Cole Credit Property Trust V Launches $1.5 Billion Follow-On Offering
Cole Credit Property Trust V Inc., a publicly registered non-traded real estate investment trust, launched a $1.2 billion follow-on offering of Class A and Class T shares of common stock, and $300 million in distribution reinvestment plan shares.
The REIT plans to use the offering proceeds to invest primarily in single-tenant necessity retail properties or anchored shopping centers leased to national or regional creditworthy tenants under long-term, net leases. The minimum initial investment for Class A and Class T shares is $2,500.
Class A shares are priced at $26.37 each and include a 7 percent maximum selling commission and a 2 percent dealer manager fee paid to Cole Capital Corporation.
Class T shares are priced at $25.26 each and include a 3 percent maximum selling commission, a 2 percent dealer manager fee, and a 1 percent annual stockholder servicing fee. The stockholder servicing fee will not exceed 4 percent of the total gross offering proceeds of Class T shares sold in the offering.
Class A and Class T DRIP shares are priced at $24.00 each.
The company plans to offer shares in the follow-on offering until August 1, 2019, unless the board of terminates the offering sooner or all of the shares are sold.
Cole Credit Property Trust V’s initial public offering went effective in March 2014 and raised $381 million in investor equity, as of July 31, 2017. The company oversees a $515.3 million portfolio of 118 properties, according to Summit Investment Research.