RREEF Property Trust Launches $350 Million Private Offering
RREEF Property Trust, Inc., a publicly registered non-traded real estate investment trust, launched a private offering of up $350 million in shares of newly-designated Class D common stock, including up to $50 million in shares for its distribution reinvestment plan.
Investors in Class D shares must make a minimum initial investment of at least $5 million.
The company recently reclassified its Class A shares to create the new share class. The company can issue up to 1 billion shares of common stock, or 450 million Class A shares, 500 million Class B shares, and 50 million Class D shares.
On the first day the Class D shares are issued, the purchase price will equal the per share net asset value for the Class B shares, as determined on the day the initial subscriptions are processed and accepted, plus selling commissions of up to 1 percent.
Each day thereafter, the per share purchase price will vary on a daily basis, and will equal the NAV per share for the Class D shares, plus selling commissions.
In other RREEF news, the REIT recently purchased an office building in Sterling, Virginia for $21.95 million, as reported by The DI Wire last month.
RREEF Property Trust is a daily NAV real estate investment trust that employs a blended strategy that includes commercial real estate, publicly-traded real estate securities, real estate-related debt and cash and cash equivalents. The REIT targets investments in income-producing properties with established cash flow and the potential for value appreciation, focusing primarily on U.S. commercial real estate assets selected from the industrial, retail, office, and multifamily sectors.
