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Investor Relations

Investor
Relations

Distributions

In order to provide additional cash to pay distributions to our stockholders at a rate of at least 7% per annum on stockholders’ invested capital year during the offering period, Colony NorthStar has agreed to purchase up to an aggregate of $10.0 million in shares of our Class A common stock (which includes the $2.0 million of shares purchased by an affiliate of Colony NorthStar to satisfy the minimum offering amount) at the current offering price of our Class A shares net of selling commissions and dealer manager fees. If the cash distributions we pay for any calendar quarter exceed MFFO for such quarter, Colony NorthStar will purchase Class A shares following the end of each quarter for a purchase price equal to the amount by which the distributions paid to stockholders exceed MFFO for such quarter, up to an amount equal to a 7% cumulative, non-compounded annual return on stockholders’ invested capital prorated for such quarter. Notwithstanding Colony NorthStar’s obligations pursuant to the distribution support agreement, we are not required to pay distributions to our stockholders at a rate of 7% per annum or at all. After our distribution support agreement with Colony NorthStar has terminated, we may not have sufficient cash available to pay distributions at the rate we had paid during preceding periods or at all.


Tax Forms

 

There is no guarantee of distributions. Distributions have been paid and may continue to be paid from sources other than cash flow from operations, such as offering proceeds, borrowings or sales of assets and distributions may exceed earnings. We have paid distributions in excess of our cash flow provided by operations. For the year ending December 31, 2016, we declared distributions of $70,855,000 compared to cash flow provided by operations of $34,591,000. The remaining $36,264,000, or 51.2%, was paid using offering proceeds, including the purchase of additional shares by our sponsor, which reduces the amount we can invest in income-producing assets and your overall return may be reduced. Distributions have also exceeded our net income of $22,365,000 for the same period. Fees paid to the advisor were not determined on an arm’s length basis and reduce the amount the program can invest in income-producing assets and your overall return may be reduced.

This website is neither an offer to sell nor a solicitation of an offer to buy securities. An offering is made only by the prospectus. This website must be read in conjunction with the prospectus in order to fully understand all of the implications and risks of the offering of securities to which the prospectus relates. A copy of the prospectus must be made available to you in connection with any offering. No offering is made except by a prospectus filed with the Department of Law of the State of New York. Neither the Securities and Exchange Commission, the Attorney General of the State of New York nor any other state securities regulator has approved or disapproved of our common stock, determined if the prospectus is truthful or complete or passed on or endorsed the merits of this offering. Any representation to the contrary is a criminal offense. Consult the prospectus for suitability standards in your state. NorthStar Income II is not available to residents of OH. Securities offered through NorthStar Securities, LLC, member FINRA/SIPC, an affiliate of and the dealer manager for NorthStar Income II. NorthStar Securities, LLC is doing business as NorthStar BD Securities, LLC (DE) in the following states: FL, GA, TX and WA.

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