 10 of the Value Added Tax Act 1994 ("VATA") no later than the relevant date (as defined in Article 5 of the Value Added Tax (Special Provisions) Order 1995 ("Article 5")) of an option to tax in relation to the Property which has effect from the relevant date

the Seller and Buyer shall treat the transfer of the Property as falling within Article 5 and accordingly (subject to clause 16.4) the Seller will not charge VAT on the Price

16.3 The Seller warrants and undertakes to the Buyer that it is registered for the purposes of VAT and that the Seller has validly elected to waive exemption from VAT in relation to the Property under paragraph 2 of Schedule 10 VATA and given notice of such election to Customs and that such election has not been revoked or disapplied

16.4 Notwithstanding the fact that the Buyer satisfies the Seller as set out in clause 16.2 above so that the Seller does not require the Buyer to pay VAT on Actual Completion if Customs shall issue a decision to the effect or raise an assessment on the Seller on the basis that the transfer of the Property pursuant to this agreement does not fall within the provisions of Article 5 then the Buyer will in addition to the Price pay to the Seller (against the production of a copy of the decision assessment and a proper VAT invoice in respect thereof) the amount of any VAT for which the Seller is liable to account in respect of the transfer of the Property in immediately available funds within fifteen Working Days of receipt of the said documentation or, if later, the date of Actual Completion

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16.5 The Seller warrants and undertakes to the Buyer that:-

16.5.1 the Seller uses the Property for the purpose of a property letting business; and

16.5.2 the Property is not a capital item for the purposes of Part XV of the VAT Regulations 1995 (SI 1995/2518) or being such a capital item the period of adjustment in relation to the Property has expired

16.6 The Buyer agrees that it will from and including Actual Completion carry on the same business in relation to the Property as that carried on by the Seller that is to say holding the Property as a let investment

16.7 The Buyer hereby notifies the Seller that Paragraph (2B) of Article 5 of the Value Added Tax (Special Provisions) Order 1995 does not apply to the Buyer

16.8 The Buyer shall promptly on receipt from Customs supply to the Seller a copy of the acknowledgement of its option to tax

16.9 The Seller and the Buyer intend that the Seller should retain the Records and accordingly the Seller shall:

16.9.1 preserve the Records in the United Kingdom for such period as may be required by law and

16.9.2 so long as it preserves the Records permit the Buyer (at the Buyer’s cost) reasonable access to them to inspect and make copies of them

17 RISK AND INSURANCE

17.1 The Seller will insure the Property in accordance with its obligations as landlord under the Lease until and including Actual Completion

17.2 The Seller will at the Buyer’s written request:

17.2.1 permit the Buyer to inspect the policy or evidence of its terms or evidence of the payment of the premium at any reasonable time

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17.2.2 increase the amount of cover for the Property under the terms of the Seller’s insurance policy' or extend the risks covered by it subject to the insurer being willing and able to do so and subject to the Buyer paying the Seller on demand any additional premium due for the increased or extended cover

17.2.3 obtain or consent to an endorsement on the Seller’s insurance policy for the Property of the Buyer’s interest subject to the insurer being willing to make the endorsement and subject to the Buyer paying the Seller on demand any additional premium due for the endorsement

17.3 The Seller will be under no obligation to seek any refund from the Tenant of any additional premium due or paid in relation to any increased cover requested by the Buyer or for any endorsement on the policy of the Buyer’s interest

17.4 No damage to or destruction of the Property nor any deterioration in its condition (however caused) will entitle the Buyer either to a reduction of the Price or to refuse to complete or to delay completion.

17.5 If in the period between the date of this agreement and Actual Completion the Property is damaged or destroyed by a risk against which the Seller has insured:

17.5.1 the Seller will make a claim under its insurance policy in respect of that damage or destruction and shall consult with and keep informed the Tenant and take due account of its representations prior to so doing and during the claim process.

17.5.2 to the extent that any insurance money in respect of the damage or destruction is paid to the Seller before Actual Completion and to the extent that the Seller is not under any statutory obligation to use any insurance money received by it to repair or rebuild the Property before Actual Completion the Seller will hold the insurance money on trust for the Buyer and will pay the money to the Buyer on Actual Completion to use in accordance with the terms of the Lease

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17.5.3 to the extent that any insurance money in respect of the damage or destruction is paid to the Seller after Actual Completion the Seller will hold the insurance money on trust for the Buyer and will as soon as is reasonably practicable and in any event within 10 working days of receipt pay it to the Buyer to use in accordance with the terms of the Lease

17.5.4 to the extent that any insurance money in respect of the damage or destruction has not been paid to the Seller before Actual Completion the Seller will to the extent permitted by the policy and at the Buyer’s expense assign to the Buyer all rights to claim under the policy the assignment being in the form reasonably required by the Buyer

17.6 On Actual Completion the Seller will cancel its insurance policy in respect of the Property and if following the cancellation the Seller receives from its insurers a refund of any premium paid in respect of any period after the date of cancellation the Seller will pay or allow the refund to the Tenant in accordance with the terms of the Lease

17.7 The Buyer will apply any insurance money paid to it by the Seller under this clause in accordance with the terms of the Lease and will keep the Seller indemnified against any claims arising from any breach of this obligation

17.8 On Actual Completion there will be no apportionment between the Seller and the Buyer of any insurance rents received or receivable from the Tenant under the terms of the Lease

17.9 Section 47 of the Law of Property Act 1925 does not apply

18 PLANNING

No warranty is given as to the authorised use of the Property for the purpose of the Planning Acts

19 TENANT'S FIXTURES AND FITTINGS

Any Tenant's fixtures and fittings or apparatus belonging to statutory/privatised utilities are excluded from the sale of the Property

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20 WHOLE CONTRACT

For the purpose of Section 2 of the Law of Property (Miscellaneous Provisions) Act 1989 any variation of or addition to the provisions of this agreement which may be agreed in correspondence of today's date between the parties to this agreement (or the solicitors of the parties to this agreement) and which expressly refers to this agreement and purports to vary it is incorporated in this agreement and it is acknowledged that this agreement with the duplicate or counterpart of it (with any such variation or addition) incorporate all the terms of the contract between the parties to this agreement

21 BUYER'S BANK DETAILS

The Buyer hereby confirms that any deposit under this agreement or any money due to the Seller on completion shall be made from the undernoted account:-

Bank – Royal Bank of Scotland

Address – PO BOX 412, 62 – 63 Threadneedle Street, London EC2R 8LA

Account Number – 23115320 (Trowers & Hamlins client account)

Sort Code – 15-10-00

22 ENGLISH LAW

This agreement shall be governed by and construed in accordance with English law

23 CONTRACTS (RIGHTS OF THIRD PARTIES) ACT 1999

The provisions of the Contracts (Rights of Third Parties) Act 1999 are not intended to apply to this agreement and unless expressly stated nothing contained in this agreement will create any rights in favour of any person pursuant to that Act

24 CAPITAL ALLOWANCES

24.1 In this clause "Plant" means such machinery and plant within the meaning of the Capital Allowances Act 2001 as is included in the sale of the Property

24.2 The Seller warrants that it has not claimed and that it will not claim at any time any capital allowances on any Plant nor has it or will it enter into any election under the Capital Allowances Act 2001

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25 ACKNOWLEDGEMENT

25.1 The parties agree and acknowledge that:

25.1.1 the Buyer had permission from the Seller to carry out its own investigations of the condition of the Property prior to the sale and purchase becoming binding to ascertain whether any Contamination exists and if so the extent of such Contamination

25.1.2 the price takes into account the state of the Property including any Contamination, as at Actual Completion

25.1.3 the Buyer shall have no claim against the Seller for any environmental liabilities associated with the Property

25.1.4 both the Seller and the Buyer are large commercial organisations

25.1.5 the Property is sold in its existing state and condition including the presence of any Contamination and no warranty is given as to such state and condition or its suitability for any purpose

25.2 The Buyer acknowledges that in providing the Buyer with any copies of any reports surveys investigations or audits dealing with environmental or other issues the Seller makes no representation whatsoever as to the contents or accuracy of such reports surveys investigations or audits

25.3 The agreements and acknowledgement in clauses 25.1 are made pursuant to the statutory guidance under the Environmental Protection Act 1990 to exclude the Seller as an appropriate person to bear responsibility for environmental liability in relation to or arising from the Property

26 RENT AUTHORITY LETTERS

The Seller shall on Actual Completion supply to the Buyer a letter in the form attached as Appendix 2 addressed to the Tenant authorising the payment of future rents to the Buyer

27 PENDING REGISTRATION

From Actual Completion until the registration of the transfer of the Property has been completed in accordance with Schedule 2 of the Land Registration Act 2002 the Seller irrevocably appoints the Buyer to act as its agent and to carry out all such acts and execute all such documents in relation to the Property as the Buyer may (subject to the terms of this agreement) in its absolute discretion consider appropriate

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28 following completion

Following Actual Completion the Seller’s Solicitors shall post the deeds and documents for the Property including those listed in the Schedules to this Agreement (and it is accepted that the document mentioned in the third schedule is only a certified copy) to the Buyer’s Solicitors by registered post and neither the Seller nor the Seller’s Solicitors shall be liable for any subsequent loss of them in the post

29. Opinion Letter

On Actual Completion the Buyer shall provide to the Seller an opinion letter from Proskauer Rose LLP the form of which is attached as Appendix 3 with such amendments as are necessary to reflect the completion documents such letter to be dated the date of Actual Completion or within three Working Days before Actual Completion and ahead of Actual Completion the Buyer’s Solicitors shall provide a faxed or emailed copy of the signed letter to the Seller’s Solicitors

30. Title INDEMNITY INSURANCE POLICY

Prior to the Completion Date the Seller shall at its own expense increase the Limit of Indemnity under Policy Number 9980CQ01318 from £3,062,193 to the Price and shall provide such evidence as the Buyer shall reasonably require that such amendment has been made to the policy (and shall supply a copy of the revised policy document to the Buyer ahead of Actual Completion if received)

THE FIRST SCHEDULE - THE PROPERTY

Freehold property known as Wickes Store, New Preston Road, Blackpool, registered at the Land Registry under title number LA498569 with absolute title

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THE SECOND SCHEDULE - THE LEASE

10.05.1999	Agreement for Lease	Norwich Union Pensions Management Limited (1) Wickes Building Supplies Limited (2) Wickes Developments Limited (3)
08.12.1999	Lease	Norwich Union Pensions Management Limited (1) Wickes Building Supplies Limited (2)
16.12.1999	Licence to Alter	Norwich Union Pensions Management Limited (1) Wickes Building Supplies Limited (2)
26.01.2006	Rent review memorandum	Norwich Union Pensions Management Limited (1) Wickes Building Supplies Limited (2)

THE THIRD SCHEDULE - UNREGISTERED DOCUMENTS AFFECTING THE PROPERTY

30.09.1999 S278 Agreement Blackpool Borough Council (1) Wickes Developments Limited (2) Norwich Union Pensions Management Limited (3)

Signed by Richard David Woodrow	)
duly authorised signatory/attorney	)
for and on behalf of Aviva Investors Pensions Limited	)	/s/ Richard David Woodrow
	)

Signed by
Duly authorised for and on behalf of
THE BUYER	ARC WKBPLUK001, LLC, a Delaware limited
	liability company
	By:	/s/ Jesse C. Galloway
	Name:	Jesse C. Galloway
	Title:	Authorised Signatory

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APPENDIX 1

(Transfer)

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APPENDIX 2

(Rent authority letter)

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APPENDIX 3

(Opinion letter)

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EX-10.10

Exhibit 10.10

[to be typed on the headed notepaper of

Santander Corporate Banking]

To:	ARC WKBPLUK001, LLC
	(registered in the state of Delaware) (Borrower)
Address:	2711 Centerville Road
	Suite 400
	Wilmington
	Delaware
	19808 USA
Date:	May 3, 2013

Dear Sirs

1 Facility

This letter sets out the terms and conditions on which the Lender agrees to make available to the Borrower a term loan facility in an amount not exceeding £1,946,500.

2 Definitions and interpretation

Words and expressions used in this letter are defined in Schedule 1 and this letter shall be construed in accordance with Schedule 1.

3 Purpose

3.1 The Borrower shall apply the Loan towards the purchase of the Property.

3.2 The Lender is not bound to monitor or verify the application of any amount borrowed pursuant to this letter.

4 Conditions of utilisation

4.1 The Borrower may not request the Loan unless the Lender has received all of the documents and other evidence listed in Schedule 2, in a form and substance satisfactory to the Lender.

4.2 The Loan shall not be made unless on the proposed Utilisation Date:

(a) no Default is continuing or would result from the proposed Loan; and

(b) the representations and warranties in clause 15 are true.

4.3 The Loan shall be drawn down as a single advance.

5 Utilisation

5.1 The Borrower may request the Loan by delivering a notice to the Lender not later than 10 am two Business Days prior to the proposed Utilisation Date (or such other period as the Lender may agree).

5.2 That notice is irrevocable and must specify:

(a) the proposed Utilisation Date (being a Business Day within the Availability Period);

(b) the amount of the Facility to be drawn (which must not exceed £1,946,500); and

(c) the account to which the Loan should be credited.

6 Repayment

6.1 The Borrower shall repay the Loan in full (together with all other sums outstanding to the Lender under this letter) on or before the Final Repayment Date.

6.2 The Borrower may not reborrow any part of the Facility which is repaid.

7 Illegality, prepayment and cancellation

7.1 If it becomes unlawful for the Lender to perform any of its obligations under this letter or to fund the Loan:

(a) on the Lender notifying the Borrower in writing, the Facility will be immediately cancelled; and

(b) the Borrower shall repay the Loan on the date specified by the Lender (being no earlier than the last day of any applicable grace period permitted by law).

7.2 The Borrower may, if it gives the Lender not less than 5 Business Day's prior written notice, prepay the whole or any part of the Loan (but, if in part, being an amount that reduces the Loan by a minimum amount and an integral multiple of £100,000).

7.3

(a) If:

(i) any sum payable to the Lender by the Borrower is required to be increased under clause 11.1(b); or

(ii) the Lender claims indemnification from the Borrower under clause 12.1,

the Borrower may, whilst the circumstance giving rise to the requirement to pay an increased amount or indemnification continues, give the Lender written notice of its intention to prepay the Loan in full.

(b) On the date specified by the Borrower in a notice under clause 7.3(a), the Borrower shall repay the Loan in full.

7.4

(a) Any notice of prepayment given under this clause 7 shall be irrevocable and shall specify the date on which the relevant prepayment is to be made and the amount of that prepayment.

(b) Any prepayment under this letter shall be made together with accrued interest on the amount prepaid and any amounts due under clause 13.

(c) The Borrower may not reborrow any part of the Facility which is prepaid.

(d) The Borrower shall not repay or prepay all or any part of the Loan except at the times and in the manner expressly provided for in this letter.

8 Interest

8.1

(a) Interest shall accrue on the Loan for each applicable Interest Period at the percentage rate per annum which is the aggregate of:

(i) the Margin;

(ii) LIBOR; and

(iii) the Mandatory Cost.

(b) The Borrower shall pay accrued interest on the Loan on each Interest Payment Date.

(c) The Lender shall notify the Borrower of the determination of a rate of interest under this letter.

8.2

(a) The first Interest Period for the Loan shall start on the Utilisation Date and end on the first Interest Payment Date thereafter.

(b) Each subsequent Interest Period shall start on the expiry of the previous Interest Period and end on the next Interest Payment Date.

(c) No Interest Period for the Loan shall extend beyond the Final Repayment Date.

8.3 If an Interest Period would otherwise end on a day which is not a Business Day, that Interest Period will instead end on the next Business Day in that month (if there is one) or the preceding Business Day (if there is not).

8.4

(a) If the Borrower fails to pay any amount payable by it under a Finance Document on its due date, default interest shall accrue on the overdue amount from the due date up to the date of actual payment (both before and after judgment) at a rate which, subject to clause 8.4(b), is 2 per cent higher than the rate which would have been payable if the overdue amount had, during the period of non-payment, constituted the Loan for successive Interest Periods, each of a duration selected by the Lender (acting reasonably). Any interest accruing under this clause 8.4 shall be immediately payable by the Borrower on demand by the Lender.

(b) If any overdue amount consists of all or part of the Loan which became due on a day which was not the last day of an Interest Period relating to the Loan:

(i) the first Interest Period for that overdue amount shall have a duration equal to the unexpired portion of the current Interest Period relating to the Loan; and

(ii) the rate of interest applying to the overdue amount during that first Interest Period shall be 2 per cent higher than the rate which would have applied if the overdue amount had not become due.

(c) Default interest (if unpaid) arising on an overdue amount will be compounded with the overdue amount at the end of each Interest Period applicable to that overdue amount but will remain immediately due and payable.

8.5

(a) If a Market Disruption Event occurs in relation to the Loan for any Interest Period, then the rate of interest on the Loan for that Interest Period shall be the rate per annum which is the sum of:

(i) the Margin;

(ii) the rate notified to the Borrower by the Lender as soon as practicable and in any event before interest is due to be paid in respect of that Interest Period, to be that which expresses as a percentage rate per annum the cost to the Lender of funding the Loan from whatever source it may reasonably select; and

(iii) the Mandatory Cost.

(b) In this letter, Market Disruption Event means that at or about 11 am on the first day of the relevant Interest Period:

(i) the Screen Rate is not available; and

(ii) the Lender (acting reasonably) determines that, by reasons of circumstances affecting the London Interbank Market generally, adequate and fair means do not existing for ascertaining LIBOR for that Interest Period.

(c) If a Market Disruption Event occurs and the Lender or the Borrower so requires, the Lender and the Borrower shall enter into negotiations (for a period of not more than 20 Business Days) with a view to agreeing a substitute basis for determining the rate of interest.

8.6 The Borrower shall ensure that, no later than 1 Business Day after the Utilisation Date, Hedging Arrangements are in place (in a form acceptable to the Lender) in respect of not less than 100% of the Loan and that such Hedging Arrangements are maintained for the term of the Facility. The Borrower shall provide the Lender with all such information as the Lender may reasonably request from time to time in relation to the Hedging Arrangements.

9 Bank accounts

9.1 The Borrower shall maintain with the Lender, a current account in the name of the Borrower designated as "Rent Account" and shall not, without the prior written consent of the Lender (such consent not to be unreasonably withheld, delayed or conditioned), maintain any other bank account, save that the Borrower shall be permitted to open and maintain other bank accounts with the Lender that are required to be held pursuant to any additional facility arrangement entered into between the Borrower and the Lender.

9.2 The Borrower shall procure that all Net Rental Income and all other amounts received by the Managing Agent are paid into the Rent Account in cleared funds on or before each Interest Payment Date.

9.3 If, notwithstanding clause 9.2, the Borrower receives any amount otherwise than by credit to the Rent Account or through the Lender, the Borrower shall pay that amount into the Rent Account or to the Lender immediately on receipt and shall, in the meantime, hold that payment subject to the security created by the Finance Documents.

9.4 If the Rent Account is maintained with the Lender:

(a) subject to clause 9.4(b) and to the requirement that any amounts paid into the Rent Account for a particular purpose must be used for that purpose, the Borrower shall have signing rights in relation to the Rent Account and may withdraw any amount from the Rent Account for any purpose;

(b) while a Default is continuing, only the Lender may withdraw sums from the Rent Account;

(c) the Lender may, at any time, apply any monies standing to the credit of the Rent Account in or towards payment of any amount then due and payable to it but unpaid under the Finance Documents;

(d) the Lender shall not be responsible to the Borrower for any non-payment of any liability of the Borrower which could be paid out of moneys standing to the credit of the Rent Account. The Lender shall not be liable to the Borrower for any withdrawal wrongly made if made in good faith; and

(e) the Lender may delegate its powers of withdrawal under this clause 9 to any administrator, receiver and/or manager.

10 Fees

The Borrower shall pay to the Lender a non-refundable arrangement fee of £19,465 on the Utilisation Date.

11 Tax gross up and indemnities

11.1

(a) The Borrower shall make all payments to be made by it under any Finance Document without any Tax Deduction, unless a Tax Deduction is required by law.

(b) If a Tax Deduction is required by law to be made by the Borrower the amount of the payment due from the Borrower shall be increased to an amount which (after making any Tax Deduction) leaves an amount equal to the payment which would have been due if no Tax Deduction had been required.

11.2 The Borrower shall pay, and, on demand, indemnify the Lender against any cost, loss or liability the Lender incurs in relation to, all stamp duty, registration and other similar Taxes payable in respect of any Finance Document.

11.3 All amounts payable under a Finance Document by the Borrower shall be deemed to be exclusive of any VAT. If VAT is chargeable, the Borrower shall pay to the Lender (in addition to and at the same time as paying such amount) an amount equal to the amount of the VAT.

11.4 Subject to clause 11.6 below, each of the Borrower and the Lender shall, within ten Business Days of a reasonable request by the other party:

(a) confirm to the other whether it is:

(A) a FATCA Exempt Party; or

(B) not a FATCA Exempt Party; and

(b) supply to that other Party such forms, documentation and other information relating to its status under FATCA (including its applicable "passthru payment percentage" or other information required under the US Treasury Regulations or other official guidance including intergovernmental agreements) as that other party reasonably requests for the purposes of that other party's compliance with FATCA.

11.5 If a Party confirms to the other pursuant to 11.4(a) above that it is a FATCA Exempt Party and it subsequently becomes aware that it is not, or has ceased to be a FATCA Exempt Party, that Party shall notify that other Party reasonably promptly.

11.6 Clause 11.4 above shall not oblige the Lender to do anything which would or might in its reasonable opinion constitute a breach of:

(a) any law or regulation;

(b) any fiduciary duty; or

(c) any duty of confidentiality.

11.7 If a Party fails to confirm its status or to supply forms, documentation or other information requested in accordance with clause 11.4 above (including, for the avoidance of doubt, where clause 11.6) above applies), then:

(a) if that Party failed to confirm whether it is (and/or remains) a FATCA Exempt Party then such Party shall be treated for the purposes of the Finance Documents as if it is not a FATCA Exempt Party; and

(b) if that Party failed to confirm its applicable "passthru payment percentage" then such party shall be treated for the purposes of the Finance Documents (and payments made thereunder) as if its applicable "passthru payment percentage" is 100%,

until (in each case) such time as the Party in question provides the requested confirmation, forms, documentation or other information.

11.8 Each Party may make any FATCA Deduction it is required to make by FATCA, and any payment required in connection with that FATCA Deduction, and no Party shall be required to increase any payment in respect of which it makes such a FATCA Deduction or otherwise compensate the recipient of the payment for that FATCA Deduction.

11.9 Each Party shall promptly, upon becoming aware that it must make a FATCA Deduction (or that there is any change in the rate or the basis of such FATCA Deduction) notify the Party to whom it is making the payment.

12 Increased Costs

12.1

(a) Subject to clause 12.2, the Borrower shall, on demand by the Lender, pay to the Lender the amount of any Increased Costs incurred by the Lender as a result of (i) the introduction of or any change in (or in the interpretation or application of) any law or regulation or (ii) compliance with any law or regulation made after the date of this letter.

(b) In this letter, Increased Costs means:

(i) a reduction in the rate of return from the Facility or on the Lender's overall capital;

(ii) an additional or increased cost; or

(iii) a reduction of any amount due and payable under any Finance Document,

which is incurred or suffered by the Lender to the extent that it is attributable to the Lender having entered into the Facility or funding or performing its obligations under any Finance Document.

12.2 Clause 12.1 does not apply to the extent any Increased Cost is:

(a) attributable to a Tax Deduction required by law to be made by the Borrower;

(b) compensated for by the payment of the Mandatory Cost;

(c) attributable to the wilful breach by the Lender of any law or regulation; or

(d) attributable to a FATCA Deduction required to be made by the Borrower.

13 Other indemnities

13.1 The Borrower shall, within 3 Business Days of written demand, indemnify the Lender against any cost, loss or liability incurred by it as a result of:

(a) the occurrence of any Event of Default; or

(b) the Loan not being advanced on, or being advanced on a date other than, the Utilisation Date specified in any notice delivered pursuant to clause 5.1 other than as a result of a breach by the Lender of its obligations under this letter.

13.2 The Borrower shall, on demand by the Lender, pay to the Lender the LIBOR Break Costs attributable to all or any part of a Loan or Unpaid Sum being paid by the Borrower on a day other than the last day of an Interest Period for the Loan or Unpaid Sum.

13.3 The Lender shall within three Business Days of certification by the Lender, pay to the Rent Account any LIBOR Break Gain.

14 Costs and expenses

14.1 The Borrower shall pay to the Lender within 3 Business Days of written demand the amount of all costs and expenses (including legal fees and fees in respect of the Valuation) properly incurred by it in connection with:

(a) the negotiation, preparation and execution of this letter and any document referred to in this letter or a Security Document, subject to an overall limit in the amount of £8,000 plus VAT thereon where applicable and disbursements;

(b) the preparation of the initial Valuation, subject to an overall limit in the amount of £5,436 (including VAT and disbursements);

(c) any other Finance Document executed after the Utilisation Date; and

(d) any amendment, release, waiver or consent requested by the Borrower in relation to a Finance Document.

14.2 The Borrower shall within 3 Business Days of written demand pay to the Lender the amount of all costs and expenses (including legal fees) incurred by the Lender in connection with enforcement of, or the preservation of any rights under, any Finance Document.

15 Representations

The Borrower makes the representations and warranties set out in this clause 15 to the Lender on the date of this letter and on the Utilisation Date.

15.1

(a) The Borrower is a body corporate, duly incorporated and validly existing under the law of the jurisdiction of its incorporation.

(b) The Borrower has the power to own its assets and carry on its activities as they are being conducted.

15.2 Each Finance Document is in full force and effect and the obligations expressed to be assumed by the Borrower in each Finance Document to which it is a party are legal, valid, binding and enforceable obligations, subject to the Reservations and any qualification set out in any legal opinion or Report addressed to the Lender in connection with the Finance Documents. The Lender agrees that the Borrower shall not be in breach of this clause 15.2 as a result of the Hedging Arrangements being entered into by the Borrower within 1 Business Day of the Utilisation Date in accordance with clause 8.6.

15.3 The entry into and performance by the Borrower of, and the transactions contemplated by, the Finance Documents to which it is a party do not and will not conflict with:

(a) any law or regulation applicable to it; or

(b) its constitutional documents (if any).

15.4 The entry into and performance by it of, and the transactions contemplated by, the Finance Documents to which it is a party do not and will not conflict with any agreement or instrument binding on it or any of its assets nor oblige it to create any Security over any of its assets (other than under a Security Document).

15.5 The Borrower has the power to enter into, perform and deliver, and has taken all necessary action to authorise its entry into, performance and delivery of, the Finance Documents to which it is a party and the transactions contemplated by those Finance Documents.

15.6 All Authorisations required:

(a) to enable the Borrower lawfully to enter into, exercise its rights and comply with its obligations under the Finance Documents to which it is a party; and

(b) to make the Finance Documents to which the Borrower is a party admissible in evidence in its Relevant Jurisdictions,

have been obtained or effected (as appropriate) and are in full force and effect.

15.7 The choice of governing law of the Finance Documents to which it is a party will be recognised and enforced in the Borrower's Relevant Jurisdictions, subject to the Reservations and any qualification set out in any legal opinion or Report addressed to the Lender in connection with the Finance Documents.

15.8 Any judgment obtained in relation to a Finance Document in the jurisdiction of the governing law of that Finance Document will be recognised and enforced in the Borrower's Relevant Jurisdictions, subject to the Reservations and any qualification set out in any legal opinion or Report addressed to the Lender in connection with the Finance Documents.

15.9 No Event of Default is continuing or is reasonably likely to result from the making of the Loan.

15.10 No litigation, arbitration, administrative or bankruptcy proceedings of or before any court, arbitral body or agency is current or pending or, so far as the Borrower is aware, threatened against it which, if adversely determined, could reasonably be expected to have a Material Adverse Effect.

15.11

(a) In each case save as disclosed in any Certificate of Title:

(i) the Borrower is the sole legal and beneficial owner of, and has good and marketable title to, the Property subject to no Security;

(i) there subsists no breach of any law or regulation which affects or might reasonably be expected to affect the value of the Property;

(ii) there are no covenants, agreements, stipulations, reservations, conditions, interests, rights or other matters whatsoever which affect the Property;

(ii) nothing has arisen or has been created or is subsisting which would be an overriding interest over the Property;

(iii) no facility necessary for the enjoyment and use of the Property is enjoyed on terms entitling any person to terminate or curtail its use; and

(iv) the Borrower has not received notice of any adverse claim by any person in respect of the ownership of the Property or any interest in it, nor has any acknowledgement been given to any person in respect of the Property.

(b) Save as disclosed in any Certificate of Title, all deeds and documents necessary to show good and marketable title to the Property are in the possession of, or held to the order of, the Lender.

15.12 The Borrower is not required to make any deduction for or on account of Tax from any payment it may make under any Finance Document.

15.13

(a) All information supplied by it to the Lender in connection with the Finance Documents was true and accurate in all material respects as at the date it was provided or as at the date (if any) at which it was stated.

(b) All information supplied by or on behalf of the Borrower in connection with the preparation of the Reports was true, complete and accurate in all material respects at the dates supplied.

(c) All statements of fact in the Reports (other than the Certificate of Title) are true and accurate in all material respects.

(d) So far as the Borrower is aware (having made due and careful enquiry), no Report (other than the Certificate of Title) is misleading in any material respect and there is no expression of opinion contained in, or any conclusion reached in, any Report (other than the Certificate of Title) which is not fair and reasonable.

(e) So far as the Borrower is aware (having made due and careful enquiry), nothing has occurred or come to light since the date of any Report (other than the Certificate of Title) which renders any material facts contained in that Report (other than the Certificate of Title) inaccurate or misleading or which makes any of the opinions or conclusions contained in the relevant Report (other than the Certificate of Title) unfair or unreasonable.

(f) The Borrower has read the Certificate of Title and is not aware of any material omission or inaccuracy in the Certificate of Title.

15.14 The Repeating Representations are deemed to be repeated by the Borrower on each Interest Payment Date, by reference to the facts and circumstances then existing.

16 Information undertakings

The undertakings in this clause 16 remain in force from the date of this letter for so long as any amount is outstanding under the Finance Documents or the Facility is available for drawing.

16.1 The Borrower shall supply to the Lender as soon as the same become available, but in any event within 270 days after the end of each of its financial years its (unaudited) financial statements for that financial year.

16.2 The Borrower shall procure that each set of financial statements delivered under clause 16.1:

(a) is prepared using GAAP and accounting practices and financial reference periods consistent with those applied in the preparation of the first set of financial statements provided under clause 16.1; and

(b) give a true and fair view (if audited) or fairly present (if unaudited) of its financial condition as at the end of, and results of operations for, the period to which they relate.

16.3 The Borrower shall supply to the Lender:

(a) all documents despatched by the Borrower to its creditors generally, at the same time as they are despatched;

(b) promptly on becoming aware of them, the details of any litigation, arbitration, administrative or bankruptcy proceedings which are current, threatened or pending against it and which, if adversely determined, are likely to have a Material Adverse Effect;

(c) immediate notification of any notice received by it under section 146 of the Law of Property Act 1925 or any proceedings commenced or steps taken against it for the forfeiture of any lease under which it holds an interest in the Property;

(d) (unless otherwise agreed in writing by the Lender) no later than 28 days following the end of each Interest Payment Date, a quarterly monitoring report containing such information in respect of the Property and each Occupational Lease as the Lender shall reasonably require such report to be in a form acceptable to the Lender, but to include, without limitation, the following information:

(i) the name of the tenant, or occupier;

(ii) the rent, service charge, VAT and any other payments payable and (separately) paid in that Quarter;

(iii) details of any rent or service charges arrears;

(iv) details of any rent review agreed or in progress during that Quarter and any rent review which will fall to be determined in the following Quarter;

(v) details of any expiry, termination or surrender or any notice of expiry, termination or surrender given by the tenant;

(vi) details of any new lettings and licences proposed;

(vii) details of any new insurance claims and the progress of existing insurance claims;

(viii) details of any dispute between the Borrower and any tenant or occupier of the Property which, if adversely determined, would have or is reasonably likely to have a Material Adverse Effect;

(ix) details of any sinking fund in respect of the Property;

(x) details of any proposed disposal of the Property (including negotiations for the grant of any Occupational Lease); and

(xi) details of all irrecoverable expenditure incurred or to be incurred by the Borrower in respect of the Property) in excess of £10,000; and

(e) such further information regarding the business and operations of the Borrower, the Property or the financial condition of the Borrower as the Lender may reasonably request.

16.4 The Borrower shall notify the Lender if any person becomes a member of the Borrower or ceases to be a member of the Borrower.

16.5 The Borrower shall notify the Lender of any Default (and the steps, if any, being taken to remedy it) on becoming aware of its occurrence.

16.6 The Borrower shall supply to the Lender a Compliance Certificate within 28 days of each Interest Payment Date setting out (in reasonable detail) computations as to compliance with the financial covenants set out in clause 17.

17 Financial covenants

17.1 So long as any amount is outstanding under the Finance Documents or the Facility is available for borrowing the Borrower shall ensure that:

(a) in respect of each Relevant Period, Annual Rent shall be at least 200 per cent of Annual Interest Costs; and

(b) at all times the Loan shall not exceed 60 per cent of the Market Value of the Property.

17.2 The covenant in clause 17.1(a) shall be tested on each Interest Payment Date. The covenant in clause 17.1(b) shall be tested annually by reference to the then most recent Valuation received by the Lender.

17.3 If, following a Valuation, the Borrower is in breach of clause 17.1(b), the Borrower shall within 20 Business Days of the date on which it is notified by the Lender of the breach, prepay the Loan in an amount sufficient to ensure compliance with clause 17.1(b).

17.4

(a) The Borrower shall within 3 Business Days of written demand pay the costs of the initial Valuation supplied under clause 4.1 and any Valuation requested in accordance with clauses 17.4(b) and 17.4(c).

(b) The Lender may request a Valuation no more than once in each three year period.

(c) Notwithstanding clause 17.4(b), the Lender may request a Valuation at any time if:

(i) a Default is outstanding; or

(ii) subject to clause 17.4(f), a Default is reasonably anticipated at the date of the request; and/or

(iii) the Borrower proposes to sell or otherwise dispose of all or any part of the Property.

(d) The Lender may call for a Valuation at any time at its own cost.

(e) The Borrower shall provide all reasonable assistance to a Valuer to enable it to carry out a Valuation.

(f) If the Lender requests a Valuation pursuant to clause 17.4(c)(ii) and the Valuation does not reveal the existence of a Default, in the event that the Lender has requested a Valuation more than once pursuant to clause 17.4(b) or 17.4(c) in the previous three years the cost of the Valuation shall be for the Lender's account.

18 General undertakings

The undertakings in this clause 18 remain in force from the date of this letter for so long as any amount is outstanding under the Finance Documents or the Facility is available for borrowing.

18.1 The Borrower will comply with all laws and regulations applicable to it if failure so to comply has or is reasonably likely to have a Material Adverse Effect.

18.2 The Borrower will not, without the prior written consent of the Lender, (whether by a single transaction or a series of related or unrelated transactions and whether at the same time or over a period of time) sell, transfer, lease or otherwise dispose of any of its Charged Assets or agree to do.

18.3

(a) The Borrower shall not create or permit to subsist any Security over any of its assets other than Permitted Security.

(b) The Borrower shall procure that its payment obligations under the Finance Documents rank at least pari passu with the claims of all other unsecured and unsubordinated creditors, except for obligations mandatorily preferred by law applying to companies generally.

18.4 The Borrower will not, without the prior written consent of the Lender (such consent not to be unreasonably withheld, delayed or conditioned) form or acquire any Subsidiary or subscribe for shares in any company.

18.5 The Borrower will not incur or permit to be outstanding any Financial Indebtedness, other than:

(a) amounts due under any Finance Document;

(b) any other Financial Indebtedness to which the Lender has given its prior written consent;

(c) Subordinated Loans;

(d) any other Financial Indebtedness which the Lender has made available to the Borrower; and

(e) other Financial Indebtedness not exceeding £5,000 in aggregate in any financial year.

18.6 The Borrower will not without the prior written consent of the Lender redesignate all or any part of any member's capital contribution as a loan.

18.7 The Borrower shall not, without the prior written consent of the Lender:

(a) grant or agree to grant any new Occupational Lease;

(b) agree to any amendment or waiver or surrender or take any action which may lead to forfeiture in respect of any existing Occupational Lease;

(c) grant any licence or right to occupy any part of the Property;

(d) (such consent not to be unreasonably withheld, delayed or conditioned where the Borrower may not unreasonably withhold its consent) consent to any assignment or subletting or sub-lease of any lessee's or tenant's interest under any Occupational Lease; or

(e) (except where required to do so under the terms of the relevant Occupational Lease) agree to any rent review in respect of any Occupational Lease.

18.8

(a) The Borrower shall not appoint any Managing Agent of the Property other than Moor Park Capital Partners LLP except with the consent of, and on terms approved by, the Lender (such consent not to be unreasonably withheld, delayed or conditioned).

(b) The Borrower shall procure that each Managing Agent shall on its appointment enter into a Duty of Care Deed and acknowledge to the Lender that it has notice of the Security created by the Security Documents and that it agrees to pay all Net Rental Income received by it into the Rent Account in cleared funds on or before each Interest Payment Date without withholding, set off or counterclaim.

(c) The Borrower shall not terminate the appointment of any Managing Agent without the consent of the Lender (such consent not to be unreasonably withheld, delayed or conditioned).

18.9 The Borrower shall not change its accounting reference period without the prior written consent of the Lender (such consent not to be unreasonably withheld, delayed or conditioned).

18.10

(a) The Borrower shall effect:

(i) insurance of its assets in accordance with paragraph 6.14 of the CML Lenders' Handbook save that the insurance shall be for the full reinstatement value of the Property which shall be deemed to be the value of that Property as specified in the most recent Valuation;

(ii) insurance against acts of terrorism; and

(iii) insurance against 3 years loss of rent,

all such insurances to be in amount and in a form and with an insurance company or underwriters acceptable to the Lender (acting reasonably).

(b) The Borrower will procure that the Lender is either joint insured or, if so agreed by the Lender, noted as mortgagee and loss payee on each such insurance policy and that every such policy shall contain:

(i) a standard mortgagee clause whereby such insurance shall not be vitiated or avoided as against a mortgagee in the event or as a result of any misrepresentation, act or neglect or failure to make disclosure on the part of the insured party or any circumstance beyond the control of the insured party; and

(ii) terms providing that it shall not be invalidated so far as the Lender is concerned for failure to pay any premium due without the insurer first giving to the Lender not less than 10 Business Days' notice.

(c) The Borrower will promptly on request supply copies of its Insurances and will notify the Lender of new policies, renewals made and material variations or cancellations of policies made or, to the knowledge of the Borrower, threatened or pending.

(d) The Borrower shall not do or permit to be done anything which may make void or voidable any of the Insurances.

(e) The Borrower shall promptly pay all premiums and do all other things necessary to keep all of the Insurances.

(f) If the Borrower fails to comply with any of the provisions of this clause 18.10, the Lender shall immediately be entitled to effect the Insurances concerned at the expense of the Borrower.

(g) Subject to clause 18.10(h), the Borrower shall apply all monies received or receivable under any Insurance (other than any insurance in respect of third party liability) towards replacing, restoring or reinstating the relevant asset. Any proceeds of insurance received by the Borrower shall, pending any such replacement, restoration or reinstatement, be credited to the Rent Account.

(h) To the extent that any Insurance and any Occupational Lease does not restrict the proceeds of insurance under that policy being used to prepay the Loan, the proceeds of insurance shall:

(i) if at the relevant time an Event of Default has occurred and is continuing; or

(ii) at any other time if the Lender requests or requires it in writing,

be used to prepay the Loan.

18.11 The Borrower shall use all reasonable endeavours to obtain as soon as practicable from each landlord under any lease pursuant to which the Borrower holds an interest in the Property, an acknowledgement addressed to the Lender confirming that such landlord will provide the Lender with 14 days' prior written notice of its intention to serve a notice under section 146 of the Law of Property Act 1925 or to take any other steps to forfeit or terminate such lease.

19 Events of Default

Each of the events or circumstances set out in this clause 19 is an Event of Default.

19.1 The Borrower does not pay on the due date any amount pursuant to a Finance Document at the place at and in the currency in which it is expressed to be payable unless its failure to pay is caused by an administrative or technical error and payment is made within 3 Business Days of its due date.

19.2 Any of the provisions in clauses 8.6, 16, 17.1(a), 17.3, 18.2, 18.3, 18.5, and 18.9 are not complied with.

19.3

(a) The Borrower does not comply with any provision of the Finance Documents (other than clause 17.1(b) and those provisions referred to in clauses 19.1 and 19.2).

(b) No Event of Default under clause 19.3(a) will occur if the failure to comply is capable of remedy and is remedied within ten Business Days of the Lender giving written notice to the Borrower or the Borrower becoming aware of the failure to comply.

19.4

(a) Any representation or statement made or deemed to be made by the Borrower in any Finance Document or any other document delivered by or on behalf of the Borrower under or in connection with any Finance Document is or proves to have been incorrect or misleading when made or deemed to be made.

(b) No Event of Default under clause 19.4(a) will occur if the failure to comply is capable of remedy and is remedied within ten Business Days of the Lender giving written notice to the Borrower or the Borrower becoming aware of the failure to comply.

19.5 Any Financial Indebtedness of the Borrower (other than any Financial Indebtedness due to the Lender other than pursuant to the Finance Documents) is not paid when due nor within any originally applicable grace period or is declared to be or otherwise becomes due and payable prior to its specified maturity as a result of an event of default (however described).

19.6 Any demand is made by a creditor in respect of any Financial Indebtedness of the Borrower (other than any Financial Indebtedness due to the Lender other than pursuant to the Finance Documents) which is incurred pursuant to an on demand facility (however described).

19.7 The Borrower is unable or admits inability to pay its debts as they fall due, suspends making payments on any of its debts or, by reason of actual or anticipated financial difficulties, commences negotiations with one or more of its creditors with a view to rescheduling any of its indebtedness (other than any Financial Indebtedness due to the Lender other than pursuant to the Finance Documents).

19.8

(a) Any corporate action, legal proceedings or other procedure or step is taken in relation to or with a view to:

(i) the suspension of payments, a moratorium of any indebtedness of the Borrower (other than any such action taken in respect of any Financial Indebtedness due to the Lender other than pursuant to the Finance Documents);

(ii) winding-up, dissolution, administration, bankruptcy or reorganisation (by way of voluntary arrangement, scheme of arrangement or otherwise) of the Borrower;

(iii) a composition, assignment or arrangement with any creditor of the Borrower (other than any such action taken in respect of any Financial Indebtedness due to the Lender other than pursuant to the Finance Documents);

(iv) the appointment of a receiver, administrative receiver, compulsory manager or other similar officer in respect of the Borrower or any of its assets (other than any such action taken in respect of any Financial Indebtedness due to the Lender other than pursuant to the Finance Documents);

(v) the appointment of a liquidator, administrator, administrative receiver or other similar officer in respect of the Borrower; or

(vi) enforcement of any Security over any assets of the Borrower (other than any such action taken in respect of any Financial Indebtedness due to the Lender other than pursuant to the Finance Documents),

or any analogous procedure or step is taken in any jurisdiction.

19.9 Any expropriation, attachment, sequestration, distress or execution affects any asset or assets of the Borrower and is not discharged within 10 Business Days (other than any such action taken in respect of any Financial Indebtedness due to the Lender other than pursuant to the Finance Documents).

19.10 Any part of the Property is destroyed or is damaged to a material extent such that, taking into account the actually recoverable or recovered proceeds of insurance effected under the Finance Documents, in the opinion of the Lender, the destruction or damage will have a Material Adverse Effect.

19.11 It is or becomes unlawful for the Borrower to perform any of its obligations under the Finance Documents.

19.12 All or any part of the Property is compulsorily purchased.

19.13 Any person, other than the Lender, commits any breach of, or omits to observe, any of the obligations expressed to be assumed by such person under the Subordination Deed.

19.14 The entire issued share capital of the Borrower ceases to be legally and beneficially owned by the Shareholder.

19.15 Any event or series of events or any circumstances whether related or not occurs or circumstances arise which has or is reasonably likely to have a Material Adverse Effect.

19.16 On and at any time after the occurrence of an Event of Default which is continuing the Lender may, by notice to the Borrower:

(a) cancel the Facility, at which time it shall immediately be cancelled; and/or

(b) declare that all or part of the Loan, together with accrued interest, and all other amounts accrued under the Finance Documents be immediately due and payable, at which time they shall become immediately due and payable; and/or

(c) declare that all or part of the Loan be payable on demand, at which time it shall immediately become payable on demand by the Lender,

and at any time thereafter the Lender may, without prejudice to its rights under the Security Documents, enforce any or all of the Security Documents.

20 Changes to the parties

20.1 The Lender may:

(a) assign any of its rights; or

(b) transfer by novation any of its rights and obligations,

under the Finance Documents to any Qualifying Lender and the Borrower shall promptly take (at the cost of the Lender) all steps necessary or desirable to facilitate any such assignment or transfer.

20.2 The Lender may disclose to any person:

(a) to (or through) whom the Lender assigns or transfers (or may potentially assign or transfer) all or any of its rights and obligations under this letter;

(b) with (or through) whom the Lender enters into (or may potentially enter into) any sub-participation in relation to, or any other transaction under which payments are to be made by reference to, this letter or the Borrower;

(c) to whom, and to the extent that, information is required to be disclosed by any applicable law or regulation; or

(d) who is an Affiliate of the Lender,

any information about the Borrower and the Finance Documents as the Lender shall consider appropriate provided that, in each case, any person to whom such information is to be given is informed in writing of its confidential nature and (except in the case of 20.2(c) above) gives an appropriate confidentiality undertaking in respect of such information.

20.3 The Borrower may not assign any of its rights or transfer any of its rights or obligations under the Finance Documents.

21 Conduct of business by the Lender

No provision of this letter will:

(a) interfere with the right of the Lender to arrange its affairs (tax or otherwise) in whatever manner it thinks fit; or

(b) oblige the Lender to disclose any information relating to its affairs (tax or otherwise) or any compensation in respect of Tax.

22 Payment mechanics

22.1 On each date on which the Borrower is required to make a payment under a Finance Document, the Borrower shall ensure that the Managing Agent makes the same available to the Lender for value on the due date.

22.2 If the Lender receives a payment that is insufficient to discharge all the amounts then due and payable by the Borrower under the Finance Documents, the Lender shall apply that payment towards the obligations of the Borrower under the Finance Documents in such order as the Lender shall determine.

22.3 All payments to be made by the Borrower under the Finance Documents shall be calculated and be made without (and free and clear of any deduction for) set off or counterclaim.

22.4

(a) Any payment which is due to be made on a day that is not a Business Day shall be made on the next Business Day in the same calendar month (if there is one) or the preceding Business Day (if there is not).

(b) During any extension of the due date for payment of any principal amount under this letter, interest is payable on that principal amount at the rate payable on the original due date.

22.5 If a change in any currency of the United Kingdom occurs, this letter will, to the extent the Lender (acting reasonably and after consultation with the Borrower) specifies to be necessary, be amended to comply with any generally accepted conventions and market practice in the relevant interbank market and otherwise to reflect the change in currency.

22.6 Set off

The Lender may set off any matured obligation due from the Borrower under the Finance Documents against any matured obligation owed by the Lender to the Borrower under the Finance Documents, regardless of the place of payment, booking branch or currency of either obligation. If the obligations are in different currencies, the Lender may convert either obligation at a market rate of exchange in its usual course of business for the purpose of the set off.

23 Security and recourse

23.1 All obligations of the Borrower to the Lender under the Finance Documents will be secured by the Security Documents.

23.2 Notwithstanding anything in this letter or in the Security Documents to the contrary the Lender acknowledges and agrees that all amounts payable or expressed to be payable by the Borrower to the Lender under, or in respect of its obligations and liabilities under, this letter and the Security Documents shall be recoverable only from and to the extent of:

(a) the Charged Assets; and

(b) any proceeds of realisation or enforcement of any such Security,

and the Borrower shall not be personally liable for such amounts (and the Lender on behalf of itself and any parties claiming through it (whether by assignment, novation, subrogation, reimbursement or otherwise) waives all rights against the Borrower personally in respect of such amounts).

24 Notices

24.1 Any communication to be made under or in connection with this letter shall be made in writing and, unless otherwise stated, may be made by fax or letter.

24.2 The address and fax number (and the department or officer, if any, for whose attention the communication is to be made) of each party for any communication or document to be made or delivered under or in connection with this letter is:

(a) in the case of the Borrower: Moor Park Capital Partners LLP

Address:	York House
	45 Seymour Street
	London
	W1H 7JT
Fax number:	+44 (0) 207 152 1153
Attention:	Graydon Butler; and

(b) in the case of the Lender:

Address: Santander UK plc
298 Deansgate
Manchester
M3 4HH

Fax number: 0161 953 3517

Attention: Commercial Property Administration Manager,

or any substitute address, fax number or department or officer as either party may notify to the other by not less than 5 Business Days' notice.

24.3

(a) Any communication or document made or delivered by one person to another under or in connection with the Finance Documents will only be effective:

(i) if by way of fax, when received in legible form; or

(ii) if by way of letter, when it has been left at the relevant address or 5 days after being deposited in the post postage prepaid in an envelope addressed to it at that address,

and, if a particular department or officer is specified as part of its address details provided under clause 24.2, if addressed to that department or officer.

(b) Any communication or document to be made or delivered to the Lender will be effective only when actually received by the Lender and then only if it is expressly marked for the attention of the department or officer identified above (or any substitute department or officer as the Lender shall specify for this purpose).

(c) Where the Borrower's registered office is outside the United Kingdom then without prejudice to any other mode of service allowed under any relevant law, it irrevocably appoints Moor Park Capital Partners LLP as its agent for service of notices and all other communications in relation to the Finance Documents (including process in relation to any proceedings before the English courts in connection with any Finance Document).

(d) If any person appointed as an agent for service is unable for any reason to act as agent the Borrower must immediately (and in any event within five days of such event taking place) appoint another agent on terms acceptable to the Lender. Failing this, the Lender may appoint another agent for this purpose.

25 Calculations and certificates

25.1 In any litigation or arbitration proceedings arising out of or in connection with a Finance Document, in the absence of manifest error, the entries made in the accounts maintained by the Lender are prima facie evidence of the matters to which they relate.

25.2 Any certification or determination by the Lender under any Finance Document is, in the absence of manifest error, conclusive evidence of the matters to which it relates.

25.3 Any interest, commission or fee accruing under a Finance Document will accrue from day to day and is calculated on the basis of the actual number of days elapsed and a year of 365 days.

26 Partial invalidity

If, at any time, any provision of the Finance Documents is or becomes illegal, invalid or unenforceable in any respect under any law of any jurisdiction, neither the legality, validity or enforceability of the remaining provisions nor the legality, validity or enforceability of such provision under the law of any other jurisdiction will in any way be affected or impaired.

27 Remedies and waivers

No failure to exercise, nor any delay in exercising, on the part of the Lender, any right or remedy available to it under the Finance Documents or otherwise shall operate as a waiver, nor shall any single or partial exercise of any right or remedy prevent any further or other exercise or the exercise of any other right or remedy. The rights and remedies provided in the Finance Documents are cumulative and not exclusive of any rights or remedies provided by law.

28 Third parties

28.1 Unless expressly provided to the contrary in this letter, a person who is not a party to this letter has no rights under the Contracts (Rights of Third Parties) Act 1999 to enforce or enjoy the benefit of any term of this letter.

28.2 The consent of any person who is not a party to this letter is not required to rescind or vary this letter or any other agreement entered into in connection with it.

29 Publicity

The Borrower agrees that the Lender may, with the prior written consent of the Borrower (such consent not to be unreasonably withheld or delayed), publicise details of the Facility.

30 Inconsistency with Security Documents

30.1 To the extent that there is any inconsistency between the terms of any Security Documents and the terms of this letter, then until such time as all liabilities and obligations of the Borrower under this letter are repaid and discharged in full, the terms of this letter shall prevail.

31 Governing law

31.1 This letter shall be governed by, and construed in accordance with, English law and all claims and disputes between the parties arising out of or in connection with this letter (whether or not contractual in nature) shall be determined in accordance with English law.

31.2 If in any court either party argues that a court other than the courts of England and Wales has jurisdiction to determine any dispute or difference between the parties arising out of or in connection with this letter that issue shall be determined in accordance with English law and each party irrevocably and unconditionally waives any right it might otherwise have to rely upon the law of the forum or any other law.

32 Submission to jurisdiction

32.1 For the benefit of the Lender, the Borrower submits to the exclusive jurisdiction of the courts of England and Wales in relation to all claims, disputes, differences or other matters arising out of or in connection with this letter provided that nothing in this clause shall prevent the Lender in its sole and unfettered discretion, from commencing proceedings against the Borrower in any court of competent jurisdiction.

32.2 The Borrower irrevocably waives any right that it may have:

(a) to object on any ground to an action being brought in the courts of England and Wales, to claim that the action brought in the courts of England and Wales has been brought in an inconvenient forum, or to claim that the courts of England and Wales do not have jurisdiction; or

(b) to oppose the enforcement of any judgment of any court of England and Wales.

33 Acceptance

33.1 The offer contained in this letter shall be open for acceptance for 20 Business Days following the date of this letter.

33.2 Please indicate your acceptance of the terms set out in this letter by signing and returning to us the enclosed copy of this letter.

Yours faithfully

/s/ Steve Rees

For and on behalf of Santander UK plc

We acknowledge receipt of the facility letter of which this is a copy. We accept the terms set out in that letter.

Signed by:	/s/ Jesse C. Galloway
	Authorised Signatory, Jesse C. Galloway
on behalf of:	ARC WKBPLUK001, LLC a Delaware limited liability company
Date:		2013

Schedule 1

Definitions and construction

Affiliate means in relation to any person, a Subsidiary of that person or a Holding Company of that person or any other Subsidiary of that Holding Company

Annual Interest Costs means, in relation to any Relevant Period, the amount determined by the Lender to be the aggregate amount of interest, commission and similar amounts payable by the Borrower under clause 8 during that Relevant Period

Annual Rent means, in relation to any Relevant Period, the amount determined by the Lender to be the aggregate Rental Income received by or on behalf of the Borrower in respect of the Property during that Relevant Period

Authorisation means an authorisation, consent, approval, resolution, licence, exemption, filing or registration

Availability Period means the period of 20 Business Days from and including the date of this letter

Business Day means a day (other than a Saturday or Sunday) on which banks are open for general business in London

Certificate of Title means a certificate prepared by the Lender's lawyers, in form and substance satisfactory to the Lender, relating to the Borrower's title to the Property

Charged Assets means the undertaking, property and assets of the Borrower which are subject to Security created by the Security Documents in favour of the Lender

CML Lenders' Handbook means the Council of Mortgage Lenders Lenders' Handbook for England and Wales for the time being, a copy of the latest edition of which is available at www.cml.org.uk

Code means the US Internal Revenue Code of 1986

Compliance Certificate means a certificate signed by a special member of the Borrower and substantially in the form set out in Schedule 3

Default means an Event of Default or any event or circumstance which would (with the expiry of a grace period, the giving of notice, the making of any determination under the Finance Documents or any combination of any of the foregoing) be an Event of Default

Duty of Care Deed means the deed executed or to be executed by each of the Borrower, the Lender and a Managing Agent

Event of Default means any event or circumstance specified as such in clause 19

Facility means the term loan facility made available under this letter as described in clause 1

FATCA means:

(a) sections 1471 to 1474 of the Code or any associated regulations or other official guidance;

(b) any treaty, law, regulation or other official guidance enacted in any other jurisdiction, or relating to an intergovernmental agreement between the US and any other jurisdiction, which (in either case) facilitates the implementation of paragraph (a) above; or

(c) any agreement pursuant to the implementation of paragraphs (a) or (b) above with the US Internal Revenue Service, the US government or any governmental or taxation authority in any other jurisdiction

FATCA Deduction means a deduction or withholding from a payment under a Finance Document required by FATCA

FATCA Exempt Party means a party that is entitled to receive payments free from any FATCA Deduction

Final Repayment Date means 5 (five) years after the Utilisation Date

Finance Document means this letter, the Subordination Deed, each Security Document, each Duty of Care Deed, each Hedging Arrangement, each Compliance Certificate and each other document designated as such by the Lender and the Borrower

Financial Indebtedness means any indebtedness for or in respect of:

(a) moneys borrowed;

(b) any amount raised pursuant to any note purchase facility or the issue of bonds, notes, debentures, loan stock or any similar instrument;

(c) the amount of any liability in respect of any lease or hire purchase contract which would, in accordance with GAAP, be treated as a finance or capital lease;

(d) receivables sold or discounted (other than any receivables to the extent they are sold on a non-recourse basis);

(e) any amount raised under any other transaction (including, without limitation, any forward sale or purchase agreement) having the commercial effect of a borrowing;

(f) any derivative transaction entered into in connection with protection against or benefit from fluctuation in any rate or price (and, when calculating the value of any derivative transaction, only the marked to market value shall be taken into account);

(g) any counter-indemnity obligation in respect of a guarantee, indemnity, bond, standby or documentary letter of credit or any other instrument issued by a bank or financial institution; and

(h) the amount of any liability in respect of any guarantee or indemnity for any of the items referred to in paragraphs (a) to (g) above

GAAP means generally accepted accounting principles in the country of incorporation of the Borrower

Hedging Arrangement means any interest rate management agreement or arrangement entered into by the Borrower to hedge its floating rate interest payment obligations under this letter

Holding Company means in relation to a company or corporation, any other company or corporation in respect of which it is a Subsidiary

Insurances means all contracts or policies of insurance in which the Borrower has an interest

Interest Payment Date means:

(a) 31 July 2013 and then quarterly thereafter; and

(b) the Final Repayment Date

Interest Period means in relation to the Loan each period determined in accordance with clause 8.2 and, in relation to any sum due and payable but unpaid by the Borrower under the Finance Documents, each period determined in accordance with clause 8.4

ITA means the Income Tax Act 2007

Legal Charge means a charge by way of legal mortgage of the Property executed or to be executed by the Borrower in favour of the Lender

Lender means Santander UK plc

LIBOR means in relation to the Loan:

(a) the applicable Screen Rate; or

(b) (if no Screen Rate is available for the currency or period of that Loan) the rate (rounded upwards to four decimal places) quoted by leading banks to the Lender in the London Interbank Market,

as of 11.00 am on the first day of an Interest Period for the offering of deposits in the currency of that Loan and for a period comparable to such Interest Period for that Loan

LIBOR Break Costs means the amount (if any) by which:

(a) the interest (excluding Margin) which the Lender should have received for the period from the date of receipt of all or any part of the Loan or Unpaid Sum to the last day of the current Interest Period in respect of the Loan or Unpaid Sum, had the principal amount or Unpaid Sum received been paid on the last day of that Interest Period

exceeds:

(b) the amount which the Lender would be able to obtain by placing an amount equal to the principal amount or Unpaid Sum received by it on deposit with a leading bank in the London Interbank Market for a period starting on the Business Day following receipt or recovery and ending on the last day of the current Interest Period,

Provided that if the LIBOR Break Costs as calculated above should be a negative figure, that figure shall be a LIBOR Break Gain

Loan means the principal amount of the borrowing by the Borrower made or to be made under the Facility or the principal amount outstanding for the time being of that borrowing

Management Agreement means the management agreement entered into between the Borrower and the Managing Agent in a form and substance satisfactory to the Lender

Managing Agent means a managing agent of the Property or other person having authority to collect the Rental Income in respect of the Property, in each case approved by the Lender (such approval not to be unreasonably withheld, delayed or conditioned)

Mandatory Cost means the cost to the Lender of compliance with the requirements of the Bank of England and/or the Financial Services Authority (or, in each case, any other authority which replaces all or any of its functions) or the requirements of the European Central Bank, calculated by the Lender and expressed as a percentage rate per annum

Margin means 2.8 per cent per annum

Market Value means the market value (as defined in the Statements of Asset Valuation Practice and Guidance Notes issued by the Royal Institution of Chartered Surveyors from time to time)

Material Adverse Effect means, in the opinion of the Lender, a material adverse effect on:

(a) the business, assets or financial condition of the Borrower; and/or

(b) the ability of the Borrower to perform any of its obligations under the Finance Documents to which it is a party; and/or

(c) the value or enforceability of the Security created by the Security Documents

Month means a period starting on one day in a calendar month and ending on the numerically corresponding day in the next calendar month, except that:

(a) (subject to paragraph (c) below) if the numerically corresponding day is not a Business Day, that period shall end on the next Business Day in that calendar month in which that period is to end if there is one, or if there is not, on the immediately preceding Business Day;

(b) if there is no numerically corresponding day in the calendar month in which that period is to end, that period shall end on the last Business Day in that calendar month; and

(c) if an Interest Period begins on the last Business Day of a calendar month, that Interest Period shall end on the last Business Day in the calendar month in which that Interest Period is to end

provided that the rules in (a), (b) and (c) above will only apply to the last Month of any period

Net Rental Income means Rental Income less amounts properly deducted by the Managing Agent in accordance with the Management Agreement, in respect of repairs, insurance, management and other professional fees in relation to the Property

Occupational Lease means any agreement for lease or for licence or any occupational lease or licence to which the Property may be subject from time to time

Permitted Security means:

(a) any Security granted in favour of the Lender;

(b) any lien arising by operation of law and in the ordinary course of trading and not as a result of any default or omission by the Borrower;

(c) any netting or set off arrangement entered into by the Borrower in the ordinary course of its banking arrangements for the purpose of netting debit and credit balances;

(d) any Security arising under any retention of title, hire purchase or conditional sale arrangement or arrangements having similar effect in respect of goods supplied to the Borrower in the ordinary course of trading and on the supplier's standard or usual terms and not arising as a result of any default or omission by the Borrower; or

(e) any Security permitted by the Lender in writing

Property means Wickes Building Supplies, Preston New Road, Blackpool, FY3 9TN and registered at the Land Registry with title number LA498569

Qualifying Lender means:

(a)             the Lender provided that it is (on the date a payment falls due) within the charge to United Kingdom corporation tax as respects that payment and is the Lender in respect of an advance made by a person that was a bank (as defined in section 879 of the ITA) at the time that advance was made; or (b) the Lender which is:

(i) a company resident in the United Kingdom for United Kingdom tax purposes;

(ii) a partnership each member of which is:

(A) a company so resident in the United Kingdom; or

(B) a company not so resident in the United Kingdom which carries on a trade in the United Kingdom through a permanent establishment and which is required to bring into account in computing its chargeable profits (within the meaning of section 11(2) of the Taxes Act) the whole of any share of interest payable in respect of that advance that falls to it by reason of sections 114 and 115 of the Taxes Act;

(iii) a company not so resident in the United Kingdom which carries on a trade in the United Kingdom through a permanent establishment and which brings into account interest payable in respect of that advance in computing the chargeable profits (for the purposes of section 11(2) of the Taxes Act) of that company; or

(c) a building society authorised under the Building Societies Act 1986 and which is entitled to receive interest payable to it under this letter without deduction of tax pursuant to section 880 of the ITA

Quarter means each consecutive three month period ending on an Interest Payment Date save that the first such period shall commence on the Utilisation Date and end on the first Interest Payment Date thereafter

Relevant Jurisdiction means, in relation to the Borrower:

(a) its jurisdiction of incorporation or (in the case of an individual) the jurisdiction in which it is resident

(b) any jurisdiction where any asset subject to or intended to be subject to the Security to be created by it pursuant to the Security Documents is situated

(c) any jurisdiction where it conducts its business and

(d) the jurisdiction whose laws govern the perfection of any of the Security Documents entered into by it

Relevant Period means:

(a) in respect of each Interest Payment Date occurring in the 12 month period from the Utilisation Date, the period from the Utilisation Date to that Interest Payment Date; and

(b) thereafter, each 12 month period ending on an Interest Payment Date

Rent Account means the account referred to in clause 9.1 and any account which replaces it from time to time with the prior written consent of the Lender

Rental Income means the aggregate of all amounts payable to, or for the benefit or account of, the Borrower in connection with the letting or permitted third party occupation or use of the whole or any part of the Property, including each of the following amounts:

(a) rent, licence fees and equivalent amounts paid or payable;

(b) any sum received or receivable from any deposit held as security for performance of a tenant's obligations;

(c) any other moneys paid or payable in respect of occupation and/or usage of the Property and any fixture and fitting on the Property including any fixture or fitting on the Property for display or advertisement, on licence or otherwise;

(d) any sum paid or payable under any policy of insurance in respect of loss of rent or interest on rent;

(e) any sum paid or payable, or the value of any consideration given, for the grant, surrender, amendment, supplement or extension of any Occupational Lease;

(f) any sum paid or payable in respect of a breach of covenant or dilapidations under any Occupational Lease;

(g) any sum paid or payable by or distribution received or receivable from any guarantor of any occupational tenant under any Occupational Lease;

(h) any Tenant Contributions; and

(i) any interest paid or payable on, and any damages, compensation or settlement paid or payable in respect of, any sum referred to above less any related fees and expenses incurred (which have not been reimbursed by another person) by the Borrower

Repeating Representations means each of the representations in clause 15.1 to clause 15.10 (inclusive)

Reports means the Certificate of Title and the initial Valuation referred to in Schedule 2 and any other third party reports and assessments referred to in paragraph 4 of Schedule 2

Reservations means:

(a) the principle that equitable remedies are remedies which may be granted or refused at the discretion of the court;

(b) the limitation of enforcement by laws relating to bankruptcy, insolvency, liquidation, reorganisation, court schemes, moratoria, administration and other laws generally affecting the rights of creditors;

(c) the time barring of claims under the Limitation Acts;

(d) the possibility that an undertaking to assume liability for or to indemnify a person against non-payment of stamp duty may be void;

(e) defences of set off or counter-claim; and

(f) similar principles and similar matters arising under the laws of any foreign jurisdictions in which the relevant obligations may have to be performed

Screen Rate means, in relation to LIBOR, the British Bankers' Association Interest Settlement Rate for Sterling and the relevant period displayed on the relevant page of the Reuters screen save that if the agreed page is replaced or the service ceases to be available, the Lender may specify another page or service displaying the appropriate rate after consultation with the Borrower

Security means a mortgage, charge, pledge, lien or other security interest securing any obligation of any person or any other agreement or arrangement having a similar effect

Security Document means the Legal Charge, the Subordination Deed and any other document which confers Security on the Lender or constitutes a guarantee, indemnity or other assurance in favour of the Lender in respect of liabilities of the Borrower in connection with the Finance Documents and any other document designated as such by the Lender and the Borrower

Shareholder means [ARC Global Holdco, LLC] (registered in the State of Delaware)

Sterling and £ means the lawful currency of the United Kingdom

Subordinated Creditor means [ARC Global Holdco, LLC] (a limited liability company incorporated in the state of Delaware)

Subordinated Loans means at any time the aggregate of any loans outstanding to the Subordinated Creditor from the Borrower

Subordination Deed means a subordination deed executed or to be executed by the Borrower and the Subordinated Creditor in favour of the Lender in connection with the Facility Letter

Subsidiary means a subsidiary undertaking within the meaning of section 1162 of the Companies Act 2006

Tax means any tax, levy, impost, duty or other charge or withholding of a similar nature (including any penalty or interest payable in connection with any failure to pay or any delay in paying any of the same)

Tax Deduction means a deduction or withholding for or on account of Tax from a payment under a Finance Document, other than a FATCA Deduction

Taxes Act means the Income and Corporation Taxes Act 1988

Tenant Contributions means any amount paid or payable to the Borrower by any tenant under an Occupational Lease or any other occupier of the Property, by way of:

(a) contribution to:

(i) ground rent;

(ii) insurance premia;

(iii) the cost of an insurance valuation;

(iv) a service or other charge in respect of the Borrower's costs in connection with any management, repair, maintenance or similar obligation or in providing services to a tenant of, or with respect to, the Property; or

(v) a reserve or sinking fund; or

(b) VAT

Utilisation Date means the date on which the Loan is, or is to be, made

Valuation means a valuation report by the Valuer addressed to the Lender, containing in particular a valuation of the Property on the basis of the market value in accordance with the Statements of Asset Valuation Practice and Guidance Notes issued by the Royal Institution of Chartered Surveyors from time to time

Valuer means Jones Lang LaSalle or such other surveyor or valuer as may be appointed or approved by the Lender from time to time

VAT means value added tax as provided for in the Value Added Tax Act 1994 and any other tax of a similar nature which may be imposed from time to time

Construction

1 Any reference in this letter to:

1.1 assets includes present and future property, revenues and rights of every description;

1.2 this letter, a Finance Document or any other agreement or instrument is a reference to this letter, that Finance Document or that other agreement or instrument as the same may have been, or may from time to time be, amended, novated, replaced, restated, supplemented or varied provided that, where the consent of the Lender is required pursuant to any Finance Document or otherwise to such amendment, novation, replacement, restatement, supplement or variation, such consent has been obtained;

1.3 indebtedness includes any obligation (whether incurred as principal or as surety) for the payment or repayment of money, whether present or future, actual or contingent;

1.4 a guarantee includes any guarantee, indemnity, counter indemnity or other assurance in respect of the indebtedness of any person;

1.5 a person includes any person, firm, company, corporation, government, state or agency of a state or any association, trust or partnership (whether or not having separate legal personality) or two or more of the foregoing;

1.6 a regulation includes any regulation, rule, official directive, request or guideline (whether or not having the force of the law) of any governmental, intergovernmental or supranational body, agency, department or regulatory, self-regulatory or other authority or organisation;

1.7 a reference to determines or determined means a determination made in the absolute discretion of the person making the determination;

1.8 a provision of law is a reference to that provision as amended or re-enacted;

1.9 any provision in the CML Lenders' Handbook shall be treated (where and when applicable) as being a reference to the corresponding provision (or provisions) that most nearly corresponds to it in any amendment to or replacement of the CML Lenders' Handbook as at the date of this letter;

1.10 a clause number is to a clause in this letter and a reference to a paragraph number is to a paragraph of the relevant schedule in which that reference appears, unless specified otherwise; and

1.11 the masculine shall include the feminine.

2 Clause and schedule headings are for ease of reference only.

3 A Default is continuing if it has not been remedied or waived.

4 A reference in this letter to any person includes that person's successors and (in the case of the Lender only) its permitted assignees and transferees.

Schedule 2

Conditions precedent

1 The Borrower

1.1 A copy of the constitutional documents of the Borrower.

1.2 A copy of a resolution of the board of directors of the Borrower approving the Finance Documents to which it is a party and authorising their execution.

1.3 A specimen of the signature by each person authorised by the resolutions referred to in paragraph 1.2 above.

2 Financial Information

2.1 A copy of the most recent financial statements of any material tenant of the Property.

2.2 Evidence and details of funding (if any) in respect of the balance of the purchase price of the Property provided other than under this letter.

2.3 Written confirmation addressed to the Lender from the Borrower's solicitors that they are holding £1,946,500 (being the balance of the purchase price for the Property) and that immediately on utilisation of the Facility they will apply such sum and the Loan immediately in completion of the purchase of the Property.

3 Insurance

Evidence of the extent and level of insurance cover in force (including the extent and level of insurance cover in respect of acts of terrorism), that the insurance accords with the terms of this letter and the Legal Charge and that the Lender is either joint insured or noted on each relevant policy as mortgagee and loss payee.

4 Valuation

The initial Valuation in a form and substance satisfactory to the Lender confirming that:

(a) the maximum amount of the Facility (as shown in clause 1) does not exceed 50% of the Market Value; and

(b) the Annual Rent for the 12 months immediately following the Utilisation Date is not less than 200% of Annual Interest Costs for such period.

5 Property

5.1 A Certificate of Title in respect of the Property.

5.2 An undertaking from the Borrower's solicitors in relation to the payment of SDLT, the title deeds to the Property, the Occupational Lease and registration of the Security Documents and the form RX1 at the Land Registry.

5.3 A completed Land Registry application form RX1.

5.4 An effective discharge of all Security affecting the Property and all other Security affecting any other assets the subject of the Security Documents.

5.5 If applicable, a copy of the completion statement prepared by the vendor's solicitors.

5.6 In respect of each subsisting Occupational Lease:

(a) a rental authority letter from the vendor of the Property addressed to the tenant(s); and

(b) copy rent receipts or other evidence of receipt of rent by the vendor of the Property.

5.7 A copy of all consents (if any) required for the transfer of the Property to the Borrower and the charging of the Property by the Borrower.

5.8 Confirmation from the Valuer that it has received the Certificate of Title and specifying any resulting alteration to the initial Valuation.

5.9 A copy of the Inland Revenue land transaction return in connection with the Property signed by the Borrower.

6 Rent Account

Evidence that the Rent Account has been opened.

7 Finance Documents

7.1 A duly completed notice in accordance with clause 5.

7.2 This letter accepted by the Borrower.

7.3 The Legal Charge executed by the Borrower.

7.4 Hedging arrangements in accordance with clause 8.6.

7.5 The Subordination Deed executed by the parties thereto.

8 Managing Agent

8.1 The Management Agreement executed by Moor Park Capital Partners LLP and the Borrower.

8.2 Evidence of the Managing Agent's professional indemnity insurance cover.

8.3 The Duty of Care Deed executed by the Managing Agent, the Lender and the Borrower.

9 Legal opinions

The following legal opinions, each addressed to the Lender a legal opinion of Proskauer Rose LLP, legal advisers to the Lender as to Delaware law in substantially in the form provided to the Lender prior to execution and delivery of this letter.

10 Miscellaneous

10.1 Evidence that Moor Park Capital Partners LLP has accepted its appointment as process agent for the Borrower.

10.2 Evidence that all relevant fees, costs and expenses pursuant to clauses 10 and 14.1(a) have been paid or will be paid on the Utilisation Date.

10.3 A copy of any Authorisation or other document, opinion or assurance which the Lender considers to be necessary or desirable in connection with the entry into and performance of, and the transactions contemplated by, any Finance Document or for the validity and enforceability of any Finance Document.

10.4 A copy of the Borrower's VAT registration certificate and evidence that it has elected to waive the exemption in relation to the Property and that that election has been acknowledged by HM Revenue & Customs.

10.5 Such information and documentation as the Lender may require in order to comply with its "know your customer" procedures.

Schedule 3

Form of Compliance Certificate

To:	Santander UK plc
From:	ARC WKBPLUK001, LLC

Dated:

Dear Sirs

ARC WKBPLUK001, LLC – Facility Letter dated ¨ 2013 (Facility Letter)

1 We/I refer to the Facility Letter. This is a Compliance Certificate. Terms defined in the Facility Letter have the same meaning when used in this Compliance Certificate unless given a different meaning in this Compliance Certificate.

2 We/I confirm that:

(a) in respect of the period commencing on ¨ and ending on ¨ (being the most recent Interest Payment Date) Annual Rent is not less than 200 per cent of Annual Interest Costs; and

(b) as at ¨ (being the most recent Interest Payment Date), the Loan is not greater than 60 per cent of the Market Value of the Property.

3 We confirm that no Default is continuing.

Signed:
	Authorised Signatory of
	ARC WKBPLUK001, LLC

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO RULE 13a-14(a) AND 15d-14(a) UNDER

THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED

I, Nicholas S. Schorsch, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of American Realty Capital Global Trust, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated this 10th day of May, 2013	/s/ Nicholas S. Schorsch
	Nicholas S. Schorsch
	Chief Executive Officer and Chairman of the Board of Directors
	(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION PURSUANT TO RULE 13a-14(a) AND 15d-14(a) UNDER

THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED

I, Brian S. Block, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of American Realty Capital Global Trust, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated this 10th day of May, 2013	/s/ Brian S. Block
	Brian S. Block
	Executive Vice President and Chief Financial Officer
	(Principal Financial Officer)

EX-32

Exhibit 32

SECTION 1350 CERTIFICATIONS

This Certificate is being delivered pursuant to the requirements of Section 1350 of Chapter 63 (Mail Fraud) of Title 18 (Crimes and Criminal Procedures) of the United States Code, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed for purposes of Section 18 of the Securities Act of 1934, as amended.

The undersigned, who are the Chief Executive Officer and Chief Financial Officer of American Realty Capital Global Trust, Inc. (the “Company”), each hereby certify as follows:

The quarterly report on Form 10-Q of the Company, which accompanies this Certificate, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, and all information contained in this quarterly report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated this 10th day of May, 2013

/s/ Nicholas S. Schorsch

Nicholas S. Schorsch

Chief Executive Officer and Chairman of the

Board of Directors

(Principal Executive Officer)

/s/ Brian S. Block

Brian S. Block

Executive Vice President and Chief Financial Officer

(Principal Financial Officer)

XML

Common Stock (Narrative)(Details) (USD $) In Thousands, except Share data, unless otherwise specified	0 Months Ended	3 Months Ended		18 Months Ended	21 Months Ended
	Oct. 05, 2012	Mar. 31, 2013	Mar. 31, 2012	Dec. 31, 2012	Mar. 31, 2013
Common Stock [Abstract]
Common stock, outstanding		1,028,161		256,500	1,028,161
Proceeds from issuance of common stock		$ 7,239	$ 0	$ 2,200	$ 9,900
Common Stock, Dividends, Per Share Per Day, Declared	$ 0.0019452055

XML

Derivative and Hedging Activities (Details) (Cash Flow Hedging [Member], Interest Rate Swap [Member], Designated as Hedging Instrument [Member], USD $)		3 Months Ended
	Dec. 31, 2012	Mar. 31, 2013 Interest Expense [Member]
Derivative [Line Items]
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimate of Time to Transfer		12 months
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred		$ 8,000
Assets Needed for Immediate Settlement, Aggregate Fair Value	$ 0

XML

Related Party Transactions and Arrangements (Tables)

3 Months Ended

Mar. 31, 2013

Related Party Transactions and Arrangements [Abstract]

Schedule of Selling Commissions and Dealer Manager Fees Payable to Affiliate [Table Text Block]

The following table details total selling commissions and dealer manager fees incurred from and payable to the Dealer Manager related to the sale of common stock as of and for the periods presented:

					Payable as of
	Three Months Ended March 31,				March 31,		December 31,
(In thousands)	2013		2012		2013		2012
Total commissions and fees from Dealer Manager	$	763	$	—	$	20	$	—

Schedule Of Offering Costs Reimbursements to Related Party [Table Text Block]

The following table details fees and offering cost reimbursements incurred from and payable to the Advisor and Dealer Manager related to the sale of common stock as of and for the periods presented:

					Payable as of
	Three Months Ended March 31,				March 31,		December 31,
(In thousands)	2013		2012		2013		2012
Fees and expense reimbursements from the Advisor and Dealer Manager	$	229	$	—	$	1,148	$	930

Schedule of Amount Contractually Due and Forgiven in Connection With Operation Related Services [Table Text Block]

The following table reflects related party fees incurred, forgiven and contractually due as of and for the periods presented:

	Three Months Ended				Three Months Ended				Payable as of
	March 31, 2013				March 31, 2012				March 31,		December 31,
(In thousands)	Incurred		Forgiven		Incurred		Forgiven		2013		2012
Ongoing fees:
Property management and leasing fees	$	—	$	1	$	—	$	—	$	—	$	1
Strategic advisory fees	36		—		—		—		36		—
Total related party operational fees and reimbursements	$	36	$	1	$	—	$	—	$	36	$	1

Schedule of General and Administrative Expenses Absorbed by Affiliate [Table Text Block]

The following table details property operating and general and administrative expenses absorbed by the Advisor during the three months ended March 31, 2013 and 2012:

	Three Months Ended March 31,
(In thousands)	2013		2012
Property operating expenses absorbed	$	4	$	—
General and administrative expenses absorbed	153		—
Total expenses absorbed (1)	$	157	$	—

______________________

(1) The Company had a receivable from the Advisor related to absorbed costs of $0.2 million and $0.1 million as of March 31, 2013 and December 31, 2012, respectively.

XML

Share-Based Compensation (Details) (USD $)	3 Months Ended			3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013 Stock Option Plan [Member] Stock Options [Member]	Mar. 31, 2013 Director Stock Plan [Member] Restricted Stock [Member]	Mar. 31, 2013 Restricted Share Plan [Member] Restricted Stock [Member]	Dec. 31, 2012 Restricted Share Plan [Member] Restricted Stock [Member]	Mar. 31, 2013 Contract Purchase Price [Member] Maximum [Member] Restricted Share Plan [Member] Restricted Stock [Member]	Mar. 31, 2013 Average Invested Assets [Member] Maximum [Member] Restricted Share Plan [Member] Restricted Stock [Member]	Mar. 31, 2013 Net Income, Excluding Additions to Non-cash Reserves and Gains on Sales of Assets [Member] Maximum [Member] Restricted Share Plan [Member] Restricted Stock [Member]	Mar. 31, 2013 Disposition Fees [Member] Maximum [Member] Restricted Share Plan [Member] Restricted Stock [Member]	Mar. 31, 2013 Net Sale Proceeds, after Return of Capital Contributions and Annual Targeted Investor Return [Member] Maximum [Member] Restricted Share Plan [Member] Restricted Stock [Member]	Mar. 31, 2013 Pre-tax Non-compounded Return on Capital Contribution [Member] Maximum [Member] Restricted Share Plan [Member] Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share Price			$ 9.00
Number of shares authorized, in shares			500,000		7,500,000
Shares issued					9,000	9,000
Shares granted automatically upon election to board of directors, in shares					3,000
Restricted share vesting period				5 years
Periodic vesting percentage					20.00%
Fair Value of Restricted Share Grants							6.00%	2.00%	25.00%	3.00%	15.00%	6.00%
Maximum authorized amount as a percentage of shares authorized					5.00%
Fair value at grant date					$ 9.00	$ 9.00
Share-based compensation	$ 4,000	$ 0			$ 4,000

XML

Derivative and Hedging Activities Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance (Details) (Interest Rate Swap [Member], Cash Flow Hedging [Member], USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain recognized in accumulated other comprehensive loss from derivatives (effective portion)	$ 106
Amount of gain (loss) recognized in income on derivative instruments (ineffective portion and amount excluded from effectiveness testing)	0
Interest Expense [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of loss reclassified from accumulated other comprehensive income into income as interest expense (effective portion)	$ (2)

XML

Real Estate Investments

3 Months Ended

Mar. 31, 2013

Real Estate [Abstract]

Real Estate Investments

Real Estate Investments

The Company acquires and operates commercial properties. All such properties may be acquired and operated by the Company alone or jointly with another party. The Company owned one property as of March 31, 2013, located in Carlisle, United Kingdom. This property was acquired in October 2012 for a base purchase price of $2.6 million, based on the exchange rate at the time of purchase. There were no assets acquired during the three months ended March 31, 2013.

The following presents future minimum base rental cash payments due to the Company over the next five years and thereafter as of March 31, 2013. These amounts exclude contingent rent payments, as applicable, that may be collected from certain tenants based on provisions related to sales thresholds and increases in annual rent based on exceeding certain economic indexes among other items.

(In thousands)	Future Minimum Base Rent Payments
April 1, 2013 — December 31, 2013	$	160
2014	213
2015	213
2016	213
2017	213
Thereafter	1,325
	$	2,337

The following table lists the tenant whose annualized rental income on a straight-line basis represented all of the Company's annualized rental income on a straight-line basis as of March 31, 2013. The Company did not own any properties at March 31, 2012: 

	March 31,
Tenant	2013
McDonald's Property Company Limited	100.0%

The termination, delinquency or non-renewal of leases by the above tenant may have a material adverse effect on revenues.

XML

Net Loss Per Share (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Dec. 31, 2011
Earnings Per Share, Basic and Diluted, by Common Class, Including Two Class Method [Line Items]
Net loss	$ (2)	$ (1)	$ (1)
Basic and diluted weighted average shares outstanding	439,097	22,222
Basic and diluted net loss per share	$ 0.00
Restricted Stock [Member]
Earnings Per Share, Basic and Diluted, by Common Class, Including Two Class Method [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	9,000
OP Units [Member]
Earnings Per Share, Basic and Diluted, by Common Class, Including Two Class Method [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	22	22

XML

Real Estate Investments (Details) (USD $)	3 Months Ended
	Mar. 31, 2013
Revenue from External Customer [Line Items]
Number of Real Estate Properties	1
Base purchase price of properties acquired	2,600,000
April 1, 2013 — December 31, 2013	160,000
2014	213,000
2015	213,000
2016	213,000
2017	213,000
Thereafter	1,325,000
Total	2,337,000
McDonald's Property Company Limited [Member]
Revenue from External Customer [Line Items]
Entity-Wide Revenue, Major Customer, Percentage	100.00%

XML

Organization (Details) (USD $)	3 Months Ended		18 Months Ended	21 Months Ended					21 Months Ended		21 Months Ended			21 Months Ended
	Mar. 31, 2013 property sqft	Mar. 31, 2012	Dec. 31, 2012	Mar. 31, 2013 property sqft	Apr. 20, 2012	Mar. 31, 2013 Common stock	Oct. 05, 2012 Common stock	Apr. 20, 2012 Common stock	Mar. 31, 2013 Common stock	Mar. 31, 2013 American Realty Capital Global Special Limited Partner, LLC [Member]	Mar. 31, 2013 Minimum [Member]	Mar. 31, 2013 Minimum [Member] Common stock	Apr. 20, 2012 Minimum [Member] Common stock	Mar. 31, 2013 Unaffiliated Third Party Property Management Services [Member] Europe [Member] Maximum [Member]	Mar. 31, 2013 All Other Regions, Excluding the United States [Member]	Mar. 31, 2013 Europe [Member]
Operations [Line Items]
Common stock, authorized	300,000,000		300,000,000	300,000,000	150,000,000
Common stock, par value, in dollars per share	$ 0.01		$ 0.01	$ 0.01	$ 0.01
Share Price						$ 10.00	$ 10.00	$ 10.00
Shares available for issuance under a distribution reinvestment plan, shares								25,000,000
Initial Public Offering, Subscriptions Required To Break Escrow, Minimum				$ 2,000,000
Common stock, outstanding	1,028,161		256,500	1,028,161
Proceeds from issuance of common stock	7,239,000	0	2,200,000	9,900,000					9,869,000
Common Stock, Value, Outstanding	10,200,000			10,200,000
Share Price, Dividend Reinvestment Plan												$ 9.50	$ 9.50
Payments to Acquire Real Estate											1,200,000,000
Share Price, Dividend Reinvestment Plan, Percentage of Estimated Value of Common Stock													95.00%
Portfolio Strategy, Target Geographic Mix, Percentage of Portfolio Investments															10.00%	40.00%
Number of Real Estate Properties	1			1
Area of Real Estate Property	9,094			9,094
Real Estate Property, Occupancy Rate	100.00%			100.00%
Real Estate Property, Weighted Average Remaining Lease Term	11 years 0 months 0 days
Limited Partners' Contributed Capital										$ 200
Units of limited partner interest in OP held by The Advisor	22			22
Property Management Fee, Percent Fee														50.00%

XML

Subsequent Events (Details) (USD $)	0 Months Ended	3 Months Ended		18 Months Ended	21 Months Ended	22 Months Ended	0 Months Ended		21 Months Ended	22 Months Ended	1 Months Ended
	May 03, 2013	Mar. 31, 2013 sqft	Mar. 31, 2012	Dec. 31, 2012	Mar. 31, 2013 sqft	Apr. 30, 2013 Subsequent Event [Member]	May 03, 2013 Subsequent Event [Member] Wickes Building Supplies [Member] sqft	May 03, 2013 Subsequent Event [Member] Mortgages [Member] Wickes Building Supplies [Member]	Mar. 31, 2013 Common Stock [Member]	Apr. 30, 2013 Common Stock [Member] Subsequent Event [Member]	Apr. 30, 2013 Issuance of Equity [Member] Common Stock [Member] Subsequent Event [Member]
Subsequent Event [Line Items]
Base purchase price of properties acquired		$ 2,600,000			$ 2,600,000		$ 6,100,000
Annualized Rental Income or Annualized Net Operating Income							500,000
Frequency of Market Rental Adjustment, In Years	5 years
Initial Lease Term							25 years
Real Estate Property, Weighted Average Remaining Lease Term		11 years 0 months 0 days					11 years 4 months 24 days
Common stock, outstanding		1,028,161		256,500	1,028,161	1,900,000
Proceeds from issuance of common stock		7,239,000	0	2,200,000	9,900,000	18,700,000			9,869,000	18,707,000	8,838,000
Common Stock, Value, Outstanding		10,200,000			10,200,000	19,100,000
Share Price						$ 10.00
Share Price, Dividend Reinvestment Plan						$ 9.50
Mortgage notes payable		$ 1,155,000		$ 1,228,000	$ 1,155,000			$ 3,000,000
Effective Interest Rate								3.675%
Area of Real Estate Property		9,094			9,094		29,679
Real Estate Property, Occupancy Rate		100.00%			100.00%		100.00%

XML

Mortgage Note Payable (Details) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Debt Instrument [Line Items]
Mortgage notes payable	$ 1,155	$ 1,228
Mortgages [Member]
Debt Instrument [Line Items]
Number of Real Estate Properties, Encumbered		1
April 1, 2013 — December 31, 2013		0
2014		0
2015		0
2016		0
2017		1,155
Thereafter		0
McDonalds [Member] | Mortgages [Member]
Debt Instrument [Line Items]
Mortgage notes payable	$ 1,155	$ 1,228
Effective Interest Rate		4.10%	[1]

[1] (1) Fixed as a result of entering into a swap agreement.

XML

Fair Value of Financial Instruments Fair Value Measurement, Recurring and Nonrecurring (Details) (Fair Value, Measurements, Recurring [Member], USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Interest Rate Swap [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Financial Instruments, Liabilities, Fair Value Disclosure	$ 0	$ 0
Interest Rate Swap [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Financial Instruments, Liabilities, Fair Value Disclosure	(22)	(20)
Interest Rate Swap [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Financial Instruments, Liabilities, Fair Value Disclosure	0	0
Interest Rate Swap [Member] | Estimate of Fair Value, Fair Value Disclosure [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Financial Instruments, Liabilities, Fair Value Disclosure	(22)	(20)
Currency Swap [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Foreign Currency Contracts, Liability, Fair Value Disclosure		0
Foreign Currency Contract, Asset, Fair Value Disclosure	0
Currency Swap [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Foreign Currency Contracts, Liability, Fair Value Disclosure		(33)
Foreign Currency Contract, Asset, Fair Value Disclosure	73
Currency Swap [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Foreign Currency Contracts, Liability, Fair Value Disclosure		0
Foreign Currency Contract, Asset, Fair Value Disclosure	0
Currency Swap [Member] | Estimate of Fair Value, Fair Value Disclosure [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Foreign Currency Contracts, Liability, Fair Value Disclosure		(33)
Foreign Currency Contract, Asset, Fair Value Disclosure	$ 73

XML

Summary of Significant Accounting Policies

3 Months Ended

Mar. 31, 2013

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

The accompanying consolidated financial statements of the Company included herein were prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and with the instructions to this Quarterly Report on Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The information furnished includes all adjustments and accruals of a normal recurring nature, which, in the opinion of management, are necessary for a fair presentation of results for the interim periods. All intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the three months ended March 31, 2013 are not necessarily indicative of the results for the entire year or any subsequent interim period.

These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto as of December 31, 2012, and for the year ended December 31, 2012, which are included in the Company's Annual Report on Form 10-K filed with the SEC on March 11, 2013. There have been no significant changes to the Company's significant accounting policies during the three months ended March 31, 2013 other than the updates described below.

Recently Issued Accounting Pronouncements

In December 2011, the Financial Accounting Standards Board ("FASB") issued guidance regarding disclosures about offsetting assets and liabilities, which requires entities to disclose information about offsetting and related arrangements to enable users of its financial statements to understand the effect of those arrangements on its financial position. The guidance is effective for fiscal years and interim periods beginning on or after January 1, 2013 with retrospective application for all comparative periods presented. The adoption of this guidance, which is related to disclosure only, did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In July 2012, the FASB issued revised guidance intended to simplify how an entity tests indefinite-lived intangible assets for impairment. The amendments will allow an entity first to assess qualitative factors to determine whether it is necessary to perform a quantitative impairment test. An entity will no longer be required to calculate the fair value of an indefinite-lived intangible asset and perform the quantitative test unless the entity determines, based on a qualitative assessment, that it is more likely than not that its fair value is less than its carrying amount. The amendments are effective for annual and interim indefinite-lived intangible asset impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption is permitted. The adoption of this guidance did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In February 2013, the FASB issued guidance which requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. The guidance is effective for annual and interim periods beginning after December 15, 2012 with early adoption permitted. The adoption of this guidance, which is related to disclosure only, did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In February 2013, the FASB issued new accounting guidance clarifying the accounting and disclosure requirements for obligations resulting from joint and several liability arrangements for which the total amount under the arrangement is fixed at the reporting date. The new guidance is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. The Company does not expect the adoption of this guidance to have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In March 2013, the FASB issued new accounting guidance clarifying the accounting for the release of cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity.  The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. The Company does not expect the adoption of this guidance to have a material impact on the Company's consolidated financial position, results of operations or cash flows.

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Fair Value of Financial Instruments Fair Value by Balance Sheet Grouping (Details) (Fair Value, Inputs, Level 3 [Member], Mortgages [Member], USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Carrying (Reported) Amount, Fair Value Disclosure [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Debt Instrument, Fair Value Disclosure	$ 1,155	$ 0
Estimate of Fair Value, Fair Value Disclosure [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Debt Instrument, Fair Value Disclosure	$ 1,155	$ 0

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Common Stock (Schedule of Stock by Class) (Details) (USD $) In Thousands, except Share data, unless otherwise specified	0 Months Ended	3 Months Ended		18 Months Ended	21 Months Ended
	Oct. 05, 2012	Mar. 31, 2013	Mar. 31, 2012	Dec. 31, 2012	Mar. 31, 2013	Mar. 31, 2013 Common Stock [Member]	Oct. 05, 2012 Common Stock [Member]	Apr. 20, 2012 Common Stock [Member]
Class of Stock [Line Items]
Common stock, outstanding		1,028,161		256,500	1,028,161
Proceeds from issuance of common stock		$ 7,239	$ 0	$ 2,200	$ 9,900
Common Stock, Dividends, Per Share Per Day, Declared	$ 0.0019452055
Share Price						$ 10.00	$ 10.00	$ 10.00

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CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Real estate investments, at cost:
Land	$ 488	$ 519
Buildings, fixtures and improvements	1,138	1,210
Acquired intangible lease assets	805	856
Total real estate investments, at cost	2,431	2,585
Less accumulated depreciation and amortization	(70)	(30)
Total real estate investments, net	2,361	2,555
Cash	6,359	262
Derivative, at fair value	73	0
Receivable for sale of common stock	396	0
Prepaid expenses and other assets	28	76
Deferred costs, net	32	40
Total assets	9,249	2,933
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
Mortgage notes payable	1,155	1,228
Derivatives, at fair value	22	53
Accounts payable and accrued expenses	2,465	2,433
Deferred rent and other liabilities	49	0
Distributions payable	46	15
Total liabilities	3,737	3,729
Preferred stock, $0.01 par value, 50,000,000 authorized, none issued and outstanding	0	0
Common stock, $0.01 par value, 300,000,000 shares authorized, 1,028,161 and 256,500 shares issued and outstanding at March 31, 2013 and December 31, 2012, respectively	10	3
Additional paid-in capital	6,048	(311)
Accumulated other comprehensive loss	(19)	(43)
Accumulated deficit	(527)	(445)
Total stockholders' equity (deficit)	5,512	(796)
Total liabilities and stockholders' equity (deficit)	$ 9,249	$ 2,933

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CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Cash flows from operating activities:
Net loss	$ (2)	$ (1)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation	17	0
Amortization of intangibles	13	0
Amortization of deferred financing costs	2	0
Amortization of above market lease	12	0
Share-based compensation	4	0
Changes in assets and liabilities:
Prepaid expenses and other assets	(48)	0
Accounts payable and accrued expenses	63	(16)
Deferred rent	49	0
Net cash provided by (used in) operating activities	206	(17)
Cash flows from financing activities:
Proceeds from issuance of common stock	7,239	0
Payments of offering costs	(1,144)	(117)
Distributions paid	(46)	0
Due to affiliates, net	(157)	134
Net cash provided by financing activities	5,892	17
Net change in cash	6,098	0
Effect of exchange rate changes on cash	(1)	0
Cash, beginning of period	262	0
Cash, beginning of period	6,359	0
Supplemental Disclosures
Cash paid for interest	12	0
Non-Cash Financing Activities
Common stock issued through distribution reinvestment plan	$ 3	$ 0

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Derivative and Hedging Activities Schedule of Foreign Currency Derivatives (Details) (Swap [Member], Designated as Hedging Instrument [Member], USD $) In Thousands, unless otherwise specified	Mar. 31, 2013 derivative		Dec. 31, 2012 derivative
Cash Flow Hedging [Member]
Schedule of Foreign Currency Swaps [Line Items]
Number of Interest Rate Derivatives Held	1	[1]	1	[1]
Currency Swap [Member]
Schedule of Foreign Currency Swaps [Line Items]
Notional Amount of Interest Rate Derivatives	1,277	[1]	1,357	[1]

[1] Payments and obligations pursuant to this foreign currency swap agreement are guaranteed by AR Capital, LLC, the entity that wholly owns the Sponsor.

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Mortgage Note Payable (Tables)

3 Months Ended

Mar. 31, 2013

Mortgage Note Payable [Abstract]

Schedule of Long-term Debt Instruments

The Company's mortgage note payable as of March 31, 2013 and December 31, 2012 consists of the following:

	Encumbered Properties	Outstanding Loan Amount				Effective Interest Rate		Interest Rate
Portfolio		March 31, 2013		December 31, 2012					Maturity
		(In thousands)		(In thousands)
McDonald's	1	$	1,155	$	1,228	4.1%	(1)	Fixed	Oct. 2017

____________________

(1) Fixed as a result of entering into a swap agreement.

Schedule of Maturities of Long-term Debt

The following table summarizes the scheduled aggregate principal payments subsequent to March 31, 2013:

(In thousands)	Future Principal Payments
April 1, 2013 — December 31, 2013	$	—
2014	—
2015	—
2016	—
2017	1,155
Thereafter	—
	$	1,155

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Derivative and Hedging Activities Schedule of Derivatives in Statement of Financial Position (Details) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Interest Rate Swap [Member] | Swap [Member] | Designated as Hedging Instrument [Member] | Derivative Financial Instruments, Liabilities [Member]
Derivatives, Fair Value [Line Items]
Interest Rate Derivative Liabilities, at Fair Value	$ (22,000)	$ (20,000)
Currency Swap [Member] | Fair Value, Inputs, Level 2 [Member] | Swap [Member] | Designated as Hedging Instrument [Member] | Derivative Financial Instruments, Assets [Member]
Derivatives, Fair Value [Line Items]
Foreign Currency Derivative Assets at Fair Value	73,000	0
Currency Swap [Member] | Fair Value, Inputs, Level 2 [Member] | Swap [Member] | Designated as Hedging Instrument [Member] | Derivative Financial Instruments, Liabilities [Member]
Derivatives, Fair Value [Line Items]
Foreign Currency Derivative Liabilities at Fair Value	0	(33,000)
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Derivative Financial Instruments, Liabilities [Member]
Derivatives, Fair Value [Line Items]
Interest Rate Derivative Liabilities, at Fair Value		0
Cash Flow Hedging [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member]
Derivatives, Fair Value [Line Items]
Assets Needed for Immediate Settlement, Aggregate Fair Value		0
Currency Swap [Member]
Derivatives, Fair Value [Line Items]
Foreign Currency Derivative Assets at Fair Value	73,000
Foreign Currency Derivative Liabilities at Fair Value		(33,000)
Currency Swap [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Derivatives, Fair Value [Line Items]
Foreign Currency Contract, Asset, Fair Value Disclosure	73,000
Foreign Currency Contracts, Liability, Fair Value Disclosure		(33,000)
Interest Rate Swap [Member]
Derivatives, Fair Value [Line Items]
Interest Rate Derivative Liabilities, at Fair Value	(22,000)	(20,000)
Interest Rate Swap [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Derivatives, Fair Value [Line Items]
Derivative Financial Instruments, Liabilities, Fair Value Disclosure	$ (22,000)	$ (20,000)

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Derivative and Hedging Activities (Tables)

3 Months Ended

Mar. 31, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Offsetting Liabilities [Table Text Block]

Offsetting Derivatives Disclosure

The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company's derivatives as of March 31, 2013 and December 31, 2012. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the accompanying consolidated balance sheets.

(In thousands)	Derivative Assets				Derivative Liabilities
Derivatives	March 31, 2013		December 31, 2012		March 31, 2013			December 31, 2012
Interest rate swap	$	—	$	—	$	(22	)	$	(20	)
Foreign currency swap	73		—		—			(33		)
Total derivatives, fair value	$	73	$	—	$	(22	)	$	(53	)

The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company's derivatives as of March 31, 2013 and December 31, 2012. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the accompanying consolidated balance sheets.

(In thousands)	Derivative Assets				Derivative Liabilities
Derivatives	March 31, 2013		December 31, 2012		March 31, 2013			December 31, 2012
Interest rate swap	$	—	$	—	$	(22	)	$	(20	)
Foreign currency swap	73		—		—			(33		)
Total derivatives, fair value	$	73	$	—	$	(22	)	$	(53	)

Schedule of Interest Rate Derivatives

As of March 31, 2013 and December 31, 2012, the Company had the following outstanding interest rate derivative that was designated as a cash flow hedge of interest rate risk:

	March 31, 2013			December 31, 2012
Derivative	Number of Instruments	Notional Amount		Number of Instruments	Notional Amount
		(In thousands)			(In thousands)
Interest rate swap	1	$	1,155	1	$	1,228

Schedule of Derivative Instruments

As of March 31, 2013 and December 31, 2012 the Company had the following outstanding foreign currency derivatives that were used to hedge its net investments in foreign operations:

	March 31, 2013			December 31, 2012
Derivative	Number of Instruments	Notional Amount		Number of Instruments	Notional Amount
		(In thousands)			(In thousands)
Foreign currency swap (1)	1	$	1,277	1	$	1,357

____________________________________

(1) Payments and obligations pursuant to this foreign currency swap agreement are guaranteed by AR Capital, LLC, the entity that wholly owns the Sponsor.

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The table below presents the fair value of the Company's derivative financial instruments as well as their classification on the balance sheets:

(In thousands)	Balance Sheet Location	March 31, 2013			December 31, 2012
Derivatives designated as hedging instruments:
Foreign currency swap	Derivatives asset, at fair value	$	73		$	—
Interest rate swap	Derivatives liability, at fair value	$	(22	)	$	(20	)
Foreign currency swap	Derivatives liability, at fair value	$	—		$	(33	)

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance

The table below details the location in the financial statements of the gain or loss recognized on interest rate derivatives designated as cash flow hedges for the three months ended March 31, 2013. The Company did not have any interest rate derivatives designated as cash flow hedges for the three months ended March 31, 2012.

	Three Months Ended
(In thousands)	March 31, 2013
Amount of gain recognized in accumulated other comprehensive loss from derivatives (effective portion)	$	106
Amount of loss reclassified from accumulated other comprehensive income into income as interest expense (effective portion)	$	(2	)
Amount of gain (loss) recognized in income on derivative instruments (ineffective portion and amount excluded from effectiveness testing)	$	—

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Organization

3 Months Ended

Mar. 31, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization and Proposed Business Operations

Organization

American Realty Capital Global Trust, Inc. (the "Company"), incorporated on July 13, 2011, is a Maryland corporation that intends to qualify as a real estate investment trust ("REIT") for U.S. federal income tax purposes beginning with the taxable year ending December 31, 2013. On April 20, 2012, the Company commenced its initial public offering ("IPO") on a "reasonable best efforts" basis of up to 150.0 million shares of common stock, $0.01 par value per share, at a price of $10.00 per share, subject to certain volume and other discounts, pursuant to a registration statement on Form S-11 (File No. 333-177563) (the "Registration Statement) filed with the Securities and Exchange Commission ("SEC") under the Securities Act of 1933, as amended. The Registration Statement also covers up to 25.0 million shares of common stock pursuant to a distribution reinvestment plan (the "DRIP") under which the Company's common stockholders may elect to have their distributions reinvested in additional shares of the Company's common stock.

On October 24, 2012, the Company received and accepted subscriptions in excess of the minimum offering amount of $2.0 million in shares, broke escrow and issued shares of common stock to initial investors who were admitted as stockholders. As of March 31, 2013, the Company had 1.0 million shares of stock outstanding, including unvested restricted shares and shares issued under the DRIP and had received total gross proceeds from the IPO of $9.9 million. As of March 31, 2013, the aggregate value of all the common stock outstanding was $10.2 million based on a per share value of $10.00 (or $9.50 for shares issued under the DRIP). Until the first quarter following the Company's acquisition of at least $1.2 billion in total investment portfolio assets, the per share purchase price in the IPO will be up to $10.00 per share (including the maximum allowed to be charged for commissions and fees) and shares issued under the DRIP will initially be equal to $9.50 per share, which is 95% of the initial offering price in the IPO. Thereafter, the per share purchase price will vary quarterly and will be equal to the Company's net asset value ("NAV") divided by the number of shares outstanding as of the end of business on the first day of each fiscal quarter after giving effect to any share purchases or repurchases effected in the prior quarter plus applicable commissions and fees, and the per share purchase price in the DRIP will be equal to the NAV per share.

The Company was formed to primarily acquire a diversified portfolio of commercial properties, with an emphasis on sale-leaseback transactions involving single tenant net-leased commercial properties. The Company's primary geographic target will be the United States, although up to 40% of its portfolio may consist of properties purchased in Europe and up to an additional 10% may consist of properties purchased elsewhere internationally. All such properties may be acquired and operated by the Company alone or jointly with another party. The Company may also originate or acquire first mortgage loans secured by real estate. As of March 31, 2013, the Company owned one property consisting of 9,094 rentable square feet, which was 100.0% leased, with a remaining lease term of 11.0 years.

Substantially all of the Company's business is conducted through American Realty Capital Global Operating Partnership, L.P. (the "OP"), a Delaware limited partnership. The Company is the sole general partner and holds substantially all of the units of limited partner interests in the OP ("OP units"). American Realty Capital Global Special Limited Partner, LLC (the "Special Limited Partner"), an entity wholly owned by AR Capital Global Holdings, LLC (the "Sponsor") contributed $200 to the OP in exchange for 22 OP units, which represents a nominal percentage of the aggregate OP ownership. The limited partner interests have the right to convert OP units for the cash value of a corresponding number of shares of common stock or, at the option of the OP, a corresponding number of shares of common stock, as allowed by the limited partnership agreement of the OP. The remaining rights of the limited partner interests are limited, however, and do not include the ability to replace the general partner or to approve the sale, purchase or refinancing of the OP's assets.

The Company has no employees. American Realty Capital Global Advisors, LLC (the "Advisor") has been retained to manage the Company's affairs on a day-to-day basis. The properties are managed and leased by American Realty Capital Global Properties, LLC (the "Property Manager"). Realty Capital Securities, LLC (the "Dealer Manager") serves as the dealer manager of the IPO. The Advisor, Property Manager and Dealer Manager are affiliates of the Sponsor and Special Limited Partner. These related parties have received or will compensation and fees for services related to the IPO and for the investment and management of the Company's assets. These entities receive fees during the offering, acquisition, operational and liquidation stages. The Advisor and Property Manager have entered into a service provider agreement with Moor Park Capital Partners LLP (the "Service Provider"), an affiliate of a principal shareholder. Pursuant to the service provider agreements, the Service Provider has agreed to provide, subject to the Advisor's and Property Manager's oversight, certain real estate related services, as well as sourcing and structuring of investment opportunities, performance of due diligence, and arranging debt financing and equity investment syndicates, solely with respect to properties in Europe. Pursuant to the service provider agreement, 50.0% of the fees payable by the Company to the Advisor and Property Manager will be assigned to the Service Provider, solely with respect to the Company's foreign investment strategy in Europe. Such fees will be deducted from fees paid to the Advisor.

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CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, authorized	50,000,000	50,000,000
Preferred stock, issued	0	0
Preferred stock, outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, authorized	300,000,000	300,000,000
Common stock, issued	1,028,161	256,500
Common stock, outstanding	1,028,161	256,500

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Share-Based Compensation

3 Months Ended

Mar. 31, 2013

Share-based Compensation [Abstract]

Share-Based Compensation

Share-Based Compensation

Stock Option Plan

 The Company has a stock option plan (the "Plan") which authorizes the grant of nonqualified stock options to the Company's independent directors, officers, advisors, consultants and other personnel, subject to the absolute discretion of the board of directors and the applicable limitations of the Plan. The exercise price for all stock options granted under the Plan during the IPO will be $9.00, until the later of the end of the escrow period or the Company's first property acquisition, and thereafter through the termination of the IPO, based on NAV, and thereafter the exercise price for stock options granted to the independent directors will be equal to the fair market value of a share on the last business day preceding the annual meeting of stockholders. A total of 0.5 million shares have been authorized and reserved for issuance under the Plan. As of March 31, 2013 and December 31, 2012, no stock options were issued under the Plan.

Restricted Share Plan

The Company has an employee and director incentive restricted share plan (the "RSP"), which provides for the automatic grant of 3,000 restricted shares of common stock to each of the independent directors, without any further action by the Company's board of directors or the stockholders, on the date of initial election to the board of directors and on the date of each annual stockholder's meeting. Restricted stock issued to independent directors will vest over a five-year period following the first anniversary of the date of grant in increments of 20% per annum. The RSP provides the Company with the ability to grant awards of restricted shares to the Company's directors, officers and employees (if the Company ever has employees), employees of the Advisor and its affiliates, employees of entities that provide services to the Company, directors of the Advisor or of entities that provide services to the Company, certain consultants to the Company and the Advisor and its affiliates or to entities that provide services to the Company. The fair market value of any shares of restricted stock granted under our restricted share plan, together with the total amount of acquisition fees, acquisition expense reimbursements, asset management fees, financing coordination fees, disposition fees and subordinated distributions by the operating partnership payable to the Advisor (or its assignees), shall not exceed (a) 6% of all properties' aggregate gross contract purchase price, (b) as determined annually, the greater, in the aggregate, of 2% of average invested assets and 25% of net income other than any additions to reserves for depreciation, bad debt or other similar non-cash reserves and excluding any gain from the sale of assets for that period, (c) disposition fees, if any, of up to 3% of the contract sales price of all properties that we sell and (d) 15% of remaining net sales proceeds after return of capital contributions plus payment to investors of a 6% cumulative, pre-tax, non-compounded return on the capital contributed by investors. Additionally, the total number of shares of common stock granted under the RSP shall not exceed 5.0% of the Company's authorized shares of common stock pursuant to the IPO and in any event will not exceed 7.5 million shares (as such number may be adjusted for stock splits, stock dividends, combinations and similar events).

Restricted share awards entitle the recipient to receive shares of common stock from the Company under terms that provide for vesting over a specified period of time or upon attainment of pre-established performance objectives. Such awards would typically be forfeited with respect to the unvested shares upon the termination of the recipient's employment or other relationship with the Company. Restricted shares may not, in general, be sold or otherwise transferred until restrictions are removed and the shares have vested. Holders of restricted shares may receive cash distributions prior to the time that the restrictions on the restricted shares have lapsed. Any distributions payable in shares of common stock shall be subject to the same restrictions as the underlying restricted shares. As of March 31, 2013 and December 31, 2012, there were 9,000 restricted unvested shares issued to independent directors under the RSP at $9.00 per share. The value of the shares is being expensed over the vesting period of five years. Compensation expense related to restricted stock was approximately $4,000 during the three months ended March 31, 2013. There was no compensation expense related to restricted stock during the three months ended March 31, 2012.

Other Share-Based Compensation

The Company may issue common stock in lieu of cash to pay fees earned by the Company's directors. There are no restrictions on the shares issued since these payments in lieu of cash relate to fees earned for services performed. There were no such shares of common stock issued in lieu of cash during the three months ended March 31, 2013 or 2012.

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Document and Entity Information	3 Months Ended
	Mar. 31, 2013	Apr. 30, 2013
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2013
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q1
Entity Registrant Name	American Realty Capital Global Trust, Inc.
Entity Central Index Key	0001526113
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		1,921,014

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Net Loss Per Share

3 Months Ended

Mar. 31, 2013

Earnings Per Share [Abstract]

Net Loss Per Share

Net Loss Per Share

The following is a summary of the basic and diluted net loss per share computation for the three months ended March 31, 2013 and 2012:

	Three Months Ended March 31,
	2013			2012
Net loss (in thousands)	$	(2	)	$	(1	)
Weighted average shares of common stock outstanding	439,097			22,222
Net loss per share, basic and diluted	$	—		NM

__________________________

NM - not meaningful

As of March 31, 2013, the Company had 9,000 shares of unvested restricted stock and as of March 31, 2013 and 2012 the Company had 22 OP units outstanding, which were excluded from the calculation of diluted loss per share attributable to stockholders as the effect would have been antidilutive.

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CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Revenue:
Rental income	$ 42	$ 0
Operating expense reimbursement	3	0
Total revenues	45	0
Expenses:
Property operating	0	0
Operating fees to affiliate	0	0
General and administrative	4	1
Depreciation and amortization	30	0
Total expenses	34	1
Operating loss	11	(1)
Interest expense	(13)	0
Net loss	(2)	(1)
Other comprehensive income (loss):
Cumulative translation adjustment	(80)	0
Designated derivatives, fair value adjustments	104	0
Comprehensive loss	$ 22	$ (1)
Basic and diluted weighted average shares outstanding	439,097	22,222
Basic and diluted net loss per share	$ 0.00

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Derivative and Hedging Activities

3 Months Ended

Mar. 31, 2013

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives and Hedging Activities

Derivatives and Hedging Activities

Risk Management Objective of Using Derivatives

The Company may use derivative financial instruments, including interest rate swaps, caps, options, floors and other interest rate derivative contracts, to hedge all or a portion of the interest rate risk associated with its borrowings. The principal objective of such arrangements is to minimize the risks and/or costs associated with the Company's operating and financial structure as well as to hedge specific anticipated transactions. In addition, certain of the Company's foreign operations expose the Company to fluctuations of foreign interest rates and exchange rates. These fluctuations may impact the value of the Company's cash receipts and payments in terms of the Company's functional currency. The Company enters into derivative financial instruments to protect the value or fix the amount of certain obligations in terms of its functional currency, the U.S. dollar.

The Company does not intend to utilize derivatives for speculative or other purposes other than interest rate or foreign currency risk management. The use of derivative financial instruments carries certain risks, including the risk that the counterparties to these contractual arrangements are not able to perform under the agreements. To mitigate this risk, the Company only enters into derivative financial instruments with counterparties with high credit ratings and with major financial institutions with which the Company and its affiliates may also have other financial relationships. The Company does not anticipate that any of the counterparties will fail to meet their obligations.

Cash Flow Hedges of Interest Rate Risk

The Company's objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company may use interest rate swaps and collars as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Interest rate collars designated as cash flow hedges involve the receipt of variable-rate amounts if interest rates rise above the cap strike rate on the contract and payments of variable-rate amounts if interest rates fall below the floor strike rate on the contract.

The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in accumulated other comprehensive income and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. Such derivatives have been used to hedge the variable cash flows with forecasted variable rate debt. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. During the three months ended March 31, 2013 and 2012, the Company recorded no hedge ineffectiveness in earnings.

Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company's variable-rate debt. During the next 12 months, the Company estimates that an additional $8,000 will be reclassified from other comprehensive income as an increase to interest expense.

As of March 31, 2013 and December 31, 2012, the Company had the following outstanding interest rate derivative that was designated as a cash flow hedge of interest rate risk:

	March 31, 2013			December 31, 2012
Derivative	Number of Instruments	Notional Amount		Number of Instruments	Notional Amount
		(In thousands)			(In thousands)
Interest rate swap	1	$	1,155	1	$	1,228

Net Investment Hedges

The Company is exposed to fluctuations in foreign exchange rates on property investments it holds in foreign countries which pay rental income, property related expenses and hold debt instruments in foreign currencies. The Company uses foreign currency derivatives including cross currency swaps to hedge its exposure to changes in foreign exchange rates on certain of its foreign investments. Cross currency swaps involve fixing the applicable currency exchange rate for delivery of a specified amount of foreign currency on specified dates.

For derivatives designated as net investment hedges, the effective portion of changes in the fair value of the derivatives are reported in accumulated other comprehensive income (outside of earnings) as part of the cumulative translation adjustment. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. Amounts are reclassified out of accumulated other comprehensive income into earnings when the hedged net investment is either sold or substantially liquidated.

As of March 31, 2013 and December 31, 2012 the Company had the following outstanding foreign currency derivatives that were used to hedge its net investments in foreign operations:

	March 31, 2013			December 31, 2012
Derivative	Number of Instruments	Notional Amount		Number of Instruments	Notional Amount
		(In thousands)			(In thousands)
Foreign currency swap (1)	1	$	1,277	1	$	1,357

____________________________________

(1) Payments and obligations pursuant to this foreign currency swap agreement are guaranteed by AR Capital, LLC, the entity that wholly owns the Sponsor.

The table below presents the fair value of the Company's derivative financial instruments as well as their classification on the balance sheets:

(In thousands)	Balance Sheet Location	March 31, 2013			December 31, 2012
Derivatives designated as hedging instruments:
Foreign currency swap	Derivatives asset, at fair value	$	73		$	—
Interest rate swap	Derivatives liability, at fair value	$	(22	)	$	(20	)
Foreign currency swap	Derivatives liability, at fair value	$	—		$	(33	)

The table below details the location in the financial statements of the gain or loss recognized on interest rate derivatives designated as cash flow hedges for the three months ended March 31, 2013. The Company did not have any interest rate derivatives designated as cash flow hedges for the three months ended March 31, 2012.

	Three Months Ended
(In thousands)	March 31, 2013
Amount of gain recognized in accumulated other comprehensive loss from derivatives (effective portion)	$	106
Amount of loss reclassified from accumulated other comprehensive income into income as interest expense (effective portion)	$	(2	)
Amount of gain (loss) recognized in income on derivative instruments (ineffective portion and amount excluded from effectiveness testing)	$	—

Offsetting Derivatives Disclosure

The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company's derivatives as of March 31, 2013 and December 31, 2012. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the accompanying consolidated balance sheets.

(In thousands)	Derivative Assets				Derivative Liabilities
Derivatives	March 31, 2013		December 31, 2012		March 31, 2013			December 31, 2012
Interest rate swap	$	—	$	—	$	(22	)	$	(20	)
Foreign currency swap	73		—		—			(33		)
Total derivatives, fair value	$	73	$	—	$	(22	)	$	(53	)

Credit-risk-related Contingent Features

The Company has agreements with each of its derivative counterparties that contains a provision whereby if the Company either defaults or is capable of being declared in default on any of its indebtedness, then the Company could also be declared in default on its derivative obligation.

As of March 31, 2013, the fair value of derivatives in a liability position, including accrued interest, excluding any adjustment for non performance risk related to the agreement was approximately $24,000. As of March 31, 2013, the Company has not posted any collateral related to these agreements and was not in breach of any agreement provisions. If the Company had breached any of these provisions, it could have been required to settle its obligations under the agreement at its aggregate termination value of approximately $24,000 at March 31, 2013.

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Fair Value of Financial Instruments

3 Months Ended

Mar. 31, 2013

Fair Value of Financial Instruments [Abstract]

Fair Value of Financial Instruments

Fair Value of Financial Instruments

The Company determines fair value based on quoted prices when available or through the use of alternative approaches, such as discounting the expected cash flows using market interest rates commensurate with the credit quality and duration of the investment. This alternative approach also reflects the contractual terms of the derivatives, including the period to maturity, and uses observable market-based inputs, including interest rate curves and implied volatilities. The guidance defines three levels of inputs that may be used to measure fair value:

Level 1 — Quoted prices in active markets for identical assets and liabilities that the reporting entity has the ability to access at the measurement date.

Level 2 — Inputs other than quoted prices included within Level 1 that are observable for the asset and liability or can be corroborated with observable market data for substantially the entire contractual term of the asset or liability.

Level 3 — Unobservable inputs that reflect the entity's own assumptions about the assumptions that market participants would use in the pricing of the asset or liability and are consequently not based on market activity, but rather through particular valuation techniques.

The determination of where an asset or liability falls in the hierarchy requires significant judgment and considers factors specific to the asset or liability. In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company evaluates its hierarchy disclosures each quarter and depending on various factors, it is possible that an asset or liability may be classified differently from quarter to quarter. However, the Company expects that changes in classifications between levels will be rare.

Although the Company has determined that the majority of the inputs used to value its derivatives fall within Level 2 of the fair value hierarchy, the credit valuation adjustments associated with those derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by the Company and its counterparties. However, as of March 31, 2013, the Company has assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and has determined that the credit valuation adjustments are not significant to the overall valuation of the Company's derivatives. As a result, the Company has determined that its derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy.

The valuation of derivative instruments is determined using a discounted cash flow analysis on the expected cash flows of each derivative. This analysis reflects the contractual terms of the derivatives, including the period to maturity, as well as observable market-based inputs, including interest rate curves and implied volatilities. In addition, credit valuation adjustments, are incorporated into the fair values to account for the Company's potential nonperformance risk and the performance risk of the counterparties.

The following table presents information about the Company's assets and liabilities (including derivatives that are presented net) measured at fair value on a recurring basis as of March 31, 2013 and December 31, 2012, aggregated by the level in the fair value hierarchy within which those instruments fall.

(In thousands)	Quoted Prices in Active Markets Level 1		Significant Other Observable Inputs Level 2			Significant Unobservable Inputs Level 3		Total
March 31, 2013
Foreign currency swap	$	—	$	73		$	—	$	73
Interest rate swap	$	—	$	(22	)	$	—	$	(22	)
December 31, 2012
Foreign currency swap	$	—	$	(33	)	$	—	$	(33	)
Interest rate swap	$	—	$	(20	)	$	—	$	(20	)

A review of the fair value hierarchy classification is conducted on a quarterly basis. Changes in the type of inputs may result in a reclassification for certain assets. There were no transfers between Level 1 and Level 2 of the fair value hierarchy during the three months ended March 31, 2013.

The Company is required to disclose the fair value of financial instruments for which it is practicable to estimate that value. The fair value of short-term financial instruments such as cash and cash equivalents, due from affiliates, accounts payable and distributions payable approximates their carrying value on the consolidated balance sheets due to their short-term nature. The fair values of the Company's remaining financial instruments that are not reported at fair value on the consolidated balance sheets are reported below.

		Carrying Amount at		Fair Value at		Carrying Amount at		Fair Value at
(In thousands)	Level	March 31, 2013		March 31, 2013		December 31, 2012		December 31, 2012
Mortgage note payable	3	$	1,155	$	1,155	$	1,228	$	1,228

The fair value of the mortgage note is estimated using a discounted cash flow analysis, based on the Advisor's experience with similar types of borrowing arrangements.

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Fair Value of Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2013

Fair Value of Financial Instruments [Abstract]

Fair Value, Liabilities Measured on Recurring Basis

The following table presents information about the Company's assets and liabilities (including derivatives that are presented net) measured at fair value on a recurring basis as of March 31, 2013 and December 31, 2012, aggregated by the level in the fair value hierarchy within which those instruments fall.

(In thousands)	Quoted Prices in Active Markets Level 1		Significant Other Observable Inputs Level 2			Significant Unobservable Inputs Level 3		Total
March 31, 2013
Foreign currency swap	$	—	$	73		$	—	$	73
Interest rate swap	$	—	$	(22	)	$	—	$	(22	)
December 31, 2012
Foreign currency swap	$	—	$	(33	)	$	—	$	(33	)
Interest rate swap	$	—	$	(20	)	$	—	$	(20	)

Fair Value, by Balance Sheet Grouping

The fair values of the Company's remaining financial instruments that are not reported at fair value on the consolidated balance sheets are reported below.

		Carrying Amount at		Fair Value at		Carrying Amount at		Fair Value at
(In thousands)	Level	March 31, 2013		March 31, 2013		December 31, 2012		December 31, 2012
Mortgage note payable	3	$	1,155	$	1,155	$	1,228	$	1,228

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Subsequent Events

3 Months Ended

Mar. 31, 2013

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

The Company has evaluated subsequent events through the filing of this Quarterly Report on Form 10-Q, and determined that there have not been any events that have occurred that would require adjustments to disclosures in the consolidated financial statements except for the following transactions:

Sales of Common Stock

As of April 30, 2013, the Company had 1.9 million shares of common stock outstanding, including unvested restricted shares. Total gross proceeds, net of repurchases, from these issuances were $18.7 million. including shares issued under the DRIP. As of April 30, 2013, the aggregate value of all share issuances was $19.1 million based on a per share value of $10.00 (or $9.50 per share for shares issued under the DRIP).

Total capital raised to date, including shares issued under the DRIP, is as follows:

Source of Capital (in thousands)	Inception to March 31, 2013		April 1, 2013 to April 30, 2013		Total
Common stock	$	9,869	$	8,838	$	18,707

Acquisitions and Financings

On May 3, 2013, the Company acquired a fee simple interest in a retail warehouse located in Blackpool, United Kingdom for a contract purchase price of $6.1 million. The property contains 29,679 rentable square feet and is 100% leased to Wickes Building Supplies Limited with an original lease term of 25 years and 11.4 years remaining at the date of acquisition. The lease is net whereby the tenant is required to pay substantially all operating expenses, including all costs to maintain and repair the roof and structure of the building, in addition to base rent.  The annualized straight line rental income is $0.5 million. Rent is adjusted to market every 5 years.

The Company partially funded the acquisition with a $3.0 million secured mortgage note payable, which bears interest at 3.675%, fixed by an interest rate swap. The mortgage note payable provides for quarterly interest payments with all principal outstanding being due on the maturity date in May 2018.

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Related Party Transactions and Arrangements

3 Months Ended

Mar. 31, 2013

Related Party Transactions [Abstract]

Related Party Transactions and Arrangements

Related Party Transactions

As of March 31, 2013 and December 31, 2012, the Sponsor, the Special Limited Partner and a subsidiary of the Service Provider owned 244,444 shares of the Company's outstanding common stock. The Advisor and its affiliates may incur costs and fees on behalf of the Company. All offering costs incurred by the Company or its affiliated entities on behalf of the Company are reflected in the accompanying balance sheets. As of March 31, 2013 and December 31, 2012, the Company had $0.8 million and $1.0 million, respectively, payable to affiliated entities, primarily related to funding the payment of third party professional fees and offering costs, net of expenses absorbed by the Advisor.

Fees Paid in Connection with the IPO

The Dealer Manager receives fees and compensation in connection with the sale of the Company's common stock. The Dealer Manager receives selling commissions of up to 7.0% of the per share purchase price of offering proceeds before reallowance of commissions earned by participating broker-dealers. In addition, the Dealer Manager receives 3.0% of the per share purchase price from the sale of our shares, before reallowance to participating broker-dealers, as a dealer-manager fee. The Dealer Manager may re-allow its dealer-manager fee to participating broker-dealers. A participating broker dealer may elect to receive a fee equal to 7.5% of the gross proceeds from the sale of shares (not including selling commissions and dealer-manager fees) by such participating broker dealers, with 2.5% thereof paid at the time of the sale and 1.0% paid on each anniversary date of the closing of the sale to the fifth anniversary date of the closing of the sale. If this option is elected, the Dealer Manager's fee will be reduced to 2.5% (not including selling commissions and dealer manager fees). The following table details total selling commissions and dealer manager fees incurred from and payable to the Dealer Manager related to the sale of common stock as of and for the periods presented:

					Payable as of
	Three Months Ended March 31,				March 31,		December 31,
(In thousands)	2013		2012		2013		2012
Total commissions and fees from Dealer Manager	$	763	$	—	$	20	$	—

The Advisor and its affiliates receive compensation and reimbursement for services relating to the IPO. Effective March 1, 2013, the Company began utilizing transfer agent services provided by an affiliate of the Dealer Manager. The following table details fees and offering cost reimbursements incurred from and payable to the Advisor and Dealer Manager related to the sale of common stock as of and for the periods presented:

					Payable as of
	Three Months Ended March 31,				March 31,		December 31,
(In thousands)	2013		2012		2013		2012
Fees and expense reimbursements from the Advisor and Dealer Manager	$	229	$	—	$	1,148	$	930

The Company is responsible for offering and related costs from the IPO, excluding commissions and dealer manager fees, up to a maximum of 1.5% of gross proceeds received from its ongoing offering of common stock, measured at the end of the offering. Offering costs in excess of the 1.5% cap as of the end of the offering are the Advisor's responsibility. As of March 31, 2013, offering and related costs, excluding commissions and dealer manager fees, exceeded 1.5% of gross proceeds received from the IPO by $2.9 million.

After the escrow break, the Advisor has elected to cap cumulative offering costs incurred by the Company, net of unpaid amounts, to 15% of gross common stock proceeds during the offering period. As of March 31, 2013, cumulative offering costs were $3.8 million. Cumulative offering costs net of unpaid amounts, were less than the 15% threshold as of March 31, 2013.

Fees Paid in Connection With the Operations of the Company

The Advisor receives an acquisition fee of 1.0% of the contract purchase price of each acquired property and 1.0% of the amount advanced for a loan or other investment. Solely with respect to investment activities in Europe, the Service Provider is paid 50% of the acquisition fees and the Advisor receives the remaining 50%, as set forth in the service provider agreement. Such fees are deducted from fees payable to the Advisor, pursuant to the service provider agreement. The Advisor is also reimbursed for acquisition costs incurred in the process of acquiring properties, which is expected to be 0.6% of the contract purchase price. In no event will the total of all acquisition fees and acquisition expenses payable with respect to a particular investment exceed 4.5% of the contract purchase price or 4.5% of the amount advanced for a loan or other investment. Once the proceeds from the IPO have been fully invested, the aggregate amount of acquisition fees will not exceed 1.5% of the contract purchase price for all of the assets acquired.

If the Company's Advisor provides services in connection with the origination or refinancing of any debt that the Company obtains and uses to acquire properties or to make other permitted investments, or that is assumed, directly or indirectly, in connection with the acquisition of properties, the Company pays the Advisor a financing coordination fee equal to 0.75% of the amount available and/or outstanding under such financing, subject to certain limitations. Solely with respect to our investment activities in Europe, the Service Provider is paid 50% of the financing coordination fees and the Advisor receives the remaining 50%, as set forth in the service provider agreement.  Such fees will be deducted from fees payable to the Advisor, pursuant to the service provider agreement.

The Company pays the Advisor a monthly fee equal to one-twelfth of 0.75% of the cost of investment portfolio assets (costs include the purchase price, acquisition expenses, capital expenditures and other customarily capitalized costs, but will exclude acquisition fees). All or a portion of the asset management fee may be waived or deferred at the sole discretion of our board of directors (a) to the extent that FFO, as adjusted, during the 6 months ending on the last day of the calendar quarter immediately preceding the date that such asset management fee is payable, is less than the distributions declared with respect to such six month period or (b) for any other reason.

Subject to the entry by the Company, the Service Provider, the Advisor and the OP into definitive agreements, effective January 1, 2013, the following will be eliminated: (i) the reduction of the asset management fee to the extent, if any, that the Company's funds from operations, as adjusted, during the six months ending on the last calendar quarter immediately preceding the date the asset management fee was payable was less than the distributions declared with respect to such six month period and (ii) the payment of asset management fees in cash, shares or restricted stock grants, or any combination thereof to the Advisor. Instead, the Company expects to issue (subject to periodic approval by the board of directors) to the Advisor performance-based restricted partnership units of the OP designated as "Class B units," which are intended to be profits interests and will vest, and no longer be subject to forfeiture, at such time as: (x) the value of the OP's assets plus all distributions made equals or exceeds the total amount of capital contributed by investors plus a 6.0% cumulative, pre-tax, non-compounded annual return thereon (the "economic hurdle"); (y) any one of the following occurs: (1) the termination of the advisory agreement by an affirmative vote of a majority of the Company's independent directors without cause; (2) a listing; or (3) another liquidity event; and (z) the Advisor is still providing advisory services to the Company (the "performance condition"). Such Class B units will be forfeited immediately if: (a) the advisory agreement is terminated other than by an affirmative vote of a majority of the Company's independent directors without cause; or (b) the advisory agreement is terminated by an affirmative vote of a majority of the Company's independent directors without cause before the economic hurdle has been met.

The calculation of the asset management fees will be based on: (i) the excess of (A) the product of (y) the cost of assets multiplied by (z) 0.1875% over (B) any amounts payable as an oversight fee (as described below) for such calendar quarter; divided by (ii) the value of one share of common stock as of the last day of such calendar quarter. When and if approved by the board of directors, the Class B units are expected to be issued to the Advisor quarterly in arrears pursuant to the terms of the limited partnership agreement of the OP. As of March 31, 2013, the Company does not consider achievement of the performance condition to be probable. The value of issued Class B units will be determined and expensed, when the Company deems the achievement of the performance condition to be probable. The Advisor will receive distributions on unvested Class B units equal to the distribution rate received on the Company's common stock. Such distributions on issued Class B units will be expensed in the consolidated statement of operations until the performance condition is considered probable to occur. No Class B units have been approved by the board of directors or issued as of March 31, 2013.

If the Property Manager or an affiliate provides property management and leasing services for properties owned by the Company, the Company pays fees equal to: (i) with respect to stand-alone, single-tenant net leased properties which are not part of a shopping center, 2.0% of gross revenues from the properties managed and (ii) with respect to all other types of properties, 4.0% of gross revenues from the properties managed.

For services related to overseeing property management and leasing services provided by any person or entity that is not an affiliate of the Property Manager, the Company pays the Property Manager an oversight fee equal to 1.0% of gross revenues of the property managed.

Solely with respect to our investment activities in Europe, the Service Provider or other entity providing property management services with respect to such investments is paid: (i) with respect to single-tenant net leased properties which are not part of a shopping center, 1.75% of the gross revenues from such properties and (ii) with respect to all other types of properties, 3.5% of the gross revenues from such properties. The Property Manager receives 0.25% of the gross revenues from European single-tenant net leased properties which are not part of a shopping center and 0.5% of the gross revenues from all other types of properties, reflecting a 50% split of the oversight fee with the Service Provider or an affiliated entity providing European property management services. Such fees are deducted from fees payable to the Advisor, pursuant to the service provider agreement.

Effective March 1, 2013, the Company entered into an agreement with the Dealer Manager to provide strategic advisory services and investment banking services required in the ordinary course of the Company's business, such as performing financial analysis, evaluating publicly traded comparable companies and assisting in developing a portfolio composition strategy, a capitalization structure to optimize future liquidity options and structuring operations.

The following table reflects related party fees incurred, forgiven and contractually due as of and for the periods presented:

	Three Months Ended				Three Months Ended				Payable as of
	March 31, 2013				March 31, 2012				March 31,		December 31,
(In thousands)	Incurred		Forgiven		Incurred		Forgiven		2013		2012
Ongoing fees:
Property management and leasing fees	$	—	$	1	$	—	$	—	$	—	$	1
Strategic advisory fees	36		—		—		—		36		—
Total related party operational fees and reimbursements	$	36	$	1	$	—	$	—	$	36	$	1

The Company reimburses the Advisor's costs of providing administrative services, subject to the limitation that the Company will not reimburse the Advisor for any amount by which the Company's operating expenses (including the asset management fee) at the end of the four preceding fiscal quarters exceeds the greater of (a) 2.0% of average invested assets and (b) 25.0% of net income other than any additions to reserves for depreciation, bad debt or other similar non-cash reserves and excluding any gain from the sale of assets for that period. Additionally, the Company reimburses the Advisor for personnel costs in connection with other services during the operational stage, in addition to paying an asset management fee; however, the Company does not reimburse the Advisor for personnel costs in connection with services for which the Advisor receives acquisition fees or real estate commissions. No reimbursement was incurred from the Advisor for providing services during the three months ended March 31, 2013 and 2012.

The Company pays the Advisor an annual subordinated performance fee calculated on the basis of the Company's total return to stockholders, payable annually in arrears, such that for any year in which the Company's total return on stockholders' capital exceeds 6.0% per annum, the Advisor is entitled to 15.0% of the excess total return but not to exceed 10.0% of the aggregate total return for such year (which will take into account distributions and realized appreciation). This fee is payable only upon the sale of assets, distributions or other events which results in our return on stockholders' capital exceeding 6.0% per annum. Solely with respect to our investment activities in Europe, the Service Provider will be paid 50.0% of the annual subordinated performance fee payable in respect of such investments, and the Advisor or its affiliates will receive the remaining 50%, as set forth in the service provider agreement. No such amounts have been incurred during the three months ended March 31, 2013 and 2012.

In order to improve operating cash flows and the ability to pay distributions from operating cash flows, the Advisor may waive certain fees including asset management and property management fees. Because the Advisor may waive certain fees, cash flow from operations that would have been paid to the Advisor may be available to pay distributions to stockholders. The fees that may be forgiven are not deferrals and accordingly, will not be paid to the Advisor in cash. In certain instances, to improve the Company's working capital, the Advisor may elect to absorb a portion of the Company's general and administrative costs or property operating expenses. These absorbed costs are presented net in the accompanying consolidated statements of operations and comprehensive loss. The following table details property operating and general and administrative expenses absorbed by the Advisor during the three months ended March 31, 2013 and 2012:

	Three Months Ended March 31,
(In thousands)	2013		2012
Property operating expenses absorbed	$	4	$	—
General and administrative expenses absorbed	153		—
Total expenses absorbed (1)	$	157	$	—

______________________

(1) The Company had a receivable from the Advisor related to absorbed costs of $0.2 million and $0.1 million as of March 31, 2013 and December 31, 2012, respectively.

Fees Paid in Connection with the Liquidation or Listing of the Company's Real Estate Assets

The Company pays a brokerage commission on the sale of property, not to exceed the lesser of 2.0% of the contract sale price of the property and 50% of the total brokerage commission paid if a third party broker is also involved; provided, however, that in no event may the real estate commissions paid to the Advisor, its affiliates and unaffiliated third parties exceed the lesser of 6.0% of the contract sales price and a reasonable, customary and competitive real estate commission, in each case, payable to the Advisor if the Advisor or its affiliates, as determined by a majority of the independent directors, provided a substantial amount of services in connection with the sale. No such amounts have been incurred during the three months ended March 31, 2013 and 2012.

If the Company is not simultaneously listed on an exchange, the Company will pay a subordinated participation in the net sales proceeds of the sale of real estate assets of 15.0% of remaining net sale proceeds after return of capital contributions to investors plus payment to investors of an annual 6.0% cumulative, pre-tax non-compounded return on the capital contributed by investors. The Company cannot assure that it will provide this 6.0% return but the Advisor will not be entitled to the subordinated participation in net sale proceeds unless the Company's investors have received a 6.0% cumulative non-compounded return on their capital contributions. No such amounts have been incurred during the three months ended March 31, 2013 and 2012.

The Company will pay a subordinated incentive listing distribution of 15.0%, payable in the form of a promissory note, of the amount by which the market value of all issued and outstanding shares of the Company's common stock plus distributions exceeds the aggregate capital contributed by investors plus an amount equal to a 6.0% cumulative, pre-tax non-compounded annual return to investors. The Company cannot assure that it will provide this 6.0% return but the Advisor will not be entitled to the subordinated incentive listing fee unless investors have received a 6.0% cumulative, pre-tax non-compounded return on their capital contributions. No such fees have been incurred during the three months ended March 31, 2013 and 2012. Neither the Advisor nor any of its affiliates can earn both the subordination participation in the net proceeds and the subordinated listing distribution.

Solely with respect to the Company's properties in Europe, the Service Provider has the right to be paid up to 50% of subordinated participation in the net sales proceeds of the sale of real estate assets and 50% of subordinated incentive listing distribution relating to such properties. No such fees have been incurred during the three months ended March 31, 2013 and 2012.

Upon termination or non-renewal of the advisory agreement, the Advisor will receive distributions from the OP payable in the form of a promissory note. In addition, the Advisor may elect to defer its right to receive a subordinated distribution upon termination until either a listing on a national securities exchange or other liquidity event occurs.

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Common Stock

3 Months Ended

Mar. 31, 2013

Stockholders' Equity Note [Abstract]

Common Stock

Common Stock

The Company had 1.0 million and 0.3 million shares of common stock outstanding, including unvested restricted shares and had received total proceeds of $9.9 million and $2.2 million as of March 31, 2013 and December 31, 2012, respectively.

On October 5, 2012, the Company's board of directors authorized and the Company declared, a distribution, which will be calculated based on stockholders of record each day during the applicable period at a rate of $0.0019452055 per day based on $10.00 price per share of common stock. The distributions began to accrue on November 28, 2012, 30 days following the Company's initial property acquisition. The distributions are payable by the 5th day following each month end to stockholders of record at the close of business each day during the prior month. Distributions payments are dependent on the availability of funds. The board of directors may reduce the amount of distributions paid or suspend distribution payments at any time and therefore distributions payments are not assured.

The Company has a Share Repurchase Program that enables stockholders to sell their shares to the Company. As of March 31, 2013, no shares of common stock have been repurchased or requested to be repurchased. The Company funds repurchases from proceeds from the sale of common stock.

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Commitments and Contingencies

3 Months Ended

Mar. 31, 2013

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

Litigation

In the ordinary course of business, the Company may become subject to litigation or claims. There are no material legal proceedings pending or known to be contemplated against the Company.

Environmental Matters

In connection with the ownership and operation of real estate, the Company may potentially be liable for costs and damages related to environmental matters. As of March 31, 2013 the Company has not been notified by any governmental authority of any non-compliance, liability or other claim, and is not aware of any other environmental condition that it believes will have a material adverse effect on the results of operations.

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Economic Dependency

3 Months Ended

Mar. 31, 2013

Economic Dependency [Abstract]

Economic Dependency

Economic Dependency

Under various agreements, the Company has engaged or will engage the Advisor and its affiliates to provide certain services that are essential to the Company, including asset management services, supervision of the management and leasing of properties owned by the Company, asset acquisition and disposition decisions, the sale of shares of the Company's common stock available for issue, as well as other administrative responsibilities for the Company including accounting services and investor relations.

As a result of these relationships, the Company is dependent upon the Advisor and its affiliates. In the event that these companies are unable to provide the Company with the respective services, the Company will be required to find alternative providers of these services.

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Derivative and Hedging Activities Schedule of Interest Rate Derivatives (Details) (Cash Flow Hedging [Member], Designated as Hedging Instrument [Member], Swap [Member], USD $) In Thousands, unless otherwise specified	Mar. 31, 2013 derivative	Dec. 31, 2012 derivative
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Swap [Member]
Derivative [Line Items]
Number of Interest Rate Derivatives Held	1	1
Notional Amount of Interest Rate Derivatives	$ 1,155	$ 1,228

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Real Estate Investments (Tables)

3 Months Ended

Mar. 31, 2013

Real Estate [Abstract]

Schedule of Future Minimum Rental Payments for Operating Leases

The following presents future minimum base rental cash payments due to the Company over the next five years and thereafter as of March 31, 2013. These amounts exclude contingent rent payments, as applicable, that may be collected from certain tenants based on provisions related to sales thresholds and increases in annual rent based on exceeding certain economic indexes among other items.

(In thousands)	Future Minimum Base Rent Payments
April 1, 2013 — December 31, 2013	$	160
2014	213
2015	213
2016	213
2017	213
Thereafter	1,325
	$	2,337

Schedule of Annualized Rental Income by Major Tenants

The following table lists the tenant whose annualized rental income on a straight-line basis represented all of the Company's annualized rental income on a straight-line basis as of March 31, 2013. The Company did not own any properties at March 31, 2012: 

	March 31,
Tenant	2013
McDonald's Property Company Limited	100.0%

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Net Loss Per Share (Tables)

3 Months Ended

Mar. 31, 2013

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The following is a summary of the basic and diluted net loss per share computation for the three months ended March 31, 2013 and 2012:

	Three Months Ended March 31,
	2013			2012
Net loss (in thousands)	$	(2	)	$	(1	)
Weighted average shares of common stock outstanding	439,097			22,222
Net loss per share, basic and diluted	$	—		NM

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NM - not meaningful

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Related Party Transactions and Arrangements (Details) (USD $)	18 Months Ended			3 Months Ended					3 Months Ended													3 Months Ended					3 Months Ended			3 Months Ended																21 Months Ended								3 Months Ended					3 Months Ended													12 Months Ended	3 Months Ended	12 Months Ended	3 Months Ended	12 Months Ended
	Dec. 31, 2012	Mar. 31, 2013 Special Limited Partner [Member]	Dec. 31, 2012 Special Limited Partner [Member]	Mar. 31, 2013 Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2012 Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Dec. 31, 2012 Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Maximum [Member]	Dec. 31, 2012 Maximum [Member]	Mar. 31, 2013 Monthly Average Daily Net Asset Value [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Gross Proceeds, Retail Shares [Member] Maximum [Member] Dealer Manager [Member] Realty Capital Securities, LLC [Member]	Mar. 31, 2013 Contract Purchase Price [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Contract Purchase Price [Member] Advisor [Member] American Realty Capital Global Special Limited Partner, LLC [Member]	Mar. 31, 2013 Contract Purchase Price [Member] Maximum [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Advance on Loan or Other Investment [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Contract Purchase Price, All Assets Acquired [Member] Maximum [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Amount Available or Outstanding Under Financing Arrangement [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Gross Revenue, Managed Properties [Member] Maximum [Member] Property Manager [Member] American Realty Capital Global Properties, LLC [Member]	Mar. 31, 2013 Pre-tax Non-compounded Return on Capital Contribution [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Pre-tax Non-compounded Return on Capital Contribution [Member] Maximum [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Excess of Adjusted Market Value of Real Estate Assets Plus Distributions Over Aggregate Contributed Investor Capital [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Net Sale Proceeds, after Return of Capital Contributions and Annual Targeted Investor Return [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Property operating expenses absorbed [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2012 Property operating expenses absorbed [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Sales Commissions and Fees [Member] Dealer Manager [Member] Realty Capital Securities, LLC [Member]	Mar. 31, 2012 Sales Commissions and Fees [Member] Dealer Manager [Member] Realty Capital Securities, LLC [Member]	Dec. 31, 2012 Sales Commissions and Fees [Member] Dealer Manager [Member] Realty Capital Securities, LLC [Member]	Mar. 31, 2013 Fees and Expense Reimbursement,Stock Offering [Member] Advisor and Dealer Manager [Member] American Realty Capital Global Advisors, LLC and Realty Capital Securities, LLC [Member]	Mar. 31, 2012 Fees and Expense Reimbursement,Stock Offering [Member] Advisor and Dealer Manager [Member] American Realty Capital Global Advisors, LLC and Realty Capital Securities, LLC [Member]	Dec. 31, 2012 Fees and Expense Reimbursement,Stock Offering [Member] Advisor and Dealer Manager [Member] American Realty Capital Global Advisors, LLC and Realty Capital Securities, LLC [Member]	Mar. 31, 2013 Absorbed General and Administrative Expenses [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2012 Absorbed General and Administrative Expenses [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Dec. 31, 2012 Absorbed General and Administrative Expenses [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Brokerage Commission Fees [Member] Contract Sales Price [Member] Maximum [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Real Estate Commissions [Member] Contract Sales Price [Member] Maximum [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Third party professional fees and offering costs [Member]	Dec. 31, 2012 Third party professional fees and offering costs [Member]	Mar. 31, 2013 Portion recoverable by thrid party service provider [Member] Excess of Adjusted Market Value of Real Estate Assets Plus Distributions Over Aggregate Contributed Investor Capital [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Portion recoverable by thrid party service provider [Member] Net Sale Proceeds, after Return of Capital Contributions and Annual Targeted Investor Return [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Option One [Member] Gross Proceeds, Retail Shares [Member] Maximum [Member] Participating Broker-Dealer [Member]	Mar. 31, 2013 Option One [Member] Gross Proceeds, Retail Shares [Member] Maximum [Member] Dealer Manager [Member] Realty Capital Securities, LLC [Member]	Mar. 31, 2013 Option Two [Member] Gross Proceeds, Retail Shares [Member] Dealer Manager [Member] Realty Capital Securities, LLC [Member]	Mar. 31, 2013 Greater Of [Member] Average Invested Assets [Member] Maximum [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Greater Of [Member] Net Income, Excluding Additions to Non-cash Reserves and Gains on Sales of Assets [Member] Maximum [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Stand Alone, Single Tenant, Net Leased [Member] Gross Revenue, Managed Properties [Member] Maximum [Member] Property Manager [Member] American Realty Capital Global Properties, LLC [Member]	Mar. 31, 2013 All other properties, other than stand alone, single tenant, net leased [Member] Gross Revenue, Managed Properties [Member] Maximum [Member] Property Manager [Member] American Realty Capital Global Properties, LLC [Member]	Mar. 31, 2013 Europe [Member] Unaffiliated Third Party Property Management Services [Member] Maximum [Member]	Mar. 31, 2013 Europe [Member] Unaffiliated Third Party Property Management Services [Member] Contract Purchase Price [Member]	Mar. 31, 2013 Europe [Member] Unaffiliated Third Party Property Management Services [Member] Amount Available or Outstanding Under Financing Arrangement [Member]	Mar. 31, 2013 Europe [Member] Unaffiliated Third Party Property Management Services [Member] Gross Revenue, Managed Properties [Member] Maximum [Member]	Mar. 31, 2013 Europe [Member] Unaffiliated Third Party Property Management Services [Member] Pre-tax Non-compounded Return on Capital Contribution [Member]	Mar. 31, 2013 Europe [Member] Portion of Fees Attributable to Related Party [Member] Contract Purchase Price [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Europe [Member] Portion of Fees Attributable to Related Party [Member] Amount Available or Outstanding Under Financing Arrangement [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Europe [Member] Portion of Fees Attributable to Related Party [Member] Pre-tax Non-compounded Return on Capital Contribution [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Gross Revenue, Managed Properties [Member] Europe [Member] Unaffiliated Third Party Property Management Services [Member] Stand Alone, Single Tenant, Net Leased [Member]	Mar. 31, 2013 Gross Revenue, Managed Properties [Member] Europe [Member] Unaffiliated Third Party Property Management Services [Member] All other properties, other than stand alone, single tenant, net leased [Member]	Mar. 31, 2013 Gross Revenue, Managed Properties [Member] Europe [Member] Unaffiliated Third Party Property Management Services [Member] Singe Tenant Net Lease, Not Part of Shopping Center [Member]	Mar. 31, 2013 Gross Revenue, Managed Properties [Member] Europe [Member] Unaffiliated Third Party Property Management Services [Member] All Other Property Types, Other Than Stand Alone, Single Tenant, Net Leased and Not Part of Shopping Center [Member]	Mar. 31, 2013 Subsequent Event [Member] Annual Targeted Investor Return [Member] Pre-tax Non-compounded Return on Capital Contribution [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]	Mar. 31, 2013 Forgiven [Member]	Mar. 31, 2012 Forgiven [Member]	Mar. 31, 2013 Forgiven [Member] Recurring Fees [Member] Property Management and Leasing Fees [Member]	Mar. 31, 2012 Forgiven [Member] Recurring Fees [Member] Property Management and Leasing Fees [Member]	Mar. 31, 2013 Forgiven [Member] Recurring Fees [Member] Strategic advisory fees [Member]	Mar. 31, 2012 Forgiven [Member] Recurring Fees [Member] Strategic advisory fees [Member]	Mar. 31, 2013 Incurred [Member]	Mar. 31, 2012 Incurred [Member]	Mar. 31, 2013 Incurred [Member] Recurring Fees [Member] Property Management and Leasing Fees [Member]	Mar. 31, 2012 Incurred [Member] Recurring Fees [Member] Property Management and Leasing Fees [Member]	Mar. 31, 2013 Incurred [Member] Recurring Fees [Member] Strategic advisory fees [Member]	Mar. 31, 2012 Incurred [Member] Recurring Fees [Member] Strategic advisory fees [Member]	Mar. 31, 2013 Payable [Member]	Dec. 31, 2012 Payable [Member]	Mar. 31, 2013 Payable [Member] Recurring Fees [Member] Property Management and Leasing Fees [Member]	Dec. 31, 2012 Payable [Member] Recurring Fees [Member] Property Management and Leasing Fees [Member]	Mar. 31, 2013 Payable [Member] Recurring Fees [Member] Strategic advisory fees [Member]	Dec. 31, 2012 Payable [Member] Recurring Fees [Member] Strategic advisory fees [Member]	Mar. 31, 2013 Greater Of [Member] Brokerage Commission Fees [Member] Contract Sales Price [Member] Maximum [Member] Advisor [Member] American Realty Capital Global Advisors, LLC [Member]
Related Party Transaction [Line Items]
Related Party Transaction, Monthly Advisory Fees Earned by Related Party, Percentage of Benchmark									0.0625%
Related Party Transaction, Amounts of Transaction				$ 157,000	$ 0																	$ 4,000	$ 0							$ 153,000	$ 0
Related Party Transaction, Expenses from Transactions with Related Party																								763,000	0		229,000	0																															1,000	0	1,000	0	0	0	36,000	0	0	0	36,000	0	36,000	1,000	0	1,000	36,000	0
Operating Partnership Units Held By Related Party		244,444	244,444
Due to Affiliate																								20,000		0	1,148,000		930,000						800,000	1,000,000
Sales commissions as a percentage of benchmark										7.00%																														3.00%	2.50%
Brokerage fee as a percentage of benchmark																																							7.50%
Brokerage fees as a percentage of benchmark, initial grant																																							2.50%
Brokerage fees as a percentage of benchmark, periodic payment																																							1.00%
Liability for offering and related costs from IPO								1.50%
Aggregate costs borne by related party						2,900,000
Cumulative offering cost cap							15.00%
Cumulative offering costs, net of unpaid amounts	(3,800,000)
Acquisition fees as a percentage of benchmark											1.00%																																				50.00%				50.00%
Financing advance fees as a percentage of benchmark														1.00%
Financing advance fees as a percentage of benchmark, expected third party costs											0.60%
Aggregate acquisition fees and acquisition related expenses as a percentage of benchmark											4.50%
Acquisition and financing coordination fees as a percentage of benchmark													4.50%		1.50%	0.75%																																50.00%				50.00%
Oversight fees as a percentage of benchmark																	1.00%																											2.00%	4.00%				50.00%
Property Management Fee, Percent Fee																																														50.00%								0.25%	0.50%	1.75%	3.50%
Operating expenses as a percentage of benchmark																																										2.00%	25.00%
Cumulative capital investment return to investors as a percentage of benchmark																																																										6.00%
Related Party Transaction, Quarterly Asset Management Fee Earned By Related Party, Percentage of Benchmark												0.1875%
Subordinated performance fee as a percentage of benchmark																		15.00%	10.00%		15.00%																	50.00%												50.00%			50.00%
Due from Affiliates																														$ 200,000		$ 100,000
Real estate commissions as a percentage of benchmark																																	2.00%	6.00%																																											50.00%
Subordinated participation fees as a percentage of benchmark																				15.00%																	50.00%

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CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (DEFICIT) (USD $) In Thousands, except Share data	Total	Common stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss) [Member]	Retained Earnings [Member]
Beginning Balance at Dec. 31, 2012	$ (796)	$ 3	$ (311)	$ (43)	$ (445)
Beginning Balance (in shares) at Dec. 31, 2012		256,500
Issuance of common stock (in shares)		771,324
Issuance of common stock	7,635	7	7,628
Common stock offering costs, commissions and dealer manager fees	(1,276)		(1,276)
Common stock issued through distribution reinvestment plan (in shares)		337
Common stock issued through distribution reinvestment plan	3		3
Share-based Compensation	4		4
Distributions declared	(80)				(80)
Net loss	(2)				(2)
Cumulative translation adjustment	(80)			(80)
Designated derivatives, fair value adjustment	104			104
Ending Balance at Mar. 31, 2013	$ 5,512	$ 10	$ 6,048	$ (19)	$ (527)
Ending Balance (in shares) at Mar. 31, 2013		1,028,161

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Mortgage Note Payable

3 Months Ended

Mar. 31, 2013

Mortgage Note Payable [Abstract]

Mortgage Notes Payable

Mortgage Note Payable

The Company's mortgage note payable as of March 31, 2013 and December 31, 2012 consists of the following:

	Encumbered Properties	Outstanding Loan Amount				Effective Interest Rate		Interest Rate
Portfolio		March 31, 2013		December 31, 2012					Maturity
		(In thousands)		(In thousands)
McDonald's	1	$	1,155	$	1,228	4.1%	(1)	Fixed	Oct. 2017

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(1) Fixed as a result of entering into a swap agreement.

The following table summarizes the scheduled aggregate principal payments subsequent to March 31, 2013:

(In thousands)	Future Principal Payments
April 1, 2013 — December 31, 2013	$	—
2014	—
2015	—
2016	—
2017	1,155
Thereafter	—
	$	1,155

The Company's sources of debt financing generally include financial covenants as well as restrictions on corporate guarantees, the maintenance of certain financial ratios (such as specified debt to equity and debt service coverage ratios) as well as the maintenance of minimum net worth. As of March 31, 2013, the Company was in compliance with debt-related covenants under the loan agreement.

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Subsequent Events Table (Tables)

3 Months Ended

Mar. 31, 2013

Subsequent Events [Abstract]

Schedule of Subsequent Events

Total capital raised to date, including shares issued under the DRIP, is as follows:

Source of Capital (in thousands)	Inception to March 31, 2013		April 1, 2013 to April 30, 2013		Total
Common stock	$	9,869	$	8,838	$	18,707

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Derivative and Hedging Activities Offsetting Liabilities (Details) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Offsetting Liabilities [Line Items]
Derivative Asset, Fair Value, Gross Asset	$ 73,000	$ 0
Derivative Liability, Fair Value, Gross Liability	(22,000)	(53,000)
Interest Rate Swap [Member]
Offsetting Liabilities [Line Items]
Interest Rate Derivative Liabilities, at Fair Value	(22,000)	(20,000)
Currency Swap [Member]
Offsetting Liabilities [Line Items]
Foreign Currency Derivative Assets at Fair Value	73,000
Foreign Currency Derivative Liabilities at Fair Value		$ (33,000)

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Summary of Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2013

Accounting Policies [Abstract]

New Accounting Pronouncements, Policy

Recently Issued Accounting Pronouncements

In December 2011, the Financial Accounting Standards Board ("FASB") issued guidance regarding disclosures about offsetting assets and liabilities, which requires entities to disclose information about offsetting and related arrangements to enable users of its financial statements to understand the effect of those arrangements on its financial position. The guidance is effective for fiscal years and interim periods beginning on or after January 1, 2013 with retrospective application for all comparative periods presented. The adoption of this guidance, which is related to disclosure only, did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In July 2012, the FASB issued revised guidance intended to simplify how an entity tests indefinite-lived intangible assets for impairment. The amendments will allow an entity first to assess qualitative factors to determine whether it is necessary to perform a quantitative impairment test. An entity will no longer be required to calculate the fair value of an indefinite-lived intangible asset and perform the quantitative test unless the entity determines, based on a qualitative assessment, that it is more likely than not that its fair value is less than its carrying amount. The amendments are effective for annual and interim indefinite-lived intangible asset impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption is permitted. The adoption of this guidance did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In February 2013, the FASB issued guidance which requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income by component. The guidance is effective for annual and interim periods beginning after December 15, 2012 with early adoption permitted. The adoption of this guidance, which is related to disclosure only, did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In February 2013, the FASB issued new accounting guidance clarifying the accounting and disclosure requirements for obligations resulting from joint and several liability arrangements for which the total amount under the arrangement is fixed at the reporting date. The new guidance is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. The Company does not expect the adoption of this guidance to have a material impact on the Company's consolidated financial position, results of operations or cash flows.

In March 2013, the FASB issued new accounting guidance clarifying the accounting for the release of cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity.  The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2013. The Company does not expect the adoption of this guidance to have a material impact on the Company's consolidated financial position, results of operations or cash flows.