Delivery of the proceeds is scheduled for Oct. 5. The locally based specialty finance REIT will use the proceeds primarily to repay indebtedness and for investments in real estate and general trust purposes. The underwriters have an option to purchase up to 300,000 additional Series B preferred shares to cover any over-allotments. The over-allotment option is exercisable within 30 days after the Oct. 5 date of deliver. It could generate an additional $7.3 million in net proceeds.

Arlington, VA-based Friedman, Billings, Ramsey & Co. is the lead managing underwriter. Minneapolis-based Piper Jaffray & Co. and Stifle, Nicolaus & Co., based in St. Louis, are co-managers.

Last June RAIT raised approximately $53 million from a public offering of common stock, which was underwritten by the same three companies. In April of this year it filled its coffers with $66.8 million from a public offering of its 7.75% Series A cumulative redeemable preferred shares.

It trades as RAS on the NYSE. Shares of RAIT common stock closed at $27.25 a share on September 29. The 52-week high, $29.55 a share, was reached on March 31 this year; the 52-week low, $21.25 a share, occurred on May 10.

RAIT focuses on structured financing, generally in loans of between $2 million and $30 million, to mid-size private and corporate owners of commercial real estate. It also acquires real estate for its own account, primarily from the East Coast and Mid-Atlantic regions.