InPoint Commercial Real Estate Income Inc., a commercial mortgage non-traded real estate investment trust, has temporarily suspended its continuous public offering and share repurchase plan in connection with its preferred stock offering.
InPoint recently filed a registration statement for an underwritten public offering of 2 million shares of Series A cumulative redeemable preferred stock with a liquidation preference of $25.00 per share. The company also intends to grant a 30-day over-allotment option to purchase up to an additional 300,000 shares of the Series A preferred stock.
Federal regulations prohibit the REIT from selling shares in the primary portion of its initial public offering and repurchasing shares through its share repurchase plan during a restricted period. Thus, the offering and share repurchase plan will be suspended from September 7th until September 15th.
InPoint is advised by an affiliate of Inland Real Estate Investment Corporation and sub-advised by an affiliate of Sound Point Capital Management LP.
The REIT invests primarily in floating-rate commercial real estate debt, including first mortgage loans, subordinate mortgage and mezzanine loans, and participations in such loans, secured by properties located within the United States.
As of June 30, 2021, InPoint’s portfolio was comprised of 36 debt investments with total unpaid principal balances of $554.8 million and one owned property, the Renaissance O’Hare, with a fair value of approximately $14 million. The company raised $276.7 million in its private offering from October 2016 to July 2019 and $38.3 million in its public offering from May 2019 through May 2021.