Carter Validus Mission Critical REIT II Registers $350 Million Follow-On Offering with SEC

Carter Validus Mission Critical REIT II Inc., a publicly registered non-traded real estate investment trust, filed a registration statement for a maximum offering of $350 million shares of common stock.

The follow-on offering consists of up to $332.5 million of Class A, Class T and Class I shares and up to $17.5 million distribution reinvestment plan shares. Proceeds will be used primarily to purchase commercial real estate assets with a focus on data centers and healthcare properties.

Class A shares will be sold for $10.078 each and include a 7 percent selling commission and a 3 percent dealer manager fee. Class A shares are available for purchase by the general public through brokerage and transaction-based accounts.

Class T shares will be sold for $9.649 each and include a 3 percent selling commissions, a 3 percent dealer manager fee, and a 1 percent annual distribution and servicing fee.

Class I shares will be sold for $9.162 each and have no upfront selling commissions or distribution and servicing fees. SC Distributors, the REIT’s dealer manager may receive up to 2 percent of the gross offering proceeds from the sale of Class I shares as a dealer manager fee, of which 1 percent will be funded by Carter Validus Advisors II, the advisor, without reimbursement from the REIT.

The 1 percent of the dealer manager fee paid from offering proceeds will be waived in the event an investor purchases Class I shares through a registered investment adviser that is not affiliated with a broker-dealer. In this case, the per share purchase price would be $9.07.

Class I shares are available for purchase through fee-based programs of participating broker-dealers, also known as wrap accounts, through registered investment advisers not affiliated with a participating broker-dealer, or by endowments, foundations, pension funds and other institutional investors.

Class A, Class T, and Class I DRIP shares will be priced $9.07 each.

The minimum purchase is $2,000, except in New York where the minimum purchase is $2,500, and additional purchase must be in increments of $500. The shares are being offered to investors through SC Distributors.

Carter Validus Mission Critical REIT II went effective in May 2014 and has raised $919.5 million in investor equity since inception. The REIT’s portfolio is comprised of 52 properties (15 data center and 37 healthcare properties) for a total purchase price of $1.01 billion.

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