February 2, 2018
An affiliate of Los Angeles-based CIM Group acquired Cole Capital from Phoenix-based VEREIT, Inc. In connection with the transaction, VEREIT may receive up to $200 million, comprised of approximately $120 million cash paid at closing under the purchase agreement, and up to $80 million in fees to be paid under a six-year services agreement based on Cole’s future revenues.
Cole Capital Corporation, Cole’s broker-dealer subsidiary, has been renamed CCO Capital, LLC.
Cole operates five public non-listed real estate investment trusts (the Cole REITs): Cole Credit Property Trust IV, Inc., Cole Credit Property Trust V, Inc., Cole Real Estate Income Strategy (Daily NAV), Inc., Cole Office & Industrial REIT (CCIT II), Inc., and Cole Office & Industrial REIT (CCIT III), Inc. The Cole REITs together have more than $7.6 billion in real estate assets.
CIM’s Richard Ressler says, “CIM is acquiring expertise and taking over operations for what we believe are best-in-class performing real estate funds in the net-lease sector. We believe that adding net-lease assets is complementary to CIM’s urban real asset platforms, and will benefit all of our stakeholders.”
For comments, questions or concerns, please contact Dennis Kaiser