Capital Square Housing Trust Announces Series 2 Preferred Stock Offering

Capital Square Housing Trust, a real estate investment trust (REIT) sponsored by Capital Square, has announced the launch of its Series 2 Class A and Class I Redeemable and Convertible Preferred Stock offering. The offering targets accredited investors with shares priced at $10 each, aiming to raise $40 million, potentially increasing to $45 million. The funds are earmarked for acquisitions, UPREIT transactions, preferred stock redemptions, and other real estate-related investments.

Louis Rogers, founder and co-chief executive officer of Capital Square, highlighted the success of the Series 1 offering as the impetus for the Series 2 launch. The offering includes Class A shares for broker-dealer sales, offering a 9.0% annual dividend with a $10,000 minimum investment, and Class I shares for registered investment advisor sales, offering a 9.75% annual dividend with a $5,000,000 minimum investment.

Investors have the option to convert their preferred stock to common stock after four years at a discounted price, providing a unique opportunity to participate in the REIT's growth. Additionally, the Preferred Distribution Reinvestment Plan (DRIP) allows investors to reinvest their dividends into additional shares without fees or sales commissions.

Whitson Huffman, co-chief executive officer and chief investment officer of Capital Square, emphasized the offering's benefits, including attractive yields, monthly income, and growth participation through conversion. This strategic move supports the REIT's expansion and aligns with its vision for a diversified housing portfolio.

For more information, investors are encouraged to review the private placement memorandum (PPM) and consider the risks involved in private real estate investments. Further details can be found at https://brokercheck.finra.org/.