Cottonwood Communities Raises $2M From Series 2025 Preferred in Two-Week Window
Outstanding Series 2025 shares have passed 13 million, while Cottonwood reports its separate Series A convertible placement on its own schedule.
November 3, 2026
Cottonwood Communities sold 201,123 shares of its Series 2025 Preferred Stock between October 19 and November 1, 2026, collecting aggregate proceeds of $2,008,997. The multifamily REIT paid $118,440 in selling commissions and $60,445 in placement fees on the round, and 13,088,961 Series 2025 shares were outstanding as of November 1.
The window opened the day after the previous one closed. That earlier period, September 22 through October 18, covered nearly four weeks and produced a similar total. Cottonwood sold 210,135 shares in that stretch for aggregate proceeds of $2,079,012, paying $104,700 in selling commissions and $62,527 in placement fees, and the period ended with 12,914,808 Series 2025 shares outstanding.
Offering terms
The Series 2025 private offering launched on December 9, 2024 with a $150 million maximum. Shares carry a $10.00 purchase price, with discounts for certain categories of purchasers, and are sold only to accredited investors under Rule 506(b) of Regulation D, without general solicitation. Outstanding Series 2025 shares stood at 12,231,353 after a $1.73 million round that ended August 2.
The Series A program
Cottonwood also sells Series A Convertible Preferred Stock in a separate private placement that launched on September 19, 2023 and now carries a $200 million maximum. From October 6 through October 26, the company sold 249,509 Series A shares for aggregate proceeds of $2,438,500, leaving 13,494,778 Series A shares outstanding as of October 26, up from 13,330,705 after an eight-day round in early September.
Both preferred programs run alongside the REIT's public offering of common stock. Earlier in October, Cottonwood lowered its monthly distribution rate and closed a credit facility with JPMorgan Chase for its operating partnership.
Cottonwood Communities is a non-traded, NAV-based perpetual-life REIT that invests in multifamily apartment communities and related real estate assets. It is incorporated in Maryland, based in Utah, and externally managed. None of its securities are listed on an exchange.
