Gladstone Land Corporation (Nasdaq:LAND), a publicly traded real estate investment trust and sponsor of non-traded preferred stock offerings, filed a new prospectus supplement for a continuous public offering of up to eight million shares of its newly-designated 5.00% Series E Cumulative Redeemable Preferred Stock at an offering price of $25.00 per share.
The company says it expects to receive up to $200.0 million in gross proceeds and approximately $175.0 million in net proceeds, after payment of dealer manager fees and selling commissions and estimated expenses of the offering payable by the company. Gladstone Securities LLC, an affiliate of the company, will serve as the company’s dealer manager in connection with the offering.
The company expects that the offering will terminate by Dec. 31, 2025, or once all eight million shares of the preferred stock have been sold.
There is currently no public market for shares of Series E Preferred Stock. The company intends to apply to list the Series E Preferred Stock on Nasdaq or another national securities exchange within one year of the termination date of the offering.
Founded in 1997, Gladstone Land invests in farmland and farm-related properties located in major agricultural markets in the U.S. and leases its properties to unrelated third-party farmers. The company currently owns 169 farms, comprised of approximately 115,000 acres in 15 different states and 45,000 acre-feet of banked water in California, valued at a total of $1.5 billion.
Gladstone Land pays monthly distributions to its stockholders and has reportedly paid 116 consecutive monthly cash distributions on its common stock since its initial public offering in January 2013. The company has increased its common distributions 28 times over the prior 31 quarters, and the current per-share distribution on its common stock is $0.0458 per month, or $0.5496 per year.