v3.25.2
Capital Transactions
 6 Months Ended
Jun. 30, 2025
Equity [Abstract]  
Capital Transactions Capital Transactions
Public Offerings
Under the Second Follow-On Public Offering, the Company has offered and continues to offer up to $1.0 billion of shares, on a best efforts basis, which means that CNL Securities Corp., as the Managing Dealer of the Second Follow-On Public Offering, uses its best effort but is not required to sell any specific amount of shares. The Company is offering, in any combination, four classes of shares in the Second Follow-On Public Offering: Class A shares, Class T shares, Class D shares and Class I shares. The initial minimum permitted purchase amount is $5,000 in shares. There are differing selling fees and commissions for each share class. The Company also pays distribution and shareholder servicing fees, subject to certain limits, on the Class T and Class D shares sold in the Public Offerings (excluding sales pursuant to the Company’s distribution reinvestment plan). The public offering price, selling commissions and dealer manager fees per share class are determined monthly as approved by the Company’s board of directors. As of June 30, 2025, the public offering price was $39.92 per Class A share, $38.30 per Class T share, $36.25 per Class D share and $37.01 per Class I share.
The Company is also offering, in any combination, up to $100.0 million of Class A shares, Class T shares, Class D shares and Class I shares to be issued pursuant to its distribution reinvestment plan.
See Note 13. “Subsequent Events” for additional information related to the Public Offerings.
The following tables summarize the total shares issued and proceeds received by share class in connection with the Public Offerings, excluding shares repurchased through the Share Repurchase Program described further below, for the six months ended June 30, 2025 and 2024 (in thousands except per share data):
Six Months Ended June 30, 2025
Proceeds from Public OfferingsDistributions ReinvestedTotal
Share ClassShares IssuedGross Proceeds
Sales
Load(1)
Net Proceeds to CompanyShares IssuedProceeds to CompanyShares IssuedNet Proceeds to CompanyAverage Net Proceeds per Share
Class A14 $538 $(42)$496 101 $3,647 115 $4,143 $35.96 
Class T242 9,139 (405)8,734 23 817 265 9,551 36.10 
Class D40 1,415 — 1,415 29 1,027 69 2,442 35.67 
Class I1,475 53,734 — 53,734 138 5,019 1,613 58,753 36.42 
1,771 $64,826 $(447)$64,379 291 $10,510 2,062 $74,889 $36.33 
Six Months Ended June 30, 2024
Proceeds from Public OfferingsDistributions ReinvestedTotal
Share ClassShares IssuedGross Proceeds
Sales
Load(1)
Net Proceeds to CompanyShares IssuedProceeds to CompanyShares IssuedNet Proceeds to CompanyAverage Net Proceeds per Share
Class A1,238 $42,696 $(926)$41,770 72 $2,427 1,310 $44,197 $33.77 
Class T169 6,007 (275)5,732 26 889 195 6,621 33.82 
Class D305 10,227 — 10,227 27 910 332 11,137 33.56 
Class I1,466 50,219 — 50,219 122 4,174 1,588 54,393 34.25 
3,178 $109,149 $(1,201)$107,948 247 $8,400 3,425 $116,348 $33.98 
FOOTNOTE:
(1)The Company incurs selling commissions and dealer manager fees on the sale of Class A and Class T shares sold through the Public Offerings. See Note 5. “Related Party Transactions” for additional information regarding up-front selling commissions and dealer manager fees.
Share Repurchase Program
In accordance with the Share Repurchase Program, the total amount of aggregate repurchases of Class FA, Class A, Class T, Class D, Class I and Class S shares is limited to up to 2.5% of the aggregate net asset value per calendar quarter (based on the aggregate net asset value as of the last date of the month immediately prior to the repurchase date) and up to 10% of the aggregate net asset value per year (based on the average aggregate net asset value as of the end of each of the Company’s trailing four quarters). At the sole discretion of the Company’s board of directors, the Company may use sources, including, but not limited to, offering proceeds and borrowings to repurchase shares. 
During the six months ended June 30, 2025 and 2024, the Company received requests for the repurchase of approximately $29.8 million and $26.6 million, respectively, of the Company’s common shares. The Company’s board of directors approved the repurchase requests.
The following table summarizes the shares repurchased during the six months ended June 30, 2025 and 2024 (in thousands except per share data):
Shares RepurchasedTotal ConsiderationAverage Price Paid per Share
Class FA115 $4,610 $39.92 
Class A94 3,430 36.21 
Class T33 1,185 36.29 
Class D108 3,817 35.68 
Class I446 16,293 36.54 
Class S10 422 40.80 
Six Months Ended June 30, 2025806 $29,757 $36.92 
Shares RepurchasedTotal ConsiderationAverage Price Paid per Share
Class FA109 $4,059 $36.99 
Class A76 2,536 33.80 
Class T113 3,814 33.76 
Class D49 1,633 33.59 
Class I400 13,737 34.32 
Class S20 777 37.89 
Six Months Ended June 30, 2024767 $26,556 $34.62 
As of June 30, 2025 and December 31, 2024, the Company had a payable for shares repurchased of approximately $11.2 million and $19.2 million, respectively, which were paid in July and January 2025, respectively.
Share Conversions
Class T and Class D shares are converted into Class A shares once the maximum amount of distribution and shareholder servicing fees for those particular shares has been met. The shares to be converted are multiplied by the applicable conversion rate, the numerator of which is the net asset value per share of the share class being converted and the denominator of which is the net asset value per Class A share.
During the six months ended June 30, 2025, approximately 583,000 Class T shares were converted to approximately 582,000 Class A shares at an average conversion rate of 1.00. During the six months ended June 30, 2024, approximately 160,000 Class T shares were converted to approximately 161,000 Class A shares at an average conversion rate of 1.00.