Cohen & Steers Nontraded REIT Adds $92.3M in Shopping Centers as NAV Nears $392M

Cohen & Steers Income Opportunities REIT Inc., or CNSREIT, has bought two open-air shopping centers for a combined $92.3 million, adding to what the real estate investment trust describes as a focus on necessity-based retail in Sunbelt growth markets.

The nontraded REIT announced Oct. 13 that it had acquired Manchester Village, a 162,000-square-foot community shopping center in Rock Hill, S.C., part of the Charlotte metropolitan area, for $32.5 million. The deal closed Oct. 8. On Sept. 25, the REIT closed on Grand Canyon Crossing, a 309,000-square-foot center in Phoenix, for $59.8 million. Both prices are subject to closing costs and customary prorations.

Both deals were made through CNSREIT’s programmatic joint venture with The Sterling Organization, a West Palm Beach, Fla.-based private equity real estate firm that specializes in retail properties. CNSREIT holds a 99% interest in the venture. In May, the REIT used the same partnership to acquire Winslow Bay Commons, a $61.2 million center in Mooresville, N.C., on the Interstate 77 corridor north of Charlotte.

Manchester Village is 99% occupied and sits at an interchange on I-77 south of downtown Charlotte, the company said. The York County retail submarket is 96% occupied and has posted average annual rent growth of about 6% over the five years ended 2025, according to CoStar data cited by the company. The REIT said the county’s population grew 8.9% over the last five years.

“Just as the growth from Charlotte is spilling over into Mooresville to the north along Interstate 77, where our recently acquired Winslow Bay Commons sits, the Rock Hill area is also seeing rapid growth as the Charlotte metro pushes south,” said James S. Corl, chief executive officer of CNSREIT and head of the private real estate group at Cohen & Steers.

“What makes this location even more interesting is that the Charlotte metro has now pushed over the state line into South Carolina, where retail just over the border benefits from a favorable sales tax relative to North Carolina,” Corl said.

Grand Canyon Crossing is also 99% occupied and anchored by a 207,000-square-foot Walmart Supercenter. Other tenants include Harbor Freight, Starbucks, Wendy’s, Jamba, and Sonic. The 33-acre center, built in 2005, is about 1.5 miles from Grand Canyon University. The company said the North Phoenix/I-17 retail submarket has averaged about 6% annual rent growth over the past five years.

NAV Climbs 5%

CNSREIT’s total net asset value, or NAV, rose about 5% to $391.5 million as of Sept. 30 from $373 million as of Aug. 31. Investments in real estate grew to $761.4 million from $698.7 million, which reflects the Phoenix acquisition. Mortgage debt rose to $397.6 million from $366.1 million.

Per-share values were little changed. Class I NAV per share rose to $12.24 from $12.23, and Class F-I rose to $12.08 from $12.03. Those figures set the Nov. 1 transaction price for those classes. Classes T, S, and D, which have no shares outstanding, are priced off the Class I NAV.

Most of the REIT’s equity comes from share classes sold outside its public offering. Class P, Class B, Class R-I, Class R-S, and Class M-I shares, which are not offered to the public, made up about $350.7 million, or nearly 90%, of total NAV at Sept. 30. Class P shares alone accounted for $299.6 million. The REIT began issuing Class P shares to accredited investors and its adviser in 2024. On Oct. 1, it sold about $16.6 million in Class B, Class R-I, Class R-S, and Class M-I shares in an unregistered offering.

CNSREIT’s second public offering of up to $3 billion launched Jan. 30. Through Oct. 13, it has raised $21.6 million from the sale of about 1.83 million Class I and Class F-I shares, plus $0.5 million through the distribution reinvestment plan. The REIT has not yet sold any Class T, Class S, or Class D shares.

The REIT declared a gross monthly distribution of $0.0435 per share for all classes for September, payable on or about Oct. 22.

CNSREIT is externally managed by Cohen & Steers Capital Management Inc., a subsidiary of Cohen & Steers Inc.

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