CIM Income NAV Inc., a publicly registered non-traded real estate investment trust formerly known as Cole Real Estate Income Strategy (Daily Nav) Inc., has registered a $4 billion follow-on offering with the Securities and Exchange Commission.
The offering is comprised of up to $3.5 billion in Class D, Class T, Class S, and Class I shares of common stock in the primary offering, and up to $500 million in distribution reinvestment plan shares.
The REIT primarily invests in single-tenant necessity commercial properties leased to creditworthy tenants under long-term net leases. CIM Income NAV Management LLC serves as the advisor, while BlackRock Investment Management LLC will serve as sub-advisor.
On January 24, 2020, Class D shares were priced to the public at $17.71 each, Class T shares were priced at $17.94, Class S shares were priced at $17.94, and Class I shares were priced at $17.98.
The price to the public equals the net asset value per share for each class plus applicable upfront selling commissions and dealer manager fees.
Class D shares have a stockholder servicing fee of 0.25 percent per year.
Class T shares include selling commissions of up to 3 percent, dealer manager fees of 0.50 percent, and an annual advisor stockholder servicing fee of 0.65 percent and an annual stockholder servicing fee of 0.20 percent. However, the advisor stockholder servicing fee and the stockholder servicing fee may be other amounts, as long as they total 0.85 percent per year.
Class S shares include selling commissions of up to 3.5 percent and an annual stockholder servicing fee of 0.85 percent.
Class I shares have no upfront selling commissions, dealer manager fees or ongoing stockholder servicing fees.
The minimum initial investment in Class D, Class T and Class S shares is $2,500, and the minimum for Class I shares is $1 million.
The total maximum selling commissions, dealer manager fees and stockholder servicing fees paid with respect to Class D, Class T and Class S shares will not exceed 8.75 percent of the gross proceeds in the primary offering.
CIM Income NAV currently offers Class D, Class T, Class S, and Class I shares of common stock, on a continuous basis and for an indefinite period of time, by filing a new registration statement before the end of each prior offering. The registration statement for the REIT’s initial public offering of $4 billion in shares was declared effective by the SEC in December 2011 and was superseded by registration statements declared effective in August 2013 and February 2017.
As of January 31, 2020, CIM Income NAV owned a portfolio of 128 properties purchased for $901.2 million. The portfolio includes six anchored shopping centers, 100 retail assets, 11 industrial and distribution properties, and 11 office properties, comprising approximately 5.4 million rentable square feet of commercial space. The REIT raised approximately $850.6 million in investor equity as of January 31, 2020.