James Sprow | Blue Vault |
On November 8, 2019, Cottonwood Communities, Inc. launched a best-efforts private placement offering exempt from registration pursuant to Rule 506(b) of Regulation D of the Securities Act pursuant to which it is offering a maximum of $50,000,000 in shares of its Series 2019 Preferred Stock to accredited investors at a purchase price of $10.00 per share. The exemption is available to the Company because the shares are being offered and sold solely to accredited investors without the use of general solicitation.
During the period from January 22, 2020, to January 27, 2020, the Company issued and sold 18,840 shares of its Series 2019 Preferred Stock in the Private Offering and received aggregate proceeds of approximately $188,400. In connection with the sale of these shares in the Private Offering, the Company paid aggregate selling commissions of $13,188 and placement fees of $3,580. As of January 27, 2020, there were 185,405 shares of the Company’s Series 2019 Preferred Stock outstanding.
The table below shows data for three reports filed with the SEC regarding this offering:
Cottonwood Communities, Inc. is a public, non-traded real estate investment trust (“REIT”) that seeks to invest in multifamily apartment communities and multifamily real estate-related assets located throughout the United States. The REIT owns Cottonwood West Palm, a 245-unit apartment complex in West Palm Beach, Florida. It also has a note investment in Dolce Twin Creeks (Phase II) in Allen, Texas, and a preferred equity investment in Lector85, a development in Ybor City, Florida. Its strategy is to invest 65% of its portfolio in stabilized, income-producing, multifamily properties, and 35% in preferred equity, mortgage or mezzanine loans, and equity investments in property/land to be developed into a multifamily apartment community.
Cottonwood Communities, Inc. commenced its public offering of $750 million of common stock on August 13, 2018. For more information, visit the website at www.cottonwoodcommunities.com.
Source: SEC, Cottonwood Communities
