ORLANDO-CNL Financial Group is rolling out yet another REIT. Dubbed CNL Properties Trust, the new fund aims to qualify as a real estate investment trust and invest in multiple asset classes, including senior living and health care, lifestyle, lodging, and specialty properties.
“If you think about lifestyle and demographic properties supplemented by a deeper penetration of the seniors and healthcare spaces, that’s exactly what we plan to do,” Byron Carlock, president and CEO of CNL Properties Trust, tells GlobeSt.com. “Someone called it a continuation of the best of CNL because it’s a little bit of many things we’ve done before: lodging, lifestyle and healthcare.”
CNL is working to raise up to $3 billion in capital through a best-efforts, continuous public offering over two years, with CNL Securities Corp. serving as the managing dealer. The U.S. Securities and Exchange Commission declared the registration statement for CNL Properties Trust effective on Monday.
“We see tremendous opportunities in these asset categories, with property prices at attractive levels and these sectors in need of capital,” says Thomas Sittema, CEO of CNL Financial Group, the sponsor of the offering. “CNL Properties Trust will harness the company’s extensive experience in these categories, including our executive team’s knowledge of these industry sectors and relationships with operators and property owners.”
CNL’s four previous sponsored REITs each focused on a different asset class. As Carlock hinted, CNL Properties Trust will combine many of those asset classes in one portfolio. CNL Hotels & Resorts was sold in 2006 for $6.6 billion. CNL Retirement Properties was sold in 2006 for $5.3 billion.
Trustreet Properties, Inc., which owned restaurant properties, was listed on the New York Stock Exchange and then sold for $3 billion in 2007. CNL Lifestyle Properties, which closed to new investors April 9, has assembled a portfolio exceeding $3.3 billion that includes lifestyle properties such as ski resorts, attractions, golf courses and marinas, as well as senior living, destination retail and experiential lodging.
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