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$3.2 Billion NorthStar Corporate Funds Declared Effective by SEC

The registration statements for NorthStar Corporate Income Fund and NorthStar Corporate Income Fund-T, two non-traded closed-end funds, have been declared effective by the Securities and Exchange Commission. The funds’ initial public offerings seek to raise a total of $3.2 billion from the sale of common stock.

NorthStar Corporate Income Fund is a $3 billion offering with three share classes: class A shares, class D shares and class I shares. There is a minimum initial investment of $4,000 for class A and class D shares and a minimum initial investment of $100,000 for class I shares.

Class A shares are priced at $9.88 each with a 6 percent sales commission and a 2 percent dealer manager fee. Class D shares are priced at $9.28 and have no sales commission and a 2 percent dealer manager fee. Class I shares are priced at $9.09 and have no sales commission or dealer-manager fees.

There will also be organization and offering expenses of 1 percent of the total proceeds raised, after the payment of selling commissions and dealer manager fees.

NorthStar Corporate Income Fund-T is a $189.4 million annual offering, and the company is expected to launch a new T-fund on a yearly basis.

The T-fund shares are priced at $9.47 with a 2 percent sales commission and a 2 percent dealer manager fee. Beginning the first month after the close of the offering, the shares will be subject to a distribution and servicing fee at an annualized rate of 1 percent of the NAV per share.

The two funds will seed and invest through NorthStar Corporate Income Master Fund, an unlisted, closed-end fund registered under the Investment Company Act of 1940.

NorthStar Corporate Income Master Fund intends to invest in the income producing securities of public and private U.S. and non-U.S. companies, including first and second lien loans, subordinated debt, bonds and structured credit, including collateralized loan obligations debt and equity.

NorthStar Asset Management Group (NYSE: NSAM) and Och-Ziff Capital Management Group (NYSE: OZM) are the parent companies of the adviser and sub-adviser to NorthStar Corporate Income Master Fund, respectively. NorthStar Securities is the dealer manager.

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