Seritage Growth Properties priced an offering of 2,800,000 of its 7.00% series A cumulative redeemable preferred shares of beneficial interest to raise $70.0 million.
The public offering, expected to close Dec. 14, also comes with a 30-day option for underwriters to buy up to an additional 420,000 series A preferred shares to cover overalloments, if any.
The company will channel proceeds from the offering to Seritage Growth Properties LP, in exchange for the operating partnership's preferred units. The partnership will then use the net proceeds to fund its redevelopment pipeline and for general corporate purposes.
The joint book-running managers for the offering are Morgan Stanley & Co. LLC, UBS Securities LLC and Stifel Nicolaus & Co. Inc.