Cottonwood Communities Reports $1.55M Sale of Series A Preferred

What Happened
Cottonwood Communities, Inc. filed an 8-K on September 18, 2026 reporting that between September 9 and September 17, 2026 it issued and sold 162,620 shares of its Series A Convertible Preferred Stock in a Rule 506(b) private placement, receiving aggregate proceeds of $1,550,000. The Private Offering was launched on September 19, 2023 and offers Series A Convertible Preferred Stock at $10.00 per share to accredited investors without general solicitation.

Key Details

• Private Offering: best-efforts, Rule 506(b) exemption; offering maximum up to $200,000,000 at $10.00 per share.
• Recent sale (Sep 9–17, 2026): 162,620 shares sold for $1,550,000 gross proceeds.
• Fees/commissions: aggregate selling commissions of $22,500 and placement fees of $45,450. Net proceeds from this tranche equal $1,482,050 (calculated).
• Outstanding preferred: as of September 17, 2026 there were 13,493,325 shares of Series A Convertible Preferred Stock outstanding.

Why It Matters
This filing shows the company is continuing to raise capital through a private placement of convertible preferred shares targeted at accredited investors. The $1.55M raise increases the company’s cash resources but also increases the outstanding balance of convertible preferred stock, which investors should watch because conversion terms could affect common equity dilution. Retail investors should review the company’s offering documents and other filings for conversion mechanics and overall capitalization to understand the potential impact on equity holders.