Alston & Bird client NorthStar Real Estate Income Trust, Inc. (NorthStar I), has entered into a definitive agreement to combine with NorthStar Real Estate Income II, Inc. (NorthStar II), and a newly formed subsidiary of Colony NorthStar, Inc.
Under the terms of the agreement, NorthStar I and NorthStar II will combine with a select portfolio of Colony NorthStar assets and liabilities in an all-stock combination to form a new company called Colony NorthStar Credit Real Estate, Inc.
The new company will have approximately $5.5 billion in assets and $3.4 billion in equity value.
NorthStar I and NorthStar II are public, non-traded REITs sponsored by Colony NorthStar, a leading global real estate and investment management firm with $56 billion in assets under management and offices in 10 countries.
Advising NorthStar I is an Alston & Bird Real Estate & REITs team led by partner Rosemarie Thurston, assisted by partners David E. Brown, Jim Croker, and Gregg Loubier; counsel Aaron Hendricson; senior associate Matt Berde; associates Ian Jones, Steve Mehr, and Stefanie Kavanagh; and attorney Bert Greenwell.