CNSREIT-AR-2024 Final - Flipbook - Page 17
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We intend to qualify as a REIT for U.S. federal income tax purposes. However, if we fail to qualify as a REIT and
no relief provisions apply, our NAV and cash available for distribution to our stockholders could materially
decrease.
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While our investment strategy is to invest in high-quality, stabilized real estate assets with a focus on providing
current income to investors, there is no guarantee that we will achieve this strategy and an investment in us is not
an investment in a fixed income instrument.
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The acquisition of investment properties may be financed in substantial part by borrowing, which increases our
exposure to loss. The use of leverage involves a high degree of financial risk and will increase the exposure of the
investments to adverse economic factors.
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Investing in commercial and other private real estate assets involves certain risks, including: tenants9 inability to
pay rent; increases in interest rates and lack of availability of financing; tenant turnover and vacancies; and
changes in supply of or demand for similar properties in a given market.
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Substantial risks are involved in investing in real estate and real estate-related securities more generally. An
unstable geopolitical climate could have a material adverse effect on general economic conditions, market
conditions and liquidity. Additionally, a serious pandemic or natural disaster could severely disrupt global,
national and regional economies. Epidemic outbreaks could result in health or other government authorities
requiring the closure of businesses, including office buildings, retail stores and other commercial venues and
could also result in a general economic decline.
Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot
guarantee future results, levels of activity, performance, or achievements. We caution you not to place undue reliance on
these forward-looking statements. All written and oral forward-looking statements attributable to us or persons acting on
our behalf are qualified in their entirety by these cautionary statements. Moreover, unless we are required by law to update
these statements, we will not necessarily update or revise any forward-looking statements included or incorporated by
reference in this Annual Report on Form 10-K after the date hereof, either to conform them to actual results or to changes
in our expectations.
