Cottonwood Raises Over $270K in Cash

A significant number of older series shares were also converted to new Series 2025 Preferred Stock during the exchange period.

June 11, 2025

Cottonwood ramps up Series 2025 Preferred Stock activity

Cottonwood Communities is moving quickly to build momentum around its Series 2025 Preferred Stock offering—and investors are responding.

Between June 4 and June 9, Cottonwood raised $273,508 in cash proceeds from new sales of Series 2025 Preferred Stock. The shares were offered at $10.00 each, with certain discounts applied. These new investments are part of a broader $150 million private placement offering the company launched in December 2024. The offering is open only to accredited investors and runs through at least June 30, 2025, with the possibility of extension.

But Cottonwood isn’t just raising fresh capital—it’s also streamlining its capital structure. Over the same five-day period, the company converted 316,650 shares of its Series 2019 and Series 2023 Preferred Stock into the new Series 2025 shares. Those exchanges took place at fixed ratios, giving investors a simple path to consolidate holdings into a single series.

Outstanding share count grows as placement progresses

By the end of June 9, the total number of Series 2025 Preferred Stock shares outstanding had climbed to 7,621,449. That includes both cash purchases and converted shares.

The company reported the following transaction costs during the period:

• $5,190 in selling commissions related to the cash sales


• $8,554 in placement fees for those same sales


• $98,100 in selling commissions tied to exchanges


• $93,336 in placement fees for converted shares

With cash sales and conversions progressing side by side, Cottonwood is giving investors flexible ways to participate—and acting decisively to keep the offering on track. The structure is straightforward, and the process is already gaining traction. As of now, the offering remains open and continues to provide an option for both new investment and rollover from legacy share classes.