To support distributions during the two-year period following its initial public offering and before NorthStar/RXR has acquired a substantial portfolio of income-producing investments, Colony NorthStar and RXR Realty LLC have agreed to purchase under certain circumstances up to an aggregate of $10.0 million shares of NorthStar/RXR common stock (which includes any shares Colony NorthStar, RXR Realty or their affiliates purchase in order to satisfy the minimum offering). Our distribution support agreement with Colony NorthStar and RXR Realty LLC terminates two years after the commencement of the offering and not two-years after the date you purchase your shares. The amount of distributions, if any, that will be paid during or after the two year period following the initial public offering, is uncertain. Distributions are expected to be paid monthly, but not assured and may be paid from any source, including offering proceeds, borrowings or sales of assets, which may constitute a return of capital and significantly reduce the amount of capital that we have available for investment.
- 2016 Form 8937 (PDF)