Prospectus excerpt: We are offering 3,600,000 shares of our 7.625% Series B Cumulative Redeemable Perpetual Preferred Stock, par value $0.001 per share, which we refer to in this prospectus supplement as our Series B Preferred Stock. This is the original issuance of our Series B Preferred Stock.
Dividends on our Series B Preferred Stock will be cumulative from the date of original issue and payable quarterly on or about the 15th day of each January, April, July and October, beginning on or about April 15, 2011, at the rate of 7.625% per annum of its liquidation preference, which is equivalent to $1.90625 per annum per share. The first dividend on our Series B Preferred Stock sold in this offering is payable on April 15, 2011 (in the amount of $0.20121528 per share).
Except in instances relating to preservation of our qualification as a real estate investment trust, or REIT, or in connection with a change of control of our company as a result of which our common stock, par value $0.001 per share, and the common securities of the acquiring or surviving entity, are not listed on the New York Stock Exchange, or NYSE, the NYSE Amex Equities, or NYSE Amex, or the NASDAQ Stock Market, or NASDAQ, our Series B Preferred Stock is not redeemable prior to March 15, 2016. On and after March 15, 2016, we may redeem our Series B Preferred Stock in whole, at any time, or in part, from time to time, for cash at a redemption price of $25 per share, plus any accrued and unpaid dividends to, but not including, the date of redemption. If at any time following a change of control of our company as a result of which our common stock and the common securities of the acquiring or surviving entity are not listed on the NYSE, NYSE Amex or NASDAQ, we may redeem our Series B Preferred Stock in whole, at any time, or in part, from time to time, within 120 days after the first date on which such change of control has occurred, for cash at a redemption price of $25 per share, plus any accrued and unpaid dividends (whether or not declared) to, but not including, the date of redemption. If we exercise this special optional redemption right in connection with a change of control the result of which our common stock and the common securities of the acquiring or surviving entity are not listed on the NYSE, NYSE Amex or NASDAQ in whole within 30 days following the occurrence of a change of control, you will not have the conversion right described in the following paragraph. Our Series B Preferred Stock has no maturity date and will remain outstanding indefinitely unless converted by you in connection with a change of control the result of which our common stock and the common securities of the acquiring or surviving entity are not listed on the NYSE, NYSE Amex or NASDAQ or are redeemed by us. In addition, our Series B Preferred Stock is not subject to any sinking fund or mandatory redemption.
Upon the occurrence of a change of control the result of which our common stock and the common securities of the acquiring or surviving entity are not listed on the NYSE, NYSE Amex or NASDAQ, you will have the right (subject to our special optional redemption right to redeem your Series B Preferred Stock) to convert some or all of your Series B Preferred Stock into a number of shares of our common stock equal to the lesser of (A) the quotient obtained by dividing (i) the sum of (x) $25.00, plus (y) an amount equal to any accrued and unpaid dividends, whether or not declared, to, but not including, the date of conversion (unless the date of conversion is after a record date for a Series B Preferred Stock dividend payment and prior to the corresponding Series B Preferred Stock dividend payment date, in which case no additional amount for such accrued and unpaid dividend will be included in this quotient), by (ii) the price of our common stock, and (B) 2.105 (the Share Cap), subject to certain adjustments and provisions for the receipt of alternative consideration of equivalent value as described in this prospectus supplement.