Outstanding preferred shares surpass 12.7 million as the Utah-based real estate firm draws closer to its $150 million fundraising ceiling.

March 2, 2026

Overview

Cottonwood Communities, Inc., a Maryland-incorporated real estate company headquartered in Salt Lake City, Utah, has disclosed the sale of more than 170,000 shares of its Series A Convertible Preferred Stock over a recent nine-day window — bringing in over $1.6 million in fresh capital.

Recent Sales Activity

According to a current report submitted to the U.S. Securities and Exchange Commission, the company issued 170,442 shares between February 17 and February 26, 2026, generating aggregate proceeds of $1,618,000. Shares were priced at $10.00 each under the company’s ongoing private placement offering.

Associated distribution costs from this sales period included:

• Selling commissions: $28,430
• Placement fees: $36,833
• Total distribution costs: ~$65,263

As of February 26, 2026, Cottonwood Communities had 12,785,064 shares of Series A Convertible Preferred Stock outstanding. The report was signed by President Enzio Cassinis and filed with the SEC on February 27, 2026.

About the Offering

Cottonwood Communities launched its Series A Convertible Preferred Stock offering in September 2023 with a maximum raise target of $150 million. The offering is structured as a private placement exempt from federal securities registration requirements, meaning the company may sell shares only to accredited investors and without resorting to broad public advertising or general solicitation.

The convertible nature of the preferred shares is a notable feature for investors. Under defined conditions, holders may convert their preferred stock into another class of equity — a structure that offers both the relative stability of preferred income and the potential for broader participation in the company’s growth.

Approaching the Fundraising Ceiling

Based on the current number of shares outstanding at face value, Cottonwood Communities has now issued the equivalent of approximately $127.9 million in preferred stock — leaving roughly $22 million remaining under its maximum offering capacity. Whether the company reaches that ceiling will depend on sustained investor demand in the months ahead.

Cottonwood Communities focuses primarily on the multifamily residential real estate sector and has relied on the preferred stock offering as a central tool for private capital formation since the program’s launch nearly two and a half years ago.