10-Q

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2013

or

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from__________ to ___________

Commission File Number: 000-54970

CORPORATE PROPERTY ASSOCIATES 18 – GLOBAL INCORPORATED

(Exact name of registrant as specified in its charter)

Maryland	90-0885534
(State of incorporation)	(I.R.S. Employer Identification No.)
50 Rockefeller Plaza
New York, New York	10020
(Address of principal executive offices)	(Zip Code)

Investor Relations (212) 492-8920

(212) 492-1100

(Registrant’s telephone numbers, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer o	Accelerated filer o	Non-accelerated filer x	Smaller reporting company o
	(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x

Registrant has 5,473,424 shares of Class A common stock, $0.001 par value, and 1,647,826 shares of Class C common stock, $0.001 par value, outstanding at October 31, 2013.

INDEX
PART I — FINANCIAL INFORMATION	Page No.
Item 1. Financial Statements (Unaudited)
Consolidated Balance Sheets	2
Consolidated Statements of Operations	3
Consolidated Statements of Equity	4
Consolidated Statement of Cash Flows	5
Notes to Consolidated Financial Statements	6
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	15
Item 3. Quantitative and Qualitative Disclosures About Market Risk	24
Item 4. Controls and Procedures	25
PART II — OTHER INFORMATION
Item 1A. Risk Factors	26
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	26
Item 6. Exhibits	27
Signatures	28

Forward-Looking Statements

This Quarterly Report on Form 10-Q (the “Report”), including Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”) in Item 2 of Part I of this Report, contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. It is important to note that our actual results could be materially different from those projected in such forward-looking statements. You should exercise caution in relying on forward-looking statements as they involve known and unknown risks, uncertainties and other factors that may materially affect our future results, performance, achievements or transactions. Information on factors which could impact actual results and cause them to differ from what is anticipated in the forward-looking statements contained herein is included in this Report as well as in our other filings with the Securities and Exchange Commission (the “SEC”), including but not limited to the risk factors described in our registration statement on Form S-11 (File No. 333-185111) (the “Registration Statement”) dated May 7, 2013. Except as required by federal securities laws and rules of the SEC, we do not undertake to revise or update any forward-looking statements.

All references to “Notes” throughout the document refer to the footnotes to the consolidated financial statements of the registrant in Part I, Item 1, Financial Statements (Unaudited).

CPA^®:18 – Global 9/30/2013 10-Q– 1

PART I

Item 1. Financial Statements.

CORPORATE PROPERTY ASSOCIATES 18 – GLOBAL INCORPORATED

CONSOLIDATED BALANCE SHEETS (UNAUDITED)

	September 30, 2013			December 31, 2012
Assets
Investments in properties:
Real estate, at cost	$	97,208,900		$	—
Accumulated depreciation	(243,280		)	—
Net investments in properties	96,965,620			—
Cash and cash equivalents	14,248,441			209,000
In-place lease intangible assets, net	17,311,711			—
Deferred offering costs	3,851,393			—
Other assets	1,147,365			—
Total assets	$	133,524,530		$	209,000
Liabilities and Equity
Liabilities:
Non-recourse debt	$	72,800,000		$	—
Note payable to affiliate	15,000,000			—
Due to affiliate	5,343,352			—
Prepaid and deferred rental income	2,441,828			—
Accounts payable, accrued expenses and other liabilities	239,997			—
Distributions payable	115,180			—
Total liabilities	95,940,357			—
Commitments and contingencies (Note 7)
Equity:
CPA®:18 – Global stockholders’ equity:
Preferred stock, $0.001 par value, 50,000,000 and 0 shares authorized; None issued	—			—
Class A common stock $0.001 par value, 320,000,000 and 0 shares authorized;    1,771,353 and 0 shares issued and outstanding, respectively	1,771			—
Class C common stock $0.001 par value, 80,000,000 and 0 shares authorized;    348,441 and 0 shares issued and outstanding, respectively	348			—
Common stock $0.001 par value, 0 and 25,000 shares authorized;    0 and 23,222 shares issued and outstanding, respectively	—			23
Additional paid-in capital	18,996,596			208,977
Distributions in excess of accumulated losses	(318,730		)	—
Total CPA®:18 – Global stockholders’ equity	18,679,985			209,000
Noncontrolling interest	18,904,188			—
Total equity	37,584,173			209,000
Total liabilities and equity	$	133,524,530		$	209,000

See Notes to Consolidated Financial Statements.

CPA^®:18 – Global 9/30/2013 10-Q– 2

CORPORATE PROPERTY ASSOCIATES 18 – GLOBAL INCORPORATED

CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

	Three Months Ended September 30, 2013			Nine Months Ended September 30, 2013
Revenues
Rental income	$	947,440		$	947,440
Operating Expenses
Depreciation and amortization	377,722			377,722
General and administrative	194,208			259,449
Property expenses	31,916			31,916
	603,846			669,087
Other Income and Expenses
Interest expense	(415,994		)	(415,994		)
Other income and (expenses)	508			508
	(415,486		)	(415,486		)
Net Loss	(71,892		)	(137,133		)
Net income attributable to noncontrolling interest	(66,417		)	(66,417		)
Net Loss Attributable to CPA®:18 – Global Stockholders	$	(138,309	)	$	(203,550	)
Class A common stock:
Net loss attributable to CPA®:18 – Global stockholders	$	(108,611	)	$	(163,329	)
Weighted average shares outstanding	616,292			223,085
Net loss per share	$	(0.18	)	$	(0.73	)
Distributions declared per share	$	0.1138		$	0.1138
Class C common stock:
Net loss attributable to CPA®:18 – Global stockholders	$	(29,698	)	$	(40,221	)
Weighted average shares outstanding	149,294			50,311
Net loss per share	$	(0.20	)	$	(0.80	)
Distributions declared per share	$	0.0968		$	0.0968

See Notes to Consolidated Financial Statements.

CPA^®:18 – Global 9/30/2013 10-Q– 3

CORPORATE PROPERTY ASSOCIATES 18 – GLOBAL INCORPORATED

CONSOLIDATED STATEMENTS OF EQUITY (UNAUDITED)

For the Nine Months EndedSeptember 30, 2013 and Period from September 7, 2012 (Inception) to December 31, 2012

	CPA®:18 – Global Stockholders
														Distributions
	Common Stock													in Excess of			Total CPA®:18 –
	Class A			Class C			General					Additional		Accumulated			Global			Noncontrolling
	Shares	Amount		Shares	Amount		Shares		Amount			Paid-In Capital		Losses			Stockholders			Interest			Total
Balance at September 7, 2012 (Inception)	—	$	—	—	$	—	—		$	—		$	—	$	—		$	—		$	—		$	—
Shares, $0.001 par value, issued to    Carey REIT II, Inc. at $9.00 per share	—	—		—	—		23,222		23			208,977		—			209,000			—			209,000
Balance at December 31, 2012	—	—		—	—		23,222		23			208,977		—			209,000			—			209,000
Renaming of General Shares to Class A common stock	23,222	23		—	—		(23,222	)	(23		)	—		—			—			—			—
Shares issued, net of offering costs	1,739,889	1,740		348,441	348		—		—			18,712,616		—			18,714,704			—			18,714,704
Shares issued to affiliate	835	1		—	—		—		—			8,344		—			8,345			—			8,345
Stock-based compensation	7,407	7		—	—		—		—			66,659		—			66,666			—			66,666
Contributions from noncontrolling interests	—	—		—	—		—		—			—		—			—			19,129,532			19,129,532
Distributions to noncontrolling interests	—	—		—	—		—		—			—		—			—			(291,761		)	(291,761		)
Distributions declared ($0.1138 and $0.0968 per share to Class A and Class C, respectively)	—	—		—	—		—		—			—		(115,180		)	(115,180		)	—			(115,180		)
Net loss	—	—		—	—		—		—			—		(203,550		)	(203,550		)	66,417			(137,133		)
Balance at September 30, 2013	1,771,353	$	1,771	348,441	$	348	—		$	—		$	18,996,596	$	(318,730	)	$	18,679,985		$	18,904,188		$	37,584,173

See Notes to Consolidated Financial Statements.

CPA^®:18 – Global 9/30/2013 10-Q– 4

CORPORATE PROPERTY ASSOCIATES 18 – GLOBAL INCORPORATED

CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)

	Nine Months Ended September 30, 2013
Cash Flows — Operating Activities
Net loss	$	(137,133	)
Adjustments to net loss:
Depreciation and amortization, including intangible assets and    deferred financing costs, and other non-cash charges	380,246
Stock-based compensation expense	66,666
Straight-line rent adjustment, amortization of rent-related intangibles, and others	(137,132		)
Organization costs paid by affiliate	65,240
Net changes in other operating assets and liabilities	935,842
Net Cash Provided by Operating Activities	1,173,729
Cash Flows — Investing Activities
Acquisition of real estate	(111,626,737		)
Net Cash Used in Investing Activities	(111,626,737		)
Cash Flows — Financing Activities
Proceeds from mortgage financing	72,800,000
Contributions from noncontrolling interests	19,129,532
Proceeds from issuance of shares, net of issuance costs	18,074,861
Note payable proceeds from affiliate	15,000,000
Distributions to noncontrolling interest	(291,761		)
Payment of deferred financing costs and mortgage deposits	(220,183		)
Net Cash Provided by Financing Activities	124,492,449
Change in Cash and Cash Equivalents During the Period
Net increase in cash and cash equivalents	14,039,441
Cash and cash equivalents, beginning of period	209,000
Cash and cash equivalents, end of period	$	14,248,441

Supplemental non-cash investing and financing activities:

	Nine Months Ended September 30, 2013
Non-cash capitalized costs (Note 3, 4)	$	(1,381,488	)
Deferred offering costs (Note 3)	(3,851,393		)
Due to affiliate (Note 3)	5,087,275
Unsettled share sales, net	639,843
Asset management fees settled in Class A shares (Note 3)	8,345
Third quarter distribution declared (Note 8)	(115,180		)

See Notes to Consolidated Financial Statements.

CPA^®:18 – Global 9/30/2013 10-Q– 5

CORPORATE PROPERTY ASSOCIATES 18 – GLOBAL INCORPORATED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Note 1. Business

Organization

Corporate Property Associates 18 – Global Incorporated (“CPA^®:18 – Global” and, together with its consolidated subsidiaries, “we”, “us” or “our”) is a Maryland corporation formed in September 2012 for the purpose of investing primarily in a diversified portfolio of income-producing commercial real estate properties and other real estate related assets, both domestically and outside the United States (“U.S.”). We intend to qualify as a real estate investment trust (“REIT”) under the Internal Revenue Code of 1986 (the “Code”) for the taxable year ending December 31, 2013, and intend to conduct substantially all of our investment activities and own all of our assets through CPA:18 Limited Partnership, a Delaware limited partnership, which is our “Operating Partnership.” We are a general partner and a limited partner and own a 99.985% interest in the Operating Partnership. The Operating Partnership was formed on April 8, 2013. On July 3, 2013, WPC–CPA^®:18 Holdings, LLC (“CPA^®:18 Holdings”), a subsidiary of our sponsor, W. P. Carey Inc. (“W. P. Carey”), acquired a 0.015% special general partner interest in the Operating Partnership, representing its special general partnership interest, for $209,000.

Carey Asset Management Corp., a subsidiary of W. P. Carey, together with its affiliates, is our “advisor” and manages our business. The advisor also currently manages three other affiliated REITs, namely, Corporate Property Associates 16 – Global Incorporated, Corporate Property Associates 17 – Global Incorporated (“CPA^®:17 – Global”) and Carey Watermark Investors Incorporated. W. P. Carey & Co B.V., an affiliate of our advisor, will provide asset management services with respect to any foreign investments that we may make in the future.

On September 13, 2012, Carey REIT II, Inc. (“Carey REIT II”), a subsidiary of W. P. Carey and an affiliate of our advisor, purchased 1,000 shares of our common stock, par value $0.001 per share, for an aggregate purchase price of $9,000 and was admitted as our initial stockholder. On December 14, 2012, we received an additional capital contribution from Carey REIT II for $200,000 in exchange for 22,222 shares of our common stock, par value $0.001 per share. Carey REIT II purchased its shares at $9.00 per share, net of selling commissions and fees that would have otherwise been payable to Carey Financial, LLC (“Carey Financial”), our dealer manager and an affiliate of the advisor. On April 8, 2013, the shares held by Carey REIT II were renamed as Class A common stock. All of the shares issued to Carey REIT II have a par value of $0.001 per share.On April 8, 2013, with the approval of our Board of Directors, we amended our articles of incorporation. Pursuant to the amended and restated articles of incorporation, we are authorized to issue 320,000,000 shares of Class A common stock, 80,000,000 shares of Class C common stock, and 50,000,000 shares of preferred stock. All of the authorized shares have a par value of $0.001 per share.

Public Offering

On May 7, 2013, our Registration Statement was declared effective by the SEC under the Securities Act of 1933, as amended (the “Securities Act”). This Registration Statement covers our initial public offering of up to $1.0 billion of common stock, in any combination of Class A common stock and Class C common stock at a price of $10.00 per share of Class A common stock and $9.35 per share of Class C common stock. The Registration Statement also covers the offering of up to $400,000,000 in common stock, in any combination of Class A common stock and Class C common stock, pursuant to our distribution reinvestment and stock purchase plan (“DRIP”) at a price of $9.60 per share of Class A common stock and $8.98 per share of Class C common stock. Our initial public offering is being offered on a “best efforts” basis by Carey Financial and selected other dealers. The per share amount of distributions on shares of Class A and C common stock will likely differ because of different allocations of class-specific expenses. Specifically, distributions on shares of Class C common stock will likely be lower than shares of Class A common stock because shares of Class C common stock are subject to ongoing distribution and shareholder servicing fees (the “shareholder servicing fee”) (Note 3). We currently intend to sell shares in our initial public offering until May 7, 2015; however, our Board of Directors may decide to extend the offering for up to an additional 18 months, and if so we would announce such extension in a prospectus supplement. In some states, we will need to renew our registration annually in order to continue offering our shares beyond the initial registration period. On July 25, 2013, aggregate subscription proceeds for our Class A and Class C common stock exceeded the minimum offering amount of $2,000,000 and we began to admit stockholders. Through October 31, 2013, we raised gross offering proceeds for our Class A common stock and Class C common stock of $50,247,946 and $15,389,115, respectively.

CPA^®:18 – Global 9/30/2013 10-Q– 6

Notes to Consolidated Financial Statements

Note 2. Basis of Presentation

Basis of Presentation

Our interim consolidated financial statements have been prepared, without audit, in accordance with the instructions to Form 10-Q and therefore do not necessarily include all information and footnotes necessary for a fair statement of our consolidated financial position, results of operations and cash flows in accordance with accounting principles generally accepted in the U.S. (“GAAP”).

In the opinion of management, the unaudited consolidated financial information for the interim periods presented in this Report reflects all normal and recurring adjustments necessary for a fair statement of results of operations, financial position and cash flows. Operating results for interim periods are not necessarily indicative of operating results for an entire fiscal year.

We had no operating activity prior to April 8, 2013 and acquired our first investment on August 20, 2013.

Basis of Consolidation

Our consolidated financial statements reflect all of our accounts, including those of our controlled subsidiaries. The portion of equity in a consolidated subsidiary that is not attributable, directly or indirectly, to us is presented as noncontrolling interests. All significant intercompany accounts and transactions have been eliminated.

When we obtain an economic interest in an entity, we evaluate the entity to determine if it is a variable interest entity (“VIE”) or voting interest entity (“VOE”) and, if so, whether we are the primary beneficiary and are therefore required to consolidate the entity. We performed an analysis of all of our subsidiary entities to determine whether they qualify as VIEs and whether they should be consolidated or accounted for as equity investments in an unconsolidated venture.

Based on our evaluation, we determined that our Operating Partnership was not a VIE but should be consolidated as we control all decisions regarding our Operating Partnership. We account for the 0.015% interest held by CPA^®:18 Holdings in the Operating Partnership as a noncontrolling interest. On August 20, 2013, we entered into a jointly-owned investment with our affiliate, CPA^®:17 – Global (Note 4). We have concluded that this subsidiary is a VOE and will be consolidated by us as we are the managing member and the non-managing member does not have substantive participating or “kick-out” rights. Kick-out rights are the rights underlying the limited partners’ ability to dissolve (liquidate) the limited partnership or otherwise remove the general partners. 

Purchase Price Allocation

When we acquire properties with leases classified as operating leases, we allocate the purchase price to the tangible and intangible assets and liabilities acquired based on their estimated fair values. We determine the value of the tangible assets, consisting of land and buildings, as if vacant, and record intangible assets, including the above-market and below-market value of leases (where applicable), and the value of in-place leases, at their estimated fair values. Land is typically valued utilizing the sales comparison (or market approach). Buildings, as if vacant, are valued using the cost and/or income approach. Site improvements are valued using the cost approach. The fair value of real estate is determined by reference to portfolio appraisals which determines their values, on a property level, by applying a discounted cash flow analysis to the estimated net operating income for each property in the portfolio during the remaining anticipated lease term, and the estimated residual value of each property from a hypothetical sale of the property upon expiration after considering the re-tenanting of such property at estimated then current market rental rate, at a selected capitalization rate and deducting estimated costs of sale. The proceeds from a hypothetical sale are derived by capitalizing the estimated net operating income of each property for the year following lease expiration at an estimated residual capitalization rate. The discount rates and residual capitalization rates used to value the properties are selected based on several factors, including the credit worthiness of the lessees, industry surveys, property type, location and age, current lease rates relative to market lease rates and anticipated lease duration. In the case where a tenant has a purchase option deemed to be materially favorable to the tenant, or the tenant has long-term renewal options at rental rates below estimated market rental rates, the appraisal assumes the exercise of such purchase option or long-term renewal options in its determination of residual value. Where a property is deemed to have excess land, the discounted cash flow analysis includes the estimated excess land value at the assumed expiration of the lease, based upon an analysis of comparable land sales or listings in the general market area of the property growing at estimated market growth rates through the year of lease expiration. For those properties that are under contract for sale, the appraised value of the portfolio reflects the current contractual sale price of such properties. See Revenue Recognition and Depreciation below for a discussion of our significant accounting policies related to tangible assets. We include the value of below-market leases in Prepaid and deferred rental income in the consolidated balance sheets.

CPA^®:18 – Global 9/30/2013 10-Q– 7

Notes to Consolidated Financial Statements

We record above-market and below-market lease values for owned properties, where applicable, based on the present value (using a discount rate reflecting the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the leases negotiated and in place at the time of acquisition of the properties and (ii) our estimate of fair market lease rates for the property or equivalent property, both of which are measured over a period equal to the estimated lease term, which includes renewal options with rental rates below estimated market rental rates. We amortize the capitalized above-market lease value, where applicable, as a reduction of rental income over the estimated market lease term. We amortize the capitalized below-market lease value as an increase to rental income over the estimated lease term and any fixed-rate renewal periods in the respective leases.

The value of any in-place lease is estimated to be equal to the property owner’s avoidance of costs necessary to lease the property for a term equal to the remaining primary in-place lease term and the value of investment grade tenancy. The cost avoidance to the property owners of vacancy and leasing costs necessary to lease the property for a lease term equal to the remaining in-place lease term is derived first by determining the in-place lease term on the subject lease. Then, based on our review of the market, the cost to be borne by a property owner to replicate a market lease to the remaining in-place term was estimated. These costs consist of: (i) rent lost during downtime (i.e. assumed periods of vacancy); (ii) estimated expenses that would be incurred by the property owner during periods of vacancy; (iii) rent concessions (i.e. free rent); (iv) leasing commissions; and (v) tenant improvement allowances. We determine these values using our estimates or by relying in part upon third-party appraisals. We amortize the capitalized value of in-place lease intangibles to expense over the remaining initial term of each lease. No amortization period for intangibles will exceed the remaining depreciable life of the building.

Cash and Cash Equivalents

We consider all short-term, highly-liquid investments that are both readily convertible to cash and have a maturity of generally three months or less at the time of purchase to be cash equivalents, where applicable. Items classified as cash equivalents include commercial paper and money-market funds, where applicable. Our cash and cash equivalents are held in the custody of one financial institution. These balances, at times, may exceed federally-insurable limits. We will seek to mitigate this risk by depositing funds only with major financial institutions.

Revenue Recognition

We lease real estate to others on a triple-net leased basis whereby the tenant is generally responsible for all operating expenses relating to the property, including property taxes, insurance, maintenance, repairs, renewals and improvements. We charge expenditures for maintenance and repairs, including routine betterments, to operations as incurred. We capitalize any significant renovations that increase the useful life of the properties.

Our lease provides for scheduled rent increases each year. For operating leases, we record real estate at cost less accumulated depreciation; we recognize future minimum rental revenue on a straight-line basis over the non-cancelable lease term of the related lease and charge expenses to operations as incurred.

Depreciation

We compute depreciation of the building and its related improvements using the straight-line method over the estimated remaining useful life of the property or improvements, which is 40 years and ten years, respectively.

CPA^®:18 – Global 9/30/2013 10-Q– 8

Notes to Consolidated Financial Statements

Fair Value Measurements

The fair value of an asset is defined as the exit price, which is the amount that would either be received when an asset is sold or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The guidance establishes a three-tier fair value hierarchy based on the inputs used in measuring fair value. These tiers are: Level 1, for which quoted market prices for identical instruments are available in active markets, such as money market funds, equity securities and U.S. Treasury securities; Level 2, for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument, such as certain derivative instruments including an interest rate cap and swaps; and Level 3, for securities and other derivative assets that do not fall into Level 1 or Level 2 and for which little or no market data exists, therefore requiring us to develop our own assumptions. Our debt and deferred acquisition fees payable, which we have classified as Level 3, had carrying values that approximated their fair values at September 30, 2013.

Income Taxes

We intend to qualify as a REIT under Sections 856 through 860 of the Code beginning with our taxable year ending December 31, 2013. In order to maintain our qualification as a REIT, we will be required to, among other things, distribute at least 90.0% of our REIT taxable income to our stockholders and meet certain tests regarding the nature of our income and assets. Under the Code, REITs are subject to numerous organizational and operational requirements including limitations on certain types of gross income. As a REIT, we generally will not be subject to U.S. federal income tax on income that we distribute to stockholders. If we fail to qualify for taxation as a REIT for any taxable year, our income will be taxed at regular corporate rates, and we may not be able to qualify for treatment as a REIT for that year and the next four years. Even if we qualify as a REIT for U.S. federal income tax purposes, we may be subject to federal, state, local, and foreign taxes on our income and property and to income and excise taxes on our U.S. undistributed income.

In the future, we may elect to treat one or more of our corporate subsidiaries as a taxable REIT subsidiary (“TRS”). In general, a TRS may perform additional services for our tenants and generally may engage in any real estate or non-real estate related business (except for the operation or management of health care facilities or lodging facilities or providing to any person, under a franchise, license or otherwise, rights to any brand name under which any lodging facility or health care facility is operated). A TRS is subject to corporate federal income tax.

Organization and Offering Costs

The advisor has paid various organization and offering costs on our behalf, all of which we are liable for under the advisory agreement (see Note 3). During the offering period, costs incurred in connection with the raising of capital will be accrued as deferred offering costs. Upon receipt of offering proceeds, we will charge the deferred costs to stockholders’ equity and will reimburse the advisor for costs incurred. Such reimbursements will not exceed regulatory cost limitations. Organization costs were expensed as incurred and are included in general and administrative expenses in the consolidated financial statements. We have recorded a liability to the advisor for all of organization and offering costs incurred by the advisor based on our estimate of expected gross offering proceeds (Note 3).

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in our consolidated financial statements and the accompanying notes. Actual results could differ from those estimates.

Note 3. Agreements and Transactions with Related Parties

On May 7, 2013, we entered into an advisory agreement with the advisor to perform certain services for us under a fee arrangement, including the identification, evaluation, negotiation, purchase, and disposition of real estate and related assets and mortgages loans, day-to-day management, and the performance of certain administrative duties. The term of the advisory agreement is through September 30, 2014 and is scheduled to renew annually thereafter.

CPA^®:18 – Global 9/30/2013 10-Q– 9

Notes to Consolidated Financial Statements

The following tables present a summary of fees we paid and expenses we reimbursed to the advisor and other affiliates in accordance with the terms of the related agreements:

	Three Months Ended September 30, 2013		Nine Months Ended September 30, 2013
Amounts Included in the Consolidated Statements of Operations:
Organization costs	$	—	$	65,240
Interest expense on Note payable to affiliate	33,888		33,888
Asset management fees	31,916		31,916
Shareholder servicing fee	3,387		3,387
	$	69,191	$	134,431
Transaction Fees Capitalized:
Current acquisition fees	$	1,442,238	$	1,442,238
Deferred acquisition fees	1,153,790		1,153,790
	$	2,596,028	$	2,596,028
			September 30, 2013
Amounts Due to Affiliate:
Organization and offering costs due to the advisor			$	3,998,725
Deferred acquisition fees due to the advisor			1,153,790
Asset management fees due to the advisor			23,571
Interest due to affiliate			33,888
Other			133,378
			$	5,343,352
Note Payable to Affiliate:			September 30, 2013
Loan from W. P. Carey			$	15,000,000

Organization and Offering Costs

Pursuant to the advisory agreement with the advisor, we are liable for certain expenses related to our initial public offering, which include filing, legal, accounting, printing, advertising, transfer agent, and escrow fees, and are to be deducted from the gross proceeds of the offering (Note 2). We will reimburse Carey Financial or selected dealers for reasonable bona fide due diligence expenses incurred that are supported by a detailed and itemized invoice. The total underwriting compensation to Carey Financial and selected dealers in connection with the offering cannot exceed limitations prescribed by the Financial Industry Regulatory Authority, Inc. The advisor has agreed to be responsible for the repayment of organization and offering expenses (excluding selling commissions and dealer manager fees paid to Carey Financial and selected dealers and fees paid and expenses reimbursed to selected dealers) that exceed in the aggregate 4.0% of the gross proceeds from the initial public offering if the gross proceeds are less than $500,000,000, 2.0% of the gross proceeds from the initial public offering if the gross proceeds are $500,000,000 or more but less than $750,000,000, and 1.5% of the gross proceeds from the initial public offering if the gross proceeds are $750,000,000 or more. Reimbursement of such costs was contingent on the commencement of the offering, which occurred on May 7, 2013, and raising the minimum offering amount of $2,000,000, which occurred on July 25, 2013. During the nine months ended September 30, 2013, the advisor paid organization costs of $65,240 and offering costs of $3,933,485 on our behalf. We have recorded a liability to the advisor for all of these costs based on our estimate of expected gross offering proceeds.

Loan from W. P. Carey

Our Board of Directors and the board of directors of W. P. Carey have approved unsecured loans from W. P. Carey to us of up to $100,000,000, in the aggregate, at a rate of the London inter-bank offered rate (“LIBOR”) plus 1.75%, for the purpose of facilitating acquisitions approved by our investment committee, with any loans to be made solely at the discretion of the management of W. P. Carey. On August 20, 2013, our Operating Partnership borrowed $15,000,000 from W. P. Carey at a rate of 30-day LIBOR plus 1.75%, which is the same rate that W. P. Carey pays on its credit facility, and a maturity date of August 20, 2014. The interest expense on this note payable to our affiliate is included in Interest expense on the consolidated statements of operations. These funds were used

CPA^®:18 – Global 9/30/2013 10-Q– 10

Notes to Consolidated Financial Statements

to acquire a 50% controlling interest in the jointly-owned investment with an affiliate described in Note 4. On October 4, 2013, this note was repaid in full with accrued interest thereon (Note 9).

Asset Management Fees

Pursuant to the advisory agreement, the advisor will be entitled to an annual asset management fee ranging from 0.5% to 1.5%, depending on the type of investment and based on the average market value or average equity value, as applicable, of our investments. The asset management fees are payable in cash or shares of our Class A common stock at the option of the advisor. If the advisor elects to receive all or a portion of its fees in shares, the number of shares issued is determined by dividing the dollar amount of fees by our most recently published net asset value per share (“NAV”) or, if an NAV has not yet been published, as currently is the case, $10.00 per share, which is the price at which our Class A shares are being sold in our initial public offering. For 2013, the advisor elected to receive its asset management fees in shares of our Class A common stock. At September 30, 2013, the advisor owned 24,057 shares (1.1%) of our outstanding Class A common stock. Asset management fees are included in Property expenses in the consolidated statements of operations.

Dealer Manager Fees

On May 7, 2013, we entered into a dealer manager agreement with Carey Financial, whereby Carey Financial receives a selling commission, depending on the class of common stock sold, of $0.70 and $0.14 per share sold and a dealer manager fee of $0.30 and $0.21 per share sold for the Class A and Class C common stock, respectively.

Carey Financial will also receive an annual distribution and shareholder servicing fee in connection with sales of our Class C common stock. The amount of the shareholder servicing fee will be 1.0% of the selling price per share (or, once reported, the amount of our estimated NAV per share) for the Class C common stock in our initial public offering. The shareholder servicing fee accrues daily and is payable quarterly in arrears. We will no longer incur the shareholder servicing fee beginning on the date at which, in the aggregate, underwriting compensation from all sources, including the shareholder servicing fee, any organizational and offering fee paid for underwriting and underwriting compensation paid by W. P. Carey and its affiliates, equals 10.0% of the gross proceeds from our initial public offering. The shareholder servicing fee for both the three and nine months ended September 30, 2013 was $3,387 and is included in “Other” within due to affiliates in the table above and did not reach the threshold described above. The shareholder servicing fee for both the three and nine months ended September 30, 2013 is also included in General and administrative on the consolidated statements of operations.

Acquisition and Disposition Fees

The advisor will receive acquisition fees, a portion of which is payable upon acquisition and a portion that is subordinated to a preferred return. The initial acquisition fee and subordinated acquisition fee are 2.5% and 2.0%, respectively, of the aggregate total cost of our portion of each investment for all investments other than those in readily-marketable real estate securities purchased in the secondary market, for which the advisor will not receive any acquisition fees. The total acquisition fees to be paid (initial and subordinated, and including interest thereon) will not exceed 6.0% of the aggregate contract purchase price of all investments and loans. In addition, pursuant to the advisory agreement, the advisor may be entitled to receive a disposition fee in an amount equal to the lesser of (i) 50.0% of the competitive real estate commission (as defined in the advisory agreement) or (ii) 3.0% of the contract sales price of the investment being sold. During the three and nine months ended September 30, 2013, we recorded $1,153,790 of deferred acquisition fees for our portion of the fees due to the advisor upon the consummation of the State Farm acquisition (Note 4), which are scheduled to be paid in three equal annual installments commencing in the fourth quarter of 2013. The State Farm acquisition is a jointly-owned investment with CPA^®:17 – Global.

Excess Operating Expenses

The advisory agreement provides that, for any four trailing quarters (with quoted variables as defined in the advisory agreement), “operating expenses” may not exceed the greater of 2.0% of our “average invested assets” or 25.0% of our “adjusted net income.” During the three months ended June 30, 2013, the advisor charged us $76,585 for operating expenses, which we charged back to the advisor for excess operating expenses pursuant to the limitation described above. We may, however, become liable for these costs in the future if our results improve or our invested assets increase substantially. For the three months ended September 30, 2013, our operating expenses were below the 2.0%/25.0% threshold. 

CPA^®:18 – Global 9/30/2013 10-Q– 11

Notes to Consolidated Financial Statements

Available Cash Distributions

CPA^®:18 Holdings interest in the Operating Partnership entitles it to receive distributions of 10.0% of Available Cash, as defined in the partnership agreement, generated by the Operating Partnership, subject to certain limitations. To date, there have been no distributions of Available Cash by the Operating Partnership.

Note 4. Net Investment in Properties

Acquisition

On August 20, 2013 we acquired a 50% controlling interest in a jointly-owned investment, which is co-owned by CPA^®:17 – Global and on that date purchased an office facility from the State Farm Mutual Automobile Company (“State Farm”) located in Austin, Texas. The total cost was $115,604,253, including net lease intangible assets of $15,799,325 (Note 5) and transaction costs of $5,604,253 that were capitalized. CPA^®:17 – Global’s investment was $18,920,532, which we account for as a noncontrolling interest. Our portion of the purchase price was funded, in part, by a $15,000,000 loan from W. P. Carey (Note 3). This transaction was deemed to be a real estate asset acquisition because we entered into a new lease with the seller/lessee. The acquired facility consists of a 479,411 square-foot building that is located on 83.5 acres of land. The new lease has been classified as an operating lease and has an initial term of 15 years with two five-year renewal options. The jointly-owned investment obtained a $72,800,000 mortgage loan upon acquisition of this property (Note 6).

Real estate, which consists of land and buildings leased to others under an operating lease and is carried at cost, is summarized as follows:

	September 30, 2013
Land	$	29,215,472
Building	62,595,789
Building improvements	5,397,639
Less: Accumulated depreciation	(243,280		)
	$	96,965,620

Scheduled future minimum rents, exclusive of renewals and expenses paid by the tenant, under our non-cancelable operating lease are as follows:

Years Ending December 31,	Total
2013 (remainder)	$	1,751,327
2014	7,004,308
2015	7,144,392
2016	7,287,284
2017	7,433,028
Thereafter (through 2028)	89,137,876
Total	$	119,758,215

Note 5. Intangible Assets and Liabilities

In connection with the acquisition of our property (Note 4), we have recorded net lease intangibles that are being amortized over 15 years.  Below-market rent intangibles are included in Prepaid and deferred rental income on the consolidated balance sheets.

CPA^®:18 – Global 9/30/2013 10-Q– 12

Notes to Consolidated Financial Statements

Intangible assets and liabilities are summarized as follows (life in years):

	September 30, 2013
	Weighted-Average Life	Gross Carrying Amount			Accumulated Amortization			Net Carrying Amount
Amortizable Intangible Assets
Lease intangibles:
In-place lease	15.0	$	17,446,153		$	(134,442	)	$	17,311,711
Amortizable Intangible Liabilities
Below-market rent	15.0	$	(1,646,828	)	$	12,691		$	(1,634,137	)

Net amortization of intangibles was $134,442 for both the three and nine months ended September 30, 2013. Amortization of below-market rent is recorded as an adjustment to Rental income.

Based on the intangible assets and liabilities recorded at September 30, 2013, scheduled annual net amortization for the remainder of 2013, each of the next four calendar years following December 31, 2013, and thereafter is as follows:

Years Ending December 31,	Total
2013 (remainder)	$	263,322
2014	1,053,288
2015	1,053,288
2016	1,053,288
2017	1,053,288
Thereafter (through 2028)	11,201,100
Total	$	15,677,574

Note 6. Non-Recourse Debt

We obtained a mortgage loan of $72,800,000 from an unrelated third party in connection with the acquisition of the property leased to State Farm (Note 4) with payments that are interest-only until its maturity date on September 10, 2023. The loan is non-recourse and has a fixed annual interest rate of 4.5%. We capitalized $220,183 of deferred financing costs related to this loan. During both the three and nine months ended September 30, 2013, we incurred $382,106 of interest expense related to this loan.

Note 7. Commitments and Contingencies

At September 30, 2013, we were not involved in any litigation.

Note 8. Loss Per Share and Equity

The following tables depict loss per share for the periods presented:

	Three Months Ended September 30, 2013
	Weighted-Average Shares Outstanding	Allocation of Net Loss (a)			Loss Per Share
Class A common stock	616,292	$	(108,611	)	$	(0.18	)
Class C common stock	149,294	(29,698		)	$	(0.20	)
Net loss attributable to CPA®:18 – Global stockholders		$	(138,309	)

	Nine Months Ended September 30, 2013
	Weighted-Average Shares Outstanding	Allocation of Net Loss (a)			Loss Per Share
Class A common stock	223,085	$	(163,329	)	$	(0.73	)
Class C common stock	50,311	(40,221		)	$	(0.80	)
Net loss attributable to CPA®:18 – Global stockholders		$	(203,550	)

CPA^®:18 – Global 9/30/2013 10-Q– 13

Notes to Consolidated Financial Statements

__________

(a) The allocation of Net loss attributable to CPA^®:18 – Global stockholders is calculated based on the weighted-average shares outstanding for Class A common stock and Class C common stock for the three and nine months ended September 30, 2013. The allocation for the Class A common stock excludes the shareholder servicing fee of $3,387 that is only applicable to holders of Class C common stock (Note 3).

Subsequent to September 30, 2013 and through October 31, 2013, we issued an additional 3,702,071 shares of Class A common stock and an additional 1,299,385 shares of Class C common stock in our initial public offering.

Stock-Based Compensation

We issued 1,851 shares of Class A common stock to each of our four independent directors during the three months ended September 30, 2013, value at $9.00 per share, as part of their director compensation. For both the three and nine months ended September 30, 2013, we recognized stock-based compensation expense of $66,666 associated with the issuance of these shares.

Distributions Declared

Daily distributions on our shares began to accrue once subscription proceeds for our common stock reached the minimum offering amount of $2,000,000 and we began admitting stockholders on July 25, 2013. On June 19, 2013, our Board of Directors declared distributions at a daily rate of $0.0016983 for the Class A common stock and $0.0014442 for the Class C common stock for the quarter ending September 30, 2013, which were paid on October 15, 2013 to stockholders of record on each day of the quarter. At September 30, 2013, we had distributions payable of $115,180.

On September 18, 2013, our Board of Directors declared distributions at a daily rate of $0.0016983 for the Class A common stock and $0.0014442 for the Class C common stock for the quarter ending December 31, 2013, payable on or about January 15, 2014 to stockholders of record on each day of the quarter.

Distributions are declared at the discretion of our Board of Directors and are not guaranteed. Until we substantially invest the net proceeds of our initial public offering, distributions will be paid from offering proceeds, which reduces amounts available to invest in properties and could lower our overall return.

Note 9. Subsequent Event

On October 4, 2013, we repaid in full the $15,000,000 loan from W. P. Carey and the related accrued interest (Note 3). This loan, which was scheduled to mature on August 20, 2014, had been outstanding since August 20, 2014 and was obtained in order to facilitate our first acquisition (Note 4).

CPA^®:18 – Global 9/30/2013 10-Q– 14

Item 2. Management’s Discussion and Analysis of Financial Condition and Resultsof Operations.

MD&A is intended to provide the reader with information that will assist in understanding our financial statements and the reasons for changes in certain key components of our financial statements from period to period. MD&A also provides the reader with our perspective on our financial position and liquidity, as well as certain other factors that may affect our future results. Our MD&A should be read in conjunction with the consolidated financial statements and accompanying notes thereto as of September 30, 2013.

Business Overview

We were formed in September 2012 for the purpose of investing primarily in a diversified portfolio of income-producing commercial real estate properties and other real estate related assets, both domestically and outside the U.S. We currently expect that, for the foreseeable future, at least a majority of our investments will be in commercial real estate properties leased to single tenants on a long-term triple-net lease basis. We intend to qualify as a REIT for the taxable year ending December 31, 2013, and we intend to conduct substantially all of our investment activities and own all of our assets through our Operating Partnership.

Financial and Operating Highlights ^(a) 

	Three Months Ended September 30, 2013			Nine Months Ended September 30, 2013
Total revenues	$	947,440		$	947,440
Net loss attributable to CPA®:18 – Global stockholders	(138,309		)	(203,550		)
Net cash provided by operating activities				1,173,729
Net cash used in investing activities				(111,626,737		)
Net cash provided by financing activities				124,492,449
Supplemental financial measure:
Funds from (used in) operations (b)	39,299			(25,942		)
Modified funds from (used in) operations (b)	61,293			(3,948		)

__________

(a) On August 20, 2013, we acquired the property leased to State Farm, which was the only property that we owned through September 30, 2013.

(b) We consider the performance metrics listed above, Funds from (used in) operations (“FFO”) and Modified funds from (used in) operations (“MFFO”), supplemental measures that are not defined by GAAP (“non-GAAP”), to be important measures in the evaluation of our results of operations and capital resources. We evaluate our results of operations with a primary focus on the ability to generate cash flow necessary to meet our objectives of funding distributions to stockholders. See Supplemental Financial Measures below for our definition of these non-GAAP measures and reconciliations to their most directly comparable GAAP measures.

CPA^®:18 – Global 9/30/2013 10-Q– 15

Significant Developments

Public Offering

On May 7, 2013, our Registration Statement was declared effective by the SEC under the Securities Act. This Registration Statement covers our initial public offering of up to $1.0 billion of common stock, in any combination of Class A common stock and Class C common stock at a price of $10.00 per Class A share of common stock and $9.35 per Class C share of common stock. The Registration Statement also covers the offering of up to $400,000,000 in common stock, in any combination of Class A common stock and Class C common stock, pursuant to our DRIP at a price of $9.60 per Class A share of common stock and $8.98 per Class C share of common stock. Our initial public offering is being offered on a “best efforts” basis by Carey Financial and selected other dealers. The per share amount of distributions on shares of Class A and C common stock will likely differ because of different allocations of class-specific expenses. Specifically, distributions on shares of Class C common stock will likely be lower than shares of Class A common stock because shares of Class C common stock are subject to ongoing distribution and shareholder servicing fees (Note 3). We currently intend to sell shares in our initial public offering until May 7, 2015; however, our Board of Directors may decide to extend the offering for up to an additional 18 months, and if so we would announce such extension in a prospectus supplement. In some states, we will need to renew our registration annually in order to continue offering our shares beyond the initial registration period.

On July 25, 2013, aggregate subscription proceeds for our common stock exceeded the minimum offering amount of $2,000,000 and we began to admit stockholders. Through October 31, 2013, we have raised gross offering proceeds for our Class A common stock and Class C common stock of $50,247,946 and $15,389,115, respectively.

Results of Operations

We are a newly formed company and have a very limited operating history. Through September 30, 2013, we purchased one property, which we acquired from State Farm through a jointly-owned investment with an affiliate on August 20, 2013 (Note 4).

Rental Income

For both the three and nine months ended September 30, 2013rental income consisted of $947,440 from the property leased to State Farm, which we acquired on August 20, 2013.

Depreciation and Amortization

For both the three and nine months ended September 30, 2013,we recorded depreciation of $243,280 and amortization of $134,442 related to the property leased to State Farm.

General and Administrative

For thethree and nine months ended September 30, 2013, general and administrative expenses were$194,208and$259,449, respectively. General and administrative expenses for thethree months ended September 30, 2013primarily include director compensation fees of$102,500, which is inclusive of stock-based compensation of $66,666, professional fees of$48,354, and debt financing costs of $32,781. General and administrative expenses for the nine months endedSeptember 30, 2013also included organization costs of$65,240and an additional $76,067 of professional fees, both of which were incurred during the three months ended June 30, 2013. During the nine months ended September 30, 2013, general and administrative costs werepartially offset by $76,585, representing excess operating expenses that were charged back to the advisor under the terms of our advisory agreement (Note 3).

Property Expenses

For both the three and nine months ended September 30, 2013,we recorded property expenses of $31,916, which relate to asset management fees for our advisor for the State Farm acquisition.

CPA^®:18 – Global 9/30/2013 10-Q– 16

Interest Expense

For both the three and nine months ended September 30, 2013,we incurred interest expense of $415,994, which includes $382,106 of interest on the mortgage financing that we obtained in connection with the State Farm acquisition (Note 6) and $33,888 of interest related to the note payable to W. P. Carey, which we also obtained in connection with that acquisition (Notes 3, 9).

Net Loss Attributable to CPA^®:18 – Global Stockholders

For the three and nine months ended September 30, 2013,the resulting net loss attributable to CPA^®:18 – Global stockholders was $138,309 and $203,550, respectively.

Financial Condition

Sources and Uses of Cash During the Period

We expect to invest the proceeds of our initial public offering in a diversified portfolio of income-producing commercial properties and other real estate related assets. Our liquidity would be affected adversely by unanticipated costs and greater-than-anticipated operating expenses. To the extent that our working capital reserve is insufficient to satisfy our cash requirements, additional funds may be provided from cash generated from operations or through short-term borrowings. In addition, subject to limitations described in the prospectus regarding our initial public offering contained in the Registration Statement (the “Prospectus”), we may incur indebtedness in connection with the acquisition of any property, borrow funds from our advisor (Note 3), refinance the debt on a property, arrange for the leveraging of any previously unfinanced property or reinvest the proceeds of financings or refinancings in additional properties.

We intend to qualify as a REIT, and if so qualified we will not be subject to U.S. federal income taxes on amounts distributed to stockholders provided we meet certain conditions, including distributing at least 90% of our taxable income to stockholders. Our objectives are to pay quarterly distributions, to increase equity in our commercial real estate through regular mortgage principal payments and to own a geographically diversified portfolio of net-leased commercial real estate and other real estate related assets that will increase in value. Our distributions to date have exceeded our earnings and our FFO and have been paid almost entirely from offering proceeds. We expect that future distributions will be paid in whole or in part from offering proceeds, borrowings, and other sources, without limitation, particularly during the period before we have substantially invested the net proceeds from our initial public offering.

Operating Activities

Net cash provided by operating activities during the nine months ended September 30, 2013 of $1,173,729 primarily reflects $1,394,484 of cash flows received for both rental income and prepaid rent that were directly related to the State Farm acquisition and were slightly offset by $188,482 of interest paid for our State Farm mortgage loan.

Investing Activities

Net cash used in investing activities of $111,626,737 during the nine months ended September 30, 2013 relates to our asset acquisition and capitalized property-related costs.

CPA^®:18 – Global 9/30/2013 10-Q– 17

Financing Activities

Net cash provided by financing activities of $124,492,449 during the nine months ended September 30, 2013 was primarily comprised of $72,800,000 of proceeds from the non-recourse mortgage related to the property leased to State Farm, and a contribution of $19,129,532 representing the noncontrolling interest in our State Farm investment held by our affiliate CPA^®:17 – Global, of $18,074,861 of net proceeds from our public offering, and $15,000,000 of proceeds from the W. P. Carey loan, all of which were partially offset by the payment of deferred financing costs and distributions to the noncontrolling interest in the State Farm investment of $220,183 and $291,761, respectively.

Cash Resources

At September 30, 2013, our cash resources consisted of cash and cash equivalents totaling $14,248,441. Our cash resources may be used for future investments and can be used for working capital needs and other commitments. In addition, our board of directors and the Board of Directors of W. P. Carey have each approved loans to us from W. P. Carey of up to $100,000,000 in the aggregate for the purpose of facilitating acquisitions, with any such loans made solely at the discretion of W. P. Carey’s management (Note 3). During the nine months ended September 30, 2013, we borrowed $15,000,000 from W. P. Carey in connection with our first acquisition.

Cash Requirements

During the next 12 months, we expect that our cash payments will include acquiring new investments, paying distributions to our stockholders and to our affiliates that hold noncontrolling interests in entities we control and making any potential scheduled mortgage interest and principal payments, as well as other normal recurring operating expenses. We currently do not have any debt principal payments due for our non-recourse debt over the next 12 months. On October 4, 2013, we repaid in full the $15,000,000 loan, with interest, from W. P. Carey (Note 3).

Contractual Obligations

The table below summarizes our other contractual obligations at September 30, 2013 and the effect that these obligations are expected to have on our liquidity and cash flow in the specified future periods:

			Less than						More than
	Total		1 year		1-3 years		3-5 years		5 years
Non-recourse debt — principal (a)	$	72,800,000	$	—	$	—	$	—	$	72,800,000
Interest on borrowings and    deferred acquisition fees	32,824,834		3,321,604		6,571,230		6,552,000		16,380,000
Note payable to affiliate (b)	15,000,000		15,000,000		—		—		—
Organization and offering costs    payable to affiliate (c)	3,998,725		3,998,725		—		—		—
Deferred acquisition fees payable to affiliate (d)	1,153,790		384,597		769,193		—		—
	$	125,777,349	$	22,704,926	$	7,340,423	$	6,552,000	$	89,180,000

__________

(a) Represents the non-recourse debt we obtained in connection with the acquisition of the State Farm property. This balloon mortgage loan has payments that are interest-only through its scheduled maturity date of September 10, 2023.

(b) Represents the loan from W. P. Carey in connection with the acquisition of the State Farm property. On October 4, 2013, this note was repaid in full with accrued interest thereon (Notes 3, 9).

(c) Represents the organization and offering costs incurred by our advisor for which we are liable (Note 3). The payment of such costs is contingent on the amount of offering proceeds we raise over our initial offering period, which is expected to terminate on or prior to May 7, 2015.

(d) Represents deferred acquisition fees due to the advisor as a result of our acquisition of the State Farm property. These fees are scheduled to be paid in three equal annual installments. The first installment is due in the fourth quarter of 2013.

Critical Accounting Estimates

Our significant accounting policies are described in Note 2. Many of these accounting policies require judgment and the use of estimates and assumptions when applying these policies in the preparation of our consolidated financial statements. On a quarterly basis, we evaluate these estimates and judgments based on historical experience as well as other factors that we believe to be

CPA^®:18 – Global 9/30/2013 10-Q– 18

reasonable under the circumstances. These estimates are subject to change in the future if underlying assumptions or factors change. Certain accounting policies, while significant, may not require the use of estimates. Those accounting policies that require significant estimation and/or judgment are listed below.

Purchase Price Allocation

When we acquire properties with leases classified as operating leases, we allocate the purchase price to the tangible and intangible assets and liabilities acquired based on their estimated fair values. We determine the value of the tangible assets, consisting of land and buildings, as if vacant, and record intangible assets, including the above-market and below-market value of leases (where applicable), and the value of in-place leases, at their estimated fair values. Land is typically valued utilizing the sales comparison (or market approach). Buildings, as if vacant, are valued using the cost and/or income approach. Site improvements are valued using the cost approach. The fair value of real estate is determined by reference to portfolio appraisals which determines their values, on a property level, by applying a discounted cash flow analysis to the estimated net operating income for each property in the portfolio during the remaining anticipated lease term, and the estimated residual value of each property from a hypothetical sale of the property upon expiration after considering the re-tenanting of such property at estimated then current market rental rate, at a selected capitalization rate and deducting estimated costs of sale. The proceeds from a hypothetical sale are derived by capitalizing the estimated net operating income of each property for the year following lease expiration at an estimated residual capitalization rate. The discount rates and residual capitalization rates used to value the properties are selected based on several factors, including the credit worthiness of the lessees, industry surveys, property type, location and age, current lease rates relative to market lease rates and anticipated lease duration. In the case where a tenant has a purchase option deemed to be materially favorable to the tenant, or the tenant has long-term renewal options at rental rates below estimated market rental rates, the appraisal assumes the exercise of such purchase option or long-term renewal options in its determination of residual value. Where a property is deemed to have excess land, the discounted cash flow analysis includes the estimated excess land value at the assumed expiration of the lease, based upon an analysis of comparable land sales or listings in the general market area of the property growing at estimated market growth rates through the year of lease expiration. For those properties that are under contract for sale, the appraised value of the portfolio reflects the current contractual sale price of such properties. See Revenue Recognition and Depreciation below for a discussion of our significant accounting policies related to tangible assets. We include the value of below-market leases in Prepaid and deferred rental income in the consolidated financial statements.

We record above-market and below-market lease values for owned properties, where applicable, based on the present value (using a discount rate reflecting the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the leases negotiated and in place at the time of acquisition of the properties and (ii) our estimate of fair market lease rates for the property or equivalent property, both of which are measured over a period equal to the estimated lease term, which includes renewal options with rental rates below estimated market rental rates. We amortize the capitalized above-market lease value as a reduction of rental income over the estimated market lease term. We amortize the capitalized below-market lease value as an increase to rental income over the estimated lease term and any fixed-rate renewal periods in the respective leases.

The value of any in-place lease is estimated to be equal to the property owner’s avoidance of costs necessary to lease the property for a term equal to the remaining primary in-place lease term and the value of investment grade tenancy. The cost avoidance to the property owners of vacancy and leasing costs necessary to lease the property for a lease term equal to the remaining in-place lease term is derived first by determining the in-place lease term on the subject lease. Then, based on our review of the market, the cost to be borne by a property owner to replicate a market lease to the remaining in-place term was estimated. These costs consist of: (i) rent lost during downtime (i.e. assumed periods of vacancy); (ii) estimated expenses that would be incurred by the property owner during periods of vacancy; (iii) rent concessions (i.e. free rent); (iv) leasing commissions; and (v) tenant improvement allowances. We determine these values using our estimates or by relying in part upon third-party appraisals. We amortize the capitalized value of in-place lease intangibles to expense over the remaining initial term of each lease. No amortization period for intangibles will exceed the remaining depreciable life of the building.

Revenue Recognition

We lease real estate to others on a triple-net leased basis whereby the tenant is generally responsible for all operating expenses relating to the property, including property taxes, insurance, maintenance, repairs, renewals and improvements. We charge expenditures for maintenance and repairs, including routine betterments, to operations as incurred. We capitalize any significant renovations that increase the useful life of the properties.  

CPA^®:18 – Global 9/30/2013 10-Q– 19

Our lease provides for scheduled rent increases each year. For operating leases, we record real estate at cost less accumulated depreciation; we recognize future minimum rental revenue on a straight-line basis over the non-cancelable lease term of the related lease and charge expenses to operations as incurred.

Supplemental Financial Measures

In the real estate industry, analysts and investors employ certain non-GAAP supplemental financial measures in order to facilitate meaningful comparisons between periods and among peer companies. Additionally, in the formulation of our goals and in the evaluation of the effectiveness of our strategies, we use supplemental non-GAAP measures, which are uniquely defined by our management. We believe these measures are useful to investors to consider because they may assist them to better understand and measure the performance of our business over time and against similar companies. A description of these non-GAAP financial measures and reconciliations to the most directly comparable GAAP measures are provided below.

FFO and MFFO

Due to certain unique operating characteristics of real estate companies, as discussed below, the National Association of Real Estate Investment Trusts, Inc., or NAREIT, an industry trade group, has promulgated a measure known as funds from operations, or FFO, which we believe to be an appropriate supplemental measure to reflect the operating performance of a REIT. The use of FFO is

CPA^®:18 – Global 9/30/2013 10-Q– 20

recommended by the REIT industry as a supplemental performance measure. FFO is not equivalent to nor a substitute for net income or loss as determined under GAAP.

We define FFO, a non-GAAP measure, consistent with the standards established by the White Paper on FFO approved by the Board of Governors of NAREIT, as revised in February 2004, or the White Paper. The White Paper defines FFO as net income or loss computed in accordance with GAAP, excluding gains or losses from sales of property, impairment charges on real estate and depreciation and amortization; and after adjustments for unconsolidated partnerships and jointly owned investments. Adjustments for unconsolidated partnerships and jointly owned investments are calculated to reflect FFO. Our FFO calculation complies with NAREIT’s policy described above.

The historical accounting convention used for real estate assets requires straight-line depreciation of buildings and improvements, which implies that the value of real estate assets diminishes predictably over time, especially if such assets are not adequately maintained or repaired and renovated as required by relevant circumstances and/or is requested or required by lessees for operational purposes in order to maintain the value disclosed. We believe that, since real estate values historically rise and fall with market conditions, including inflation, interest rates, the business cycle, unemployment and consumer spending, presentations of operating results for a REIT using historical accounting for depreciation may be less informative. Historical accounting for real estate involves the use of GAAP. Any other method of accounting for real estate such as the fair value method cannot be construed to be any more accurate or relevant than the comparable methodologies of real estate valuation found in GAAP. Nevertheless, we believe that the use of FFO, which excludes the impact of real estate-related depreciation and amortization as well as impairment charges of real estate-related assets, provides a more complete understanding of our performance to investors and to management, and when compared year over year, reflects the impact on our operations from trends in occupancy rates, rental rates, operating costs, general and administrative expenses, and interest costs, which may not be immediately apparent from net income. In particular, we believe it is appropriate to disregard impairment charges, as this is a fair value adjustment that is largely based on market fluctuations and assessments regarding general market conditions which can change over time. An asset will only be evaluated for impairment if certain impairment indications exist and if the carrying, or book value, exceeds the total estimated undiscounted future cash flows (including net rental and lease revenues, net proceeds on the sale of the property, and any other ancillary cash flows at a property or group level under GAAP) from such asset. Investors should note, however, that determinations of whether impairment charges have been incurred are based partly on anticipated operating performance, because estimated undiscounted future cash flows from a property, including estimated future net rental and lease revenues, net proceeds on the sale of the property, and certain other ancillary cash flows, are taken into account in determining whether an impairment charge has been incurred. While impairment charges are excluded from the calculation of FFO described above, investors are cautioned that, due to the fact that impairments are based on estimated future undiscounted cash flows and the relatively limited term of our operations, it could be difficult to recover any impairment charges. However, FFO and MFFO, as described below, should not be construed to be more relevant or accurate than the current GAAP methodology in calculating net income or in its applicability in evaluating the operating performance of the company. The method utilized to evaluate the value and performance of real estate under GAAP should be construed as a more relevant measure of operational performance and considered more prominently than the non-GAAP FFO and MFFO measures and the adjustments to GAAP in calculating FFO and MFFO.

Changes in the accounting and reporting promulgations under GAAP (for acquisition fees and expenses from a capitalization/depreciation model to an expensed-as-incurred model) were put into effect in 2009. These other changes to GAAP accounting for real estate subsequent to the establishment of NAREIT’s definition of FFO have prompted an increase in cash-settled expenses, specifically acquisition fees and expenses for all industries as items that are expensed under GAAP, that are typically accounted for as operating expenses. Management believes these fees and expenses do not affect our overall long-term operating performance. Publicly registered, non-listed REITs typically have a significant amount of acquisition activity and are substantially more dynamic during their initial years of investment and operation. While other start-up entities may also experience significant acquisition activity during their initial years, we believe that non-listed REITs are unique in that they have a limited life with targeted exit strategies within a relatively limited time frame after acquisition activity ceases. As disclosed in the Prospectus, we intend to begin the process of achieving a liquidity event (i.e., listing of our common stock on a national exchange, a merger or sale of our assets or another similar transaction) within seven years following the closing of our initial public offering. Thus, we do not intend to continuously purchase assets and intend to have a limited life. Due to the above factors and other unique features of publicly registered, non-listed REITs, the Investment Program Association (“IPA”), an industry trade group, has standardized a measure known as MFFO, which the IPA has recommended as a supplemental measure for publicly registered non-listed REITs and which we believe to be another appropriate supplemental measure to reflect the operating performance of a non-listed REIT having the characteristics described above. MFFO is not equivalent to our net income or loss as determined under GAAP, and MFFO may not be a useful measure of the impact of long-term operating performance on value if we do not continue to operate with a limited life and targeted exit strategy, as currently intended. We believe that, because MFFO excludes costs that we consider more reflective of investing activities and other non-operating items included in FFO and also excludes acquisition fees and expenses that affect our operations only in periods in which

CPA^®:18 – Global 9/30/2013 10-Q– 21

properties are acquired, MFFO can provide, on a going forward basis, an indication of the sustainability (that is, the capacity to continue to be maintained) of our operating performance after the period in which we are acquiring properties and once our portfolio is in place. By providing MFFO, we believe we are presenting useful information that assists investors and analysts to better assess the sustainability of our operating performance after our offering has been completed and once essentially all of our properties have been acquired. We also believe that MFFO is a recognized measure of sustainable operating performance by the non-listed REIT industry. Further, we believe MFFO is useful in comparing the sustainability of our operating performance after our offering and most of our acquisitions are completed with the sustainability of the operating performance of other real estate companies that are not as involved in acquisition activities. Investors are cautioned that MFFO should only be used to assess the sustainability of a company’s operating performance after a company’s offering has been completed and properties have been acquired, as it excludes acquisition costs that have a negative effect on a company’s operating performance during the periods in which properties are acquired.

We define MFFO, a non-GAAP measure, consistent with the IPA’s Guideline 2010-01, Supplemental Performance Measure for Publicly Registered, Non-Listed REITs: Modified Funds from Operations, or the Practice Guideline, issued by the IPA in November 2010. The Practice Guideline defines MFFO as FFO further adjusted for the following items, as applicable, included in the determination of GAAP net income: acquisition fees and expenses; amounts relating to deferred rent receivables and amortization of above and below market leases and liabilities (which are adjusted in order to reflect such payments from a GAAP accrual basis to a cash basis of disclosing the rent and lease payments); accretion of discounts and amortization of premiums on debt investments; where applicable, payments of loan principal made by our equity investees accounted for under the hypothetical liquidation model where such payments reduce our income from equity investments in real estate, nonrecurring impairments of real estate-related investments (i.e., infrequent or unusual, not reasonably likely to recur in the ordinary course of business); mark-to-market adjustments included in net income; nonrecurring gains or losses included in net income from the extinguishment or sale of debt, hedges, foreign exchange, derivatives or securities holdings where trading of such holdings is not a fundamental attribute of the business plan, unrealized gains or losses resulting from consolidation from, or deconsolidation to, equity accounting, and after adjustments for consolidated and unconsolidated partnerships and jointly-owned investments, with such adjustments calculated to reflect MFFO on the same basis. The accretion of discounts and amortization of premiums on debt investments, nonrecurring unrealized gains and losses on hedges, foreign exchange, derivatives or securities holdings, unrealized gains and losses resulting from consolidations, as well as other listed cash flow adjustments are adjustments made to net income in calculating the cash flows provided by operating activities and, in some cases, reflect gains or losses which are unrealized and may not ultimately be realized. While we are responsible for managing interest rate, hedge and foreign exchange risk, we retain an outside consultant to review all our hedging agreements. In as much as interest rate hedges are not a fundamental part of our operations, we believe it is appropriate to exclude such infrequent gains and losses in calculating MFFO, as such gains and losses are not reflective of on-going operations.

Our MFFO calculation complies with the IPA’s Practice Guideline described above. In calculating MFFO, we exclude acquisition-related expenses, amortization of above- and below-market leases, fair value adjustments of derivative financial instruments, deferred rent receivables and the adjustments of such items related to noncontrolling interests. In addition, we also add back payments of loan principal made by our equity investees accounted for under the hypothetical liquidation model to the extent such payments reduce our income from equity investments in real estate. Under GAAP, acquisition fees and expenses are characterized as operating expenses in determining operating net income. These expenses are paid in cash by a company. All paid and accrued acquisition fees and expenses will have negative effects on returns to investors, the potential for future distributions, and cash flows generated by the company, unless earnings from operations or net sales proceeds from the disposition of other properties are generated to cover the purchase price of the property, these fees and expenses and other costs related to such property. Further, under GAAP, certain contemplated non-cash fair value and other non-cash adjustments are considered operating non-cash adjustments to net income in determining cash flow from operating activities. In addition, we view fair value adjustments of derivatives and gains and losses from dispositions of assets as infrequent items or items which are unrealized and may not ultimately be realized, and which are not reflective of on-going operations and are therefore typically adjusted for assessing operating performance. We account for certain of our equity investments using the hypothetical liquidation model which is based on distributable cash as defined in the operating agreement. Equity income for the period recognized under this model may be net of the equity investee’s payments of loan principal. Under GAAP, payments of loan principal do not impact net income. We do not consider payments of loan principal to be a factor in determining our operating performance nor to be consistent with the IPA’s definition of MFFO and therefore add back the equity investee’s payments of loan principal to the extent they have impacted our equity income recognized in the period.

Our management uses MFFO and the adjustments used to calculate it in order to evaluate our performance against other non-listed REITs which have limited lives with short and defined acquisition periods and targeted exit strategies shortly thereafter. As noted above, MFFO may not be a useful measure of the impact of long-term operating performance on value if we do not continue to operate in this manner. We believe that our use of MFFO and the adjustments used to calculate it allow us to present our performance in a manner that reflects certain characteristics that are unique to non-listed REITs, such as their limited life, limited and defined acquisition period and targeted exit strategy, and hence that the use of such measures is useful to investors. For example, acquisition

CPA^®:18 – Global 9/30/2013 10-Q– 22

costs are generally funded from the proceeds of our offering and other financing sources and not from operations. By excluding expensed acquisition costs, the use of MFFO provides information consistent with management’s analysis of the operating performance of the properties. Additionally, fair value adjustments, which are based on the impact of current market fluctuations and underlying assessments of general market conditions, but can also result from operational factors such as rental and occupancy rates, may not be directly related or attributable to our current operating performance. By excluding such changes that may reflect anticipated and unrealized gains or losses, we believe MFFO provides useful supplemental information.

Presentation of this information is intended to provide useful information to investors as they compare the operating performance of different REITs, although it should be noted that not all REITs calculate FFO and MFFO the same way, so comparisons with other REITs may not be meaningful. Furthermore, FFO and MFFO are not necessarily indicative of cash flow available to fund cash needs and should not be considered as an alternative to net income (loss) or income (loss) from continuing operations as an indication of our performance, as an alternative to cash flows from operations as an indication of our liquidity, or indicative of funds available to fund our cash needs including our ability to make distributions to our stockholders. FFO and MFFO should be reviewed in conjunction with other GAAP measurements as an indication of our performance.

Neither the SEC, NAREIT nor any other regulatory body has passed judgment on the acceptability of the adjustments that we use to calculate FFO or MFFO. In the future, the SEC, NAREIT or another regulatory body may decide to standardize the allowable adjustments across the non-listed REIT industry and we would have to adjust our calculation and characterization of FFO or MFFO accordingly.

FFO and MFFO were as follows:

	Three Months Ended September 30, 2013			Nine Months Ended September 30, 2013
Net loss attributable to CPA®:18 – Global stockholders	$	(138,309	)	$	(203,550	)
Adjustments:
Depreciation and amortization of real property	362,718			362,718
Proportionate share of adjustments for noncontrolling interest to arrive at FFO	(185,110		)	(185,110		)
Total adjustments	177,608			177,608
FFO — as defined by NAREIT	39,299			(25,942		)
Adjustments:
Other depreciation, amortization and non-cash charges	66,666			66,666
Straight-line and other rent adjustments (a)	(124,440		)	(124,440		)
Acquisition expenses (b)	47,785			47,785
Below-market rent intangible lease amortization, net	(12,691		)	(12,691		)
Proportionate share of adjustments for noncontrolling interest to arrive at MFFO	44,674			44,674
Total adjustments	21,994			21,994
MFFO	$	61,293		$	(3,948	)

	Three Months Ended   September 30, 2013									Nine Months Ended   September 30, 2013
	Common Stock									Common Stock
	Class A			Class C			Total			Class A			Class C			Total
Net loss attributable to CPA®:18 –    Global stockholders (c)	$	(108,611	)	$	(29,698	)	$	(138,309	)	$	(163,329	)	$	(40,221	)	$	(203,550	)
FFO – as defined by NAREIT (c)	$	34,362		$	4,937		$	39,299		$	(18,405	)	$	(7,537	)	$	(25,942	)
MFFO (c)	$	52,067		$	9,226		$	61,293		$	(458	)	$	(3,490	)	$	(3,948	)

__________

(a) Under GAAP, rental receipts are allocated to periods using an accrual basis. This may result in income recognition that is significantly different than underlying contract terms. By adjusting for these items (to reflect such payments from a GAAP accrual basis to a cash basis of disclosing the rent and lease payments), management believes that MFFO provides useful supplemental information on the realized economic impact of lease terms and debt investments, provides insight on the contractual cash flows of such lease terms and debt investments, and aligns results with management’s analysis of operating performance.

CPA^®:18 – Global 9/30/2013 10-Q– 23

(b) Includes Acquisition expenses and amortization of deferred acquisition fees. In evaluating investments in real estate, management differentiates the costs to acquire the investment from the operations derived from the investment. Such information would be comparable only for non-listed REITs that have completed their acquisition activity and have other similar operating characteristics. By excluding expensed acquisition costs and amortization of deferred acquisition fees, management believes MFFO provides useful supplemental information that is comparable for each type of real estate investment and is consistent with management’s analysis of the investing and operating performance of our properties. Acquisition fees and expenses include payments to our advisor or third parties. Acquisition fees and expenses under GAAP are considered operating expenses and as expenses included in the determination of net income and income from continuing operations, both of which are performance measures under GAAP. All paid and accrued acquisition fees and expenses will have negative effects on returns to stockholders, the potential for future distributions, and cash flows generated by us, unless earnings from operations or net sales proceeds from disposition of properties are generated to cover the purchase price of the property, these fees and expenses and other costs related to the property.

(c) The allocation of Net loss attributable to CPA^®:18 – Global stockholders, FFO, and MFFO is calculated based on the weighted-average shares outstanding for Class A common stock and Class C common stock for the three and nine months ended September 30, 2013. The allocation for the Class A common stock excludes the shareholder servicing fee of $3,387 that is only applicable to Class C common stockholders (Note 3).

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

Market risk is the exposure to loss resulting from changes in interest rates, foreign currency exchange rates and equity prices. We currently have limited exposure to these market risks. We currently have no foreign operations and are not exposed to foreign currency fluctuations. In addition to these risks, we are subject to industry and geographic risk as we currently have only one investment, in the property leased to State Farm, which is located in Austin, Texas and in the insurance industry.

Interest Rate Risk

The carrying value of our real estate and related fixed-rate debt obligations is subject to fluctuations based on changes in interest rates. The value of our real estate is also subject to fluctuations based on local and regional economic conditions and changes in the creditworthiness of lessees, all of which may affect our ability to refinance property-level mortgage debt when balloon payments are scheduled, where applicable. Interest rates are highly sensitive to many factors, including governmental monetary and tax policies, domestic and international economic and political conditions, and other factors beyond our control. An increase in interest rates would likely cause the fair value of our owned assets to decrease. Increases in interest rates may also have an impact on the credit profile of certain tenants.

We are exposed to the impact of interest rate changes primarily through our borrowing activities. To limit this exposure, we attempt to obtain non-recourse mortgage financing on a long-term, fixed-rate basis.

At September 30, 2013, we had one non-recourse interest only mortgage loan with a fixed interest rate of 4.5% during its term and one variable-rate loan with an interest rate of LIBOR plus 1.75%. Our debt obligations are more fully described in Note 6. The following table presents principal cash flows based upon expected maturity dates of our debt obligations outstanding at September 30, 2013:

	2013
	(Remainder)		2014		2015		2016		2017		Thereafter		Total		Fair Value
Fixed-rate debt (a)	$	—	$	—	$	—	$	—	$	—	$	72,800,000	$	72,800,000	$	72,800,000
Variable rate debt (b)	$	15,000,000	$	—	$	—	$	—	$	—	$	—	$	15,000,000	$	15,000,000

__________

(a) This interest-only loan is scheduled to mature on September 10, 2023.

(b) Represents the loan from W. P. Carey, which had a scheduled maturity date of August 20, 2014 but was repaid in full on October 4, 2013.

At September 30, 2013, the estimated fair value of our fixed-rate debt and variable-rate debt approximated their carrying values. A decrease or increase in interest rates of 1% would change the estimated fair value of the fixed-rate debt at September 30, 2013 by an aggregate increase of $6,135,019 or an aggregate decrease of $5,590,044, respectively. This debt is generally not subject to short-term fluctuations in interest rates.

CPA^®:18 – Global 9/30/2013 10-Q– 24

Item 4. Controls and Procedures.

Disclosure Controls and Procedures

Our disclosure controls and procedures include our controls and other procedures designed to provide reasonable assurance that information required to be disclosed in this and other reports filed under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), is recorded, processed, summarized and reported within the required time periods specified in the SEC’s rules and forms and that such information is accumulated and communicated to management, including our chief executive officer and chief financial officer, to allow timely decisions regarding required disclosures. It should be noted that no system of controls can provide complete assurance of achieving a company’s objectives and that future events may impact the effectiveness of a system of controls.

Our chief executive officer and chief financial officer, after conducting an evaluation, together with members of our management, of the effectiveness of the design and operation of our disclosure controls and procedures at September 30, 2013, have concluded that our disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act) were effective as of September 30, 2013 at a reasonable level of assurance.

Changes in Internal Control Over Financial Reporting

There have been no changes in our internal control over financial reporting during our most recently completed fiscal quarter covered by this Quarterly Report on Form 10-Q that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

CPA^®:18 – Global 9/30/2013 10-Q– 25

PART II

Item 1A. Risk Factors.

We are not aware of any significant trends or uncertainties, favorable or unfavorable, that may be reasonably anticipated to have a significant impact on either our ability to raise capital or on the revenue to be derived from the acquisition and operation of any investments we will make, other than those referred to in the risks described in the “Risk Factors” section of the Prospectus regarding our initial public offering.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

Unregistered Sales of Equity Securities

During the three months ended September 30, 2013, we issued 835 shares of our Class A common stock to the advisor as consideration for asset management fees. These shares were issued at $10.00 per share, which is the price at which shares of our Class A common stock are being sold in our initial public offering. Since this transaction was not considered to have involved a “public offering” within the meaning of Section 4(a)(2) of the Securities Act, the shares issued were deemed to be exempt from registration. In acquiring our shares, the advisor represented that such interests were being acquired by it for the purposes of investment and not with a view to the distribution thereof.

Use of Proceeds

On May 7, 2013, our Registration Statement (File No. 333-185111) for our initial public offering was declared effective by the SEC. On July 25, 2013, aggregate subscription proceeds for our Class A and Class C common stock exceeded the minimum offering amount of $2,000,000 and we began to admit stockholders. The cumulative use of proceeds from our initial public offering was as follows as of September 30, 2013:

	Common Stock
	Class A			Class C			Total
Shares registered (a)	80,000,000			21,390,374			101,390,374
Aggregate price of offering amount registered (a)	$	800,000,000		$	200,000,000		$	1,000,000,000
Shares sold (b)	1,733,712			348,441			2,082,153
Aggregated offering price of amount sold	$	17,259,946		$	3,257,922		$	20,517,868
Direct or indirect payments to directors, officers, general partners    of the issuer or their associates; to persons owning ten percent or more    of any class of equity securities of the issuer; and to affiliates of the issuer	(75,011		)	—			(75,011		)
Direct or indirect payments to others	(1,654,299		)	(122,172		)	(1,776,471		)
Net offering proceeds to the issuer after deducting expenses	$	15,530,636		$	3,135,750		$	18,666,386
Purchases of real estate, net of financing and noncontrolling interest							(4,988,967		)
Working capital							571,022
Temporary investments in cash and cash equivalents							$	14,248,441

__________

(a) These amounts are based on the assumption that the shares to be sold in our initial public offering will be composed of 80% of Class A common stock and 20% of Class C common stock.

(b) Excludes shares issued to affiliates.

CPA^®:18 – Global 9/30/2013 10-Q– 26

Item 6. Exhibits.

The following exhibits are filed with this Report, except where indicated.

Exhibit No.	Description
10.1	Amended and Restated Limited Liability Company Agreement of SFT INS (TX) LLC, dated September 13, 2013 by CPA:17 Limited Partnership and CPA:18 Limited Partnership
31.1	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32	Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101	The following materials from Corporate Property Associates 18 – Global Incorporated’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2013, formatted in XBRL (eXtensible Business Reporting Language): (i) Consolidated Balance Sheets at September 30, 2013 and December 31, 2012, (ii) Consolidated Statements of Operations for the three and nine months ended September 30, 2013, (iii) Consolidated Statements of Equity for the period from September 7, 2012 to December 31, 2012 and the nine months ended September 30, 2013, (iv) Consolidated Statement of Cash Flows for the nine months ended September 30, 2013, and (v) Notes to Consolidated Financial Statements. *

__________

* Pursuant to Rule 406T of Regulation S-T, the Interactive Data Files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections.

CPA^®:18 – Global 9/30/2013 10-Q– 27

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.

Corporate Property Associates 18 – Global Incorporated

Date:	November 8, 2013	By:	/s/ Catherine D. Rice
			Catherine D. Rice
			Chief Financial Officer
			(Principal Financial Officer)
Date:	November 8, 2013	By:	/s/ Hisham A. Kader
			Hisham A. Kader
			Chief Accounting Officer
			(Principal Accounting Officer)

CPA^®:18 – Global 9/30/2013 10-Q– 28

EXHIBIT INDEX

The following exhibits are filed with this Report, except where indicated.

Exhibit No.	Description
10.1	Amended and Restated Limited Liability Company Agreement of SFT INS (TX) LLC, dated September 13, 2013 by CPA:17 Limited Partnership and CPA:18 Limited Partnership
31.1	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32	Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101	The following materials from Corporate Property Associates 18 – Global Incorporated’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2013, formatted in XBRL (eXtensible Business Reporting Language): (i) Consolidated Balance Sheets at September 30, 2013 and December 31, 2012, (ii) Consolidated Statements of Operations for the three and nine months ended September 30, 2013, (iii) Consolidated Statements of Equity for the period from September 7, 2012 to December 31, 2012 and the nine months ended September 30, 2013, (iv) Consolidated Statement of Cash Flows for the nine months ended September 30, 2013, and (v) Notes to Consolidated Financial Statements. *

__________

* Pursuant to Rule 406T of Regulation S-T, the Interactive Data Files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections.

EX-10.1

Exhibit 10.1

AMENDED AND RESTATED LIMITED LIABILITY COMPANY OPERATING AGREEMENT

OF

SFT INS (TX) LLC

Effective: As of August 20, 2013

TABLE OF CONTENTS

SECTION 1 DEFINED TERMS		1
SECTION 2 FORMATION AND NAME; OFFICE; PURPOSE; TERM		6
	2.1.Formation	6
	2.2.Name of the Company	6
	2.3.Purpose	6
	2.4.Term	6
	2.5.Registered Office	6
	2.6.Registered Agent	6
	2.7.Principal Office	6
	2.8.Members	6
	2.9.Fiscal Year	6
	2.10.Specific Powers of the Company	7
SECTION 3 MEMBERS; CAPITAL; CAPITAL ACCOUNTS		7
	3.1.Membership	7
	3.2.Initial Capital Contributions	7
	3.3.Additional Capital Contributions	7
	3.4.No Interest on Capital Contributions	7
	3.5.Return of Capital Contributions	7
	3.6.Form of Return of Capital	7
	3.7.Capital Accounts	8
SECTION 4 PROFIT, LOSS AND DISTRIBUTIONS		8
	4.1.Distributions of Cash Flow and Allocations of Profit or Loss	8
	4.2.Regulatory Allocations	8
	4.3.Liquidation and Dissolution	9
	4.4.General	10
SECTION 5 MANAGEMENT; RIGHTS, POWERS AND DUTIES; RESTRICTIONS ON POWERS		10
	5.1.Management of the Company	10
	5.2.General Powers; Operations	11
	5.3.Meetings of and Voting By Members	11
	5.4.Limitations on Power of Manager	12
	5.5.Liability and Indemnification	12
SECTION 6 TRANSFER OF INTERESTS AND WITHDRAWALS OF MEMBERS		12
	6.1.Restrictions on Transfers	13

i

	6.2.Right of First Refusal	14
	6.3.Closing of a Transfer	14
	6.4.Effective Date of Sale	15
	6.5.Transfers to Permitted Transferees	15
	6.6.Voluntary Withdrawal	15
	6.7.Involuntary Withdrawal	15
SECTION 7 DISSOLUTION, LIQUIDATION, CONSOLIDATION, MERGER AND SALE OF ASSETS		15
	7.1.Events of Dissolution	15
	7.2.Procedure for Winding Up and Dissolution	16
	7.3.Filing of Certificate of Cancellation	16
	7.4.Continuation of Business	16
SECTION 8 BOOKS, RECORDS, ACCOUNTING AND TAX ELECTIONS		16
	8.1.Accounts	16
	8.2.Books and Records	16
	8.3.Annual Accounting Period	17
	8.4.Reports	17
	8.5.Tax Matters Partner	17
	8.6.Tax Elections	17
SECTION 9 GENERAL PROVISIONS		17
	9.1.Assurances	17
	9.2.Notifications	17
	9.3.Specific Performance	18
	9.4.Complete Agreement	18
	9.5.Applicable Law	18
	9.6.Section Titles	18
	9.7.Binding Provisions	18
	9.8.Arbitration, Jurisdiction and Venue	18
	9.9.Terms	18
	9.10.Separability of Provisions	18
	9.11.Counterparts	18
	9.12.Estoppel Certificate	19
	9.13.Indemnity	19
	9.14.Effective Date of Agreement	19

AMENDED AND RESTATED LIMITED LIABILITY COMPANY

OPERATING AGREEMENT OF

SFT INS (TX) LLC

THIS AMENDED AND RESTATED LIMITED LIABILITY COMPANY OPERATING AGREEMENT (this “Agreement”) of SFT INS (TX) LLC, a Delaware limited liability company (the “Company”) is dated September 13, 2013, but effective as of August 20, 2013, by CPA:17 Limited Partnership, a Delaware limited partnership as a member of the Company , CPA:18 Limited Partnership, a Delaware limited partnership, as its managing member (the “Managing Member” or “Manager”),Julia A. McCullough, as the Independent Director (as defined below) and any Persons who become members of the Company in accordance with the provisions hereof.

WHEREAS, the Company was organized on June 12, 2013 by the filing of a Certificate of Formation with the Delaware Secretary of State; and

WHEREAS, CPA: 17 Limited Partnership, as managing member, CPA:18 Limited Partnership, as member and Julia A. McCullough, as Independent Director, executed the Operating Agreement of the Company, dated as of August 16, 2013 (the “Original Operating Agreement”;

WHEREAS, CPA: 17 Limited Partnership and CPA: 18 Limited Partnership, as the members of the Company have agreed to amend and restate the Original Operating Agreement in its entirety as hereinafter set forth;

NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained and other good and valuable consideration, the receipt, adequacy and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows:

SECTION 1
DEFINED TERMS

The following capitalized terms shall have the meanings specified in this Section 1. Other terms are defined in the text of this Agreement; and, throughout this Agreement, those terms shall have the meanings respectively ascribed to them.

“Act” means the Delaware Limited Liability Company Act, 6 Del. C. § 18-101 et seq., as amended from time to time.

“Adjusted Capital Account Deficit” means, with respect to any Interest Holder, the deficit balance, if any, in the Interest Holder’s Capital Account as of the end of the relevant taxable year, after giving effect to the following adjustments:

(i)the deficit shall be decreased by the amounts which the Interest Holder is deemed to be obligated to restore pursuant to Treas. Reg. § 1.704‑1(b)(2)(ii)(c); and

(ii)the deficit shall be increased by the items described in Treas. Reg. § 1.704‑1(b)(2)(ii)(d)(4), (5) and (6).

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“Affiliate” means, with respect to any Member, any Person: (i) which owns more than 5% of the voting interests in the Member; or (ii) in which the Member owns more than 5% of the voting interests; or (iii) in which more than 5% of the voting interests are owned by a Person who has a relationship with the Member described in clause (i) or (ii) above.

“Agreement” means this Agreement, as amended, restated or supplemented from time to time.

“Capital Account” means the account to be maintained by the Company for each Interest Holder in accordance with the following provisions:

(i)an Interest Holder’s Capital Account shall be credited with the Interest Holder’s Capital Contributions, the amount of any Company liabilities assumed by the Interest Holder (or which are secured by Company property distributed to the Interest Holder), the Interest Holder’s distributive share of Profit and any item in the nature of income or gain specially allocated to such Interest Holder pursuant to the provisions of Section 4 (other than Section 4.2.4.); and

(ii)an Interest Holder’s Capital Account shall be debited with the amount of money and the fair market value of any Company property distributed to the Interest Holder, the amount of any liabilities of such Interest Holder assumed by the Company (or which are secured by property contributed by the Interest Holder to the Company), the Interest Holder’s distributive share of Loss and any item in the nature of expenses or losses specially allocated to the Interest Holder pursuant to the provisions of Section 4 (other than Section 4.2.4.).

If any Interest is Transferred pursuant to the terms of this Agreement, the Transferee shall succeed to the Capital Account of the Transferor to the extent the Capital Account is attributable to the transferred Interests. If the book value of Company property is adjusted pursuant to Treas. Reg. §1.704-1(b)(2)(iv)(f), the Capital Account of each Interest Holder shall be adjusted to reflect the aggregate adjustment in the same manner as if the Company had recognized gain or loss equal to the amount of such aggregate adjustment. It is intended that the Capital Accounts of all Interest Holders shall be maintained in compliance with the provisions of Treas. Reg. § 1.704‑1(b), and all provisions of this Agreement relating to the maintenance of Capital Accounts shall be interpreted and applied in a manner consistent with that Regulation.

“Capital Contribution” means the total amount of cash and the fair market value of any other assets contributed (or deemed contributed under Treas. Reg. § 1.704‑1(b)(2)(iv)(d)) to the Company by a Member, net of liabilities assumed or to which the assets are subject.

“Cash Flow” for a given period (or portion thereof) means all gross revenues or receipts for such period (or portion thereof), from any source whatsoever of the Company (determined on a cash basis), including distributions from any escrow account, less Permitted Expenses for such period (or portion thereof).

“Certificate of Formation” means the Certificate of Formation of the Company and any and all amendments thereto and restatements thereof filed on behalf of the Company with the Office of the Secretary of State of the State of Delaware pursuant to the Act.

“Code” means the Internal Revenue Code of 1986, as amended, or any corresponding provision of any succeeding law.

“Company” means SFT INS (TX) LLC, the limited liability company formed in accordance with this Agreement and the Act.

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“Company Minimum Gain” has the meaning set forth in Treas. Reg. §§ 1.704‑2(b)(2) and 1.704‑2(d) for partnership minimum gain.

“Interest” means an Interest Holder’s limited liability company interest in the Company in accordance with the provisions of this Agreement and the Act.

“Interest Holder” means any Person who holds an Interest, whether as a Member or an unadmitted assignee of a Member.

“Involuntary Withdrawal” means, with respect to any Member, the occurrence of any of the following events:

(iii)the Member makes an assignment for the benefit of creditors;

(iv)the Member files a voluntary petition of bankruptcy;

(v)the Member is adjudged bankrupt or insolvent or there is entered against the Member an order for relief in any bankruptcy or insolvency proceeding;

(vi)the Member files a petition or answer seeking for the Member any reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief under any statute, law, or regulation;

(vii)the Member seeks, consents to, or acquiesces in the appointment of a trustee for, receiver for, or liquidation of the Member or of all or any substantial part of the Member’s properties;

(viii)the Member files an answer or other pleading admitting or failing to contest the material allegations of a petition filed against the Member in any proceeding described in Subsections(i) through (v);

(ix)any proceeding against the Member seeking reorganization, arrangement, composition, readjustment, liquidation, dissolution, or similar relief under any statute, law or regulation, which continues for one hundred twenty (120) days after the commencement thereof, or the appointment of a trustee, receiver, or liquidator for the Member or all or any substantial part of the Member’s properties without the Member’s agreement or acquiescence, which appointment is not vacated or stayed for one hundred twenty (120) days or, if the appointment is stayed, for one hundred twenty (120) days after the expiration of the stay during which period the appointment is not vacated;

(x)if the Member is an individual, the Member’s death or adjudication by a court of competent jurisdiction as incompetent to manage the Member’s person or property;

(xi)if the Member is acting as a Member by virtue of being a trustee of a trust, the termination of the trust;

(xii)if the Member is a partnership or another limited liability company, the dissolution and commencement of winding up of the partnership or limited liability company;

(xiii)if the Member is a corporation, the dissolution of the corporation or the revocation of its charter; or

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(xiv)if the Member is an estate, the distribution by the fiduciary of the estate’s entire interest in the limited liability company.

“Lease” means the lease for the Property, dated August 20, 2013between the Company, as landlord, and State Farm Mutual Automobile Insurance Company, as tenant.

“Lender” has the meaning set forth in Section 9.15 hereof.

“Loan” has the meaning set forth in Section 9.15 hereof.

“Loan Documents” shall have the meaning given in Section 9.13.

“Managing Member” or “Manager” means, CPA:18 Limited Partnership, a Delaware limited partnership.

“Member” means each Person signing this Agreement as of the date hereof and includes any Person who subsequently is admitted as an additional or substitute member of the Company pursuant to the provisions of this Agreement.

“Member Nonrecourse Debt” has the meaning set forth in Treas. Reg. § 1.704-2(b)(4) for partnership nonrecourse debt.

“Member Nonrecourse Debt Minimum Gain” means an amount, with respect to each Member Nonrecourse Debt, equal to the Company Minimum Gain that would result if such Member Nonrecourse Debt were treated as a Nonrecourse Liability, determined in accordance with Treas. Reg. § 1.704‑2(i)(3).

“Member Nonrecourse Deductions” has the meaning set forth in Treas. Reg. §§ 1.704‑2(i)(1) and 1.704‑2(i)(2) for partner nonrecourse deductions.

“Membership Rights” means all of the rights of a Member in the Company, including a Member’s: (i) Interest; (ii) right to inspect the Company’s books and records; (iii) right to participate in the management of and vote on matters coming before the Company; and (iv) unless this Agreement provides to the contrary, act as an agent of the Company.

“Negative Capital Account” means a Capital Account with a balance of less than zero.

“Nonrecourse Deductions” has the meaning set forth in Treas. Reg. § 1.704‑2(b)(1). The amount of Nonrecourse Deductions for a taxable year of the Company equals the net increase, if any, in the amount of Minimum Gain during that taxable year, determined according to the provisions of Treas. Reg. § 1.704‑2(c).

“Nonrecourse Liability” has the meaning set forth in Treas. Reg. § 1.704‑2(b)(3).

“Ordinary Course of Business” means any transaction which is undertaken to further the purposes for which the Company has been organized as set forth in Section 2.3.

“Percentage” means, as to a Member, the percentage set forth after the Member’s name on Exhibit A, as amended from time to time, and as to an Interest Holder who is not a Member, the Percentage of the Member whose Interest is held by such Interest Holder, to the extent the Interest Holder has succeeded to that Member’s Interest.

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“Permitted Expenses” means all costs (capital, operating, and otherwise) of the Company during any period or portion thereof, determined on the basis of sound cash basis accounting practices applied on a consistent basis (including, but not limited to, principal and interest payments on Company debt and amounts spent on improving property owned or leased by the Company and reasonable reserves as determined by the Manger, in its sole discretion, but specifically excluding depreciation, amortization and any other non-cash deductions of the Company for income tax purposes).

“Permitted Transferee” means (i) any Member, (ii) any Wholly-Owned Subsidiary of a Member, (iii) any Person to which a Member transfers all or substantially all of its assets, and (v) any Person that is managed by a Member or any of its affiliates.

“Person” means any individual, corporation, partnership, association, limited liability company, trust, estate or other entity.

“Profit” and “Loss” means, for each taxable year of the Company (or other period for which Profit or Loss must be computed), the Company’s taxable income or loss determined in accordance with Code Section 703(a), with the following adjustments:

(xv)all items of income, gain, loss, deduction, or credit required to be stated separately pursuant to Code Section 703(a)(1) shall be included in computing taxable income or loss; and

(xvi)any tax‑exempt income of the Company, not otherwise taken into account in computing Profit or Loss, shall be included in computing taxable income or loss; and

(xvii)any expenditures of the Company described in Code Section 705(a)(2)(b) (or treated as such pursuant to Treas. Reg. § 1.704‑1(b)(2)(iv)(i)) and not otherwise taken into account in computing Profit or Loss, shall be subtracted from taxable income or loss; and

(xviii)gain or loss resulting from any taxable disposition of Company property shall be computed by reference to the adjusted book value of the property disposed of, notwithstanding the fact that the adjusted book value differs from the adjusted basis of such property for federal income tax purposes; and

(xix)in lieu of the depreciation, amortization or cost recovery deductions allowable in computing taxable income or loss, there shall be taken into account the depreciation computed based upon the adjusted book value of the asset; and

(xx)notwithstanding any other provision of this definition, any items which are specially allocated pursuant to Section 4.2. hereof shall not be taken into account in computing Profit or Loss.

“Property” means that certain property located at 8900 Amberglen Boulevard, Austin, Texas.

“Regulation” means the income tax regulations, including any temporary regulations, from time to time promulgated under the Code.

“Security” shall have the same meaning as in Section 2(1) of the Securities Act of 1933, as amended.

“Transfer” or “Transferred” shall have the meaning given in Section 6.1.1.

“Transferee” shall have the meaning given in Section 6.1.3.

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“Transferor” shall have the meaning given in Section 6.1.3.

“Voluntarily Withdraw” means a Member’s disassociation with the Company by means other than by a Transfer or an Involuntary Withdrawal.

“Voting Stock” means Securities of any class or classes, the holders of which are ordinarily, in the absence of contingencies, entitled to elect the corporate directors (or Persons performing similar functions).

“Wholly-Owned Subsidiary” means, as to any particular parent corporation, any entity of which all of the Voting Stock shall be beneficially owned, directly or indirectly, by such parent corporation.

SECTION 2FORMATION AND NAME; OFFICE; PURPOSE; TERM

2.1.Formation. The Company was formed on June 12, 2013 as a limited liability company pursuant to the Act and the provisions of this Agreement and, for that purpose, a Certificate of Formation in the form attached hereto as Exhibit B was executed and filed with the Office of the Secretary of State of the State of Delaware. The Members agree that the rights, duties and liabilities of the Members shall be as provided in the Act, except as otherwise provided herein.

2.2.Name of the Company. The name of the Company shall be “SFT INS (TX) LLC.” The Company shall do business only under that name.

2.3.Purpose. The Company’s business and purpose shall consist of the acquisition and ownership of real property situate in 8900 Amberglen Boulevard, Austin, Texas and any other lawful purpose.

2.4.Term. The Company was formed on June 12, 2013 upon the filing of the Certificate of Formation and shall continue in existence indefinitely untilthe cancellation of the Certificate of Formation in the manner required by the Act.

2.5.Registered Office. The registered office of the Company required by the Act to be maintained in the State of Delaware shall be located at c/o Corporation Service Company, whose post office address is 2711 Centerville Road, Suite 400, Wilmington, New Castle County, Delaware 19808, or such other office (which need not be a place of business of the Company) as the Manager may designate from time to time.

2.6.Registered Agent. The registered agent of the Company in the State of Delaware shall be Corporation Service Company, whose post office address is 2711 Centerville Road, Suite 400, Wilmington, New Castle County, Delaware 19808, or such other Person or Persons within the State of Delaware as the Manager may designate from time to time.

2.7.Principal Office. The principal office of the Company shall be located at c/o W. P. Carey Inc., 50 Rockefeller Plaza, 2^nd Floor, New York, New York 10020, or at any other place which the Manager may designate from time to time.

2.8.Members. The name, present mailing address, taxpayer identification number, and Percentage of each Member are set forth on Exhibit A. Upon execution of this Agreement, the Persons listed on Exhibit A shall be deemed admitted as members of the Company. Leah Speckhard, as an authorized person within the meaning of the Act, has executed, delivered and filed the Certificate of Formation with the office of the Secretary of State of the State of Delaware.

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2.9.Fiscal Year. The fiscal year of the Company shall end on the last day of December in each year.

2.10.Specific Powers of the Company. The Company, with the approval of the Manager, may enter into and perform contracts, agreements or other instruments without any further act, vote or approval of any Member, notwithstanding any other provision of this Agreement, the Act or other applicable law, rule or regulation:

SECTION 3MEMBERS; CAPITAL; CAPITAL ACCOUNTS

3.1.Membership. The initial Members of the Company shall be CPA:18 Limited Partnership, a Delaware limited partnership and CPA:17 Limited Partnership, a Delaware limited partnership.

3.2.Initial Capital Contributions. Upon the execution of this Agreement, the Members shall contribute to the Company cash in the amount set forth on Exhibit A attached hereto.

3.3.Additional Capital Contributions.

3.3.1.If the Members at any time or from time to time determine that the Company requires additional Capital Contributions, then each Member shall contribute its proportionate share (as determined in accordance with this Section) of any such additional Capital Contributions, which payment shall be due and payable on the date that is thirty (30) days after such determination has been made by the Members. A Member’s proportionate share of total additional Capital Contributions shall be equal to the product obtained by multiplying the Member’s Percentage and the total additional Capital Contributions required.

3.3.2.If a Member fails to pay when due all or any portion of any Capital Contribution, the non‑defaulting Members shall pay the unpaid amount of the defaulting Member’s Capital Contribution (the “Unpaid Contribution”). To the extent the Unpaid Contribution is contributed by any other Member, the defaulting Member’s Percentage shall be reduced and the Percentage of each Member who makes up the Unpaid Contribution shall be increased, so that each Member’s Percentage is equal to a fraction, the numerator of which is that Member’s total Capital Contributions and the denominator of which is the total Capital Contributions of all Members. Exhibit A shall automatically be amended to reflect the Capital Contributions of each Member and their revised Percentages in accordance with this Section 3.2.2 and the Manager shall prepare and forward an updated copy of Exhibit A to each of the Members reflecting any additional Capital Contributions and revised Percentages, if applicable. This remedy is in addition to any other remedies allowed by law or by this Agreement.

3.3.3.Except as provided in Sections 3.2. and 3.3., no Member shall be required to contribute any additional Capital Contributions to the Company, and no Member shall have any personal liability for any obligation of the Company. Except as otherwise provided by the Act, the debts, obligations and liabilities of the Company, whether arising in contract, tort or otherwise, shall be solely the debts, obligations and liabilities of the Company, and no Member shall be obligated personally for any such debt, obligation or liability of the Company solely by reason of being a Member.

3.4.No Interest on Capital Contributions. Interest Holders shall not be paid interest on their Capital Contributions.

3.5.Return of Capital Contributions. Except as otherwise provided in this Agreement, no Interest Holder shall have the right to receive the return of any Capital Contribution.

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3.6.Form of Return of Capital. If an Interest Holder is entitled to receive a return of a Capital Contribution, the Company may distribute cash, notes, property or a combination thereof to the Interest Holder in return of the Capital Contribution.

3.7.Capital Accounts. A separate Capital Account shall be maintained for each Interest Holder.

SECTION 4PROFIT, LOSS AND DISTRIBUTIONS

4.1.Distributions of Cash Flow and Allocations of Profit or Loss.

4.1.1.Profit or Loss. After giving effect to the special allocations set forth in Section 4.2., for any taxable year of the Company, Profit or Loss shall be allocated to the Interest Holders in proportion to their Percentages.

4.1.2.Cash Flow. Cash Flow for each taxable year of the Company shall be distributed by the Company to the Interest Holders in proportion to their Percentages at such times and in such amounts as the Manager shall from time to time determine.

4.2.Regulatory Allocations.

4.2.1.Qualified Income Offset. No Interest Holder shall be allocated Losses or deductions if the allocation causes an Interest Holder to have a Adjusted Capital Account Deficit. If an Interest Holder receives (1) an allocation of Loss or deduction (or item thereof) or (2) any distribution which causes the Interest Holder to have a Adjusted Capital Account Deficit at the end of any taxable year, then all items of income and gain of the Company (consisting of a pro rata portion of each item of Company income, including gross income and gain) for that taxable year shall be allocated to that Interest Holder before any other allocation is made of Company items for that taxable year, in the amount and in proportions required to eliminate the Adjusted Capital Account Deficit as quickly as possible. This Section 4.2.1. is intended to comply with, and shall be interpreted consistently with, the “qualified income offset” provisions of the Regulations promulgated under Code Section 704(b).

4.2.2.Company Minimum Gain. Except as set forth in Treas. Reg. § 1.704‑2(f)(2), notwithstanding any other provision of this Agreement, if, during any taxable year, there is a net decrease in Company Minimum Gain, each Interest Holder, prior to any other allocation pursuant to this Section 4, shall be specially allocated items of gross income and gain for such taxable year (and, if necessary, subsequent taxable years) in an amount equal to that Interest Holder’s share of the net decrease in Company Minimum Gain, computed in accordance with Treas. Reg. § 1.704‑2(g). Allocations of gross income and gain pursuant to this Section 4.2.2. shall be made first from gain recognized from the disposition of Company assets subject to nonrecourse liabilities (within the meaning of the Regulations promulgated under Code Section 752), to the extent of the Company Minimum Gain attributable to those assets, and thereafter, from a pro rata portion of the Company’s other items of income and gain for the taxable year. The items to be so allocated shall be determined in accordance with Treas. Reg. §§ 1.704‑2(f)(6) and 1.704‑2(j)(2). It is the intent of the parties hereto that any allocation pursuant to this Section 4.2.2. shall constitute a “minimum gain chargeback” under Treas. Reg. § 1.704‑2(f) and shall be interpreted consistently therewith.

4.2.3.Member Minimum Gain. Except as otherwise provided in Treas. Reg. § 1.704‑2(i)(4), notwithstanding any other provision of this Agreement, if there is a net decrease in Member Nonrecourse Debt Minimum Gain attributable to a Member Nonrecourse Debt during any taxable year, each Interest Holder who has

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a share of the Member Nonrecourse Debt Minimum Gain attributable to such Member Nonrecourse Debt, determined in accordance with Treas. Reg. § 1.704‑2(i)(5), shall be specially allocated items of income and gain for such taxable year (and, if necessary, subsequent taxable years) in an amount equal to such Interest Holder’s share of the net decrease in Member Nonrecourse Debt Minimum Gain attributable to such Member Nonrecourse Debt, determined in accordance with Treas. Reg. § 1.704‑2(i)(4). Allocations pursuant to the previous sentence shall be determined in accordance with Treas. Reg. §§ 1.704‑2(i)(4) and 1.704‑2(j)(2). This Section 4.2.3. is intended to comply with the minimum gain chargeback requirement in Treas. Reg. § 1.704‑2(i)(4) and shall be interpreted consistently therewith.

4.2.4.Contributed Property and Book‑ups. In accordance with Code Section 704(c) and the Regulations thereunder, as well as Treas. Reg. § 1.704‑1(b)(2)(iv)(d)(3), income, gain, loss, and deduction with respect to any property contributed (or deemed contributed) to the Company shall, solely for tax purposes, be allocated among the Interest Holders so as to take account of any variation between the adjusted basis of the property to the Company for federal income tax purposes and its fair market value at the date of contribution (or deemed contribution). If the adjusted book value of any Company asset is adjusted as provided herein, subsequent allocations of income, gain, loss, and deduction with respect to the asset shall take account of any variation between the adjusted basis of the asset for federal income tax purposes and its adjusted book value in the manner required under Code Section 704(c) and the Regulations thereunder.

4.2.5.Code Section 754 Adjustment. To the extent an adjustment to the tax basis of any Company asset pursuant to Code Section 734(b) or Code Section 743(b) is required, pursuant to Treas. Reg. § 1.704‑1(b)(2)(iv)(m), to be taken into account in determining Capital Accounts, the amount of the adjustment to the Capital Accounts shall be treated as an item of gain (if the adjustment increases the basis of the asset) or loss (if the adjustment decreases basis) and the gain or loss shall be specially allocated to the Interest Holders in a manner consistent with the manner in which their Capital Accounts are required to be adjusted pursuant to that Section of the Regulations.

4.2.6.Nonrecourse Deductions. Any Member Nonrecourse Deductions for any taxable year shall be specially allocated to the Interest Holder who bears the economic risk of loss with respect to the Member Nonrecourse Debt to which such Member Nonrecourse Deductions are attributable in accordance with Treas. Reg. § 1.704‑2(i)(1).

4.2.7.Member Loan Nonrecourse Deductions. Any Member Loan Nonrecourse Deduction for any taxable year or other period shall be specially allocated to the Interest Holder who bears the risk of loss with respect to the loan to which the Member Loan Nonrecourse Deduction is attributable in accordance with Treas. Reg. § 1.704‑2(b).

4.2.8.Withholding. All amounts required to be withheld pursuant to Code Section 1446 or any other provision of federal, state or local tax law shall be treated as amounts actually distributed to the affected Interest Holders for all purposes under this Agreement.

4.3.Liquidation and Dissolution.

4.3.1.If the Company is dissolved, the assets of the Company shall be distributed, subject to Section 18-804(a)(1) of the Act, to the Interest Holders in accordance with the balances in their respective Capital Accounts, after taking into account the allocations of Profit or Loss pursuant to Sections 4.1. and 4.4.2., if any.

4.3.2.No Interest Holder shall be obligated to restore a Negative Capital Account.

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4.3.3.Notwithstanding anything to the contrary, in the event the Company is “liquidated” within the meaning of Treas. Reg. § 1.704-1(b)(2)(ii)(g), liquidating distributions shall be made pursuant to this Section 4.3. by the end of the taxable year in which the Company is liquidated, or, if later, within ninety (90) days after the date of such liquidation. Distributions pursuant to the preceding sentence may be made to a trust for the purpose of an orderly liquidation of the Company by the trust in accordance with the Act.

4.4.General.

4.4.1.Except as otherwise provided in this Agreement, the timing and amount of all distributions shall be determined by the Members.

4.4.2.If any assets of the Company are distributed in kind to the Interest Holders, those assets shall be valued on the basis of their fair market value, and any Interest Holder entitled to any interest in those assets shall receive that interest as a tenant‑in‑common with all other Interest Holders so entitled. Unless the Members otherwise agree, the fair market value of such assets shall be determined by an independent appraiser selected by the Members. The Profit or Loss for each unsold asset shall be determined as if the asset had been sold at its fair market value, and the Profit or Loss shall be allocated as provided in Section 4.1. and shall be properly credited or charged to the Capital Accounts of the Interest Holders prior to the distribution of the assets in liquidation pursuant to Section 4.3.

4.4.3.All Profit and Loss shall be allocated, and all distributions shall be made, to the Persons shown on the records of the Company to have been Interest Holders as of the last day of the taxable year for which the allocation or distribution is to be made. Notwithstanding the foregoing, unless the Company’s taxable year is separated into segments, if there is a Transfer or an Involuntary Withdrawal during the taxable year, the Profit and Loss shall be allocated between the original Interest Holder and the successor on the basis of the number of days each was an Interest Holder during the taxable year; provided, however, the Company’s taxable year shall be segregated into two or more segments in order to account for Profit, Loss or proceeds attributable to any extraordinary non‑recurring items of the Company.

4.4.4.Restricted Distributions. Notwithstanding any provision to the contrary contained in this Agreement, the Company shall not be required to make a distribution to any Member on account of its interest in the Company if such distribution would violate Section 18-607 of the Act or other applicable law.

4.4.5.Title to Company Property. All property owned by the Company shall be owned by the Company as an entity and, insofar as permitted by applicable law, no Member shall have any ownership interest in any Company property in its individual name or right, and each Member’s interest in the Company shall be personal property for all purposes.

SECTION 5MANAGEMENT; RIGHTS, POWERS AND DUTIES; RESTRICTIONS ON POWERS

5.1.Management of the Company.

(i)In accordance with Section 18-402 of the Act, the management of the Company shall be vested in the Manager. Except where the consent or determination of the Members is expressly required by the terms of this Agreement, the decision by the Manager shall be final and shall control.

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(ii)The Manager shall have full, exclusive and complete discretion to manage the business and affairs of the Company, to make all decisions affecting the business and affairs of the Company and to take such actions as it deems necessary or appropriate to accomplish the purpose of the Company as set forth herein.

(iii)With respect to third parties, only the Manager may bind the Company. If a Member binds the Company, but did not have the authority to so act under this Agreement (including, by failing to obtain the necessary consents from other Members), in addition to any other remedy (at law or in equity) that may be available against such Member, such Member shall be liable for all damages caused by breaching this Agreement.

5.2.General Powers; Operations.

5.2.1.Powers of Manager. Except has provided herein, the Manager shall have full, exclusive and complete discretion, power and authority, subject in all cases to the limitations and other provisions of this Agreement and the requirements of applicable law, to manage, control, administer and operate the business and affairs of the Company for the purposes herein stated, and to make all decisions affecting such business and affairs, including without limitation, whether similar or dissimilar, for Company purposes, the power:

5.2.1.1to acquire by purchase, lease or otherwise, any real or personal property, tangible or intangible;

5.2.1.2to construct, operate, maintain, finance and improve, and to own, sell, convey, assign, mortgage or lease any real estate and any personal property;

5.2.1.3to sell, dispose, trade or exchange Company assets in the Ordinary Course of Business;

5.2.1.4to enter into agreements and contracts and to give receipts, releases and discharges;

5.2.1.5to purchase liability and other insurance to protect the Company’s properties and business;

5.2.1.6to borrow money for and on behalf of the Company;

5.2.1.7consent to any amendment, modification, supplement, cancellation or termination of any lease for real property;

5.2.1.8to execute any and all other instruments and documents which may be necessary or in the opinion of the Manager desirable to carry out the intent and purpose of this Agreement;

5.2.1.9to make any and all expenditures which the Manager, in its sole discretion, deems necessary or appropriate in connection with the management of the affairs of the Company and the carrying out of its obligations and responsibilities under this Agreement, including, without limitation, all legal, accounting and other related expenses incurred in connection with the organization and financing and operation of the Company; and

5.2.1.10to enter into any kind of activity necessary to, in connection with, or incidental to, the accomplishment of the purposes of the Company.

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5.3.Meetings of and Voting By Members.

5.3.1.A meeting of the Members may be called at any time by the Manager or by those Members holding at least fifty percent (50%) of the Percentages then held by Members. Meetings of Members shall be held (i) at the Company’s principal place of business, or (ii) at such place as the Members shall unanimously agree. Not less than ten (10) nor more than ninety (90) days before each meeting, the Person calling the meeting shall give written notice of the meeting to each Member entitled to vote at the meeting. The notice shall state the time, place and purpose of the meeting. Notwithstanding the foregoing provisions, each Member who is entitled to notice waives notice if before or after the meeting the Member signs a waiver of the notice which is filed with the records of Members’ meetings, or is present at the meeting in person or by proxy. Unless this Agreement provides otherwise, at a meeting of Members, the presence in person or by proxy of Members holding more than fifty percent (50%) of the Percentages then held by Members constitutes a quorum. A Member may vote either in person or by written proxy signed by the Member or by his duly authorized attorney in fact. Members may participate in any meeting by means of a conference telephone or similar communications equipment if all persons participating in the meeting can hear each other at the same time. Any action required or permitted to be taken at a meeting of Members may be taken without a meeting if there is filed with the records of Members’ meetings a unanimous written consent which sets forth the action and is signed by each Member entitled to vote on the matter.

5.3.2.Except as otherwise provided in this Agreement, wherever this Agreement requires the approval of the Members, the affirmative vote of Members holding more than fifty percent (50%) of the Percentages then held by Members shall be required to approve the matter. Except as otherwise provided in this Agreement, wherever the Act requires unanimous consent to approve or take any action, that consent shall be given in writing and, in all cases, shall mean, rather than the consent of all Members, the consent of Members holding more than fifty percent (50%) of the Percentages then held by Members. Where this Agreement requires unanimous consent to approve or take any action, then the affirmative approval of all Members shall be required for such approval or the taking of such action.

5.4.Limitations on Power of Manager.

5.4.1.Notwithstanding anything to the contrary contained in this Agreement, the Manager may not (i) file a bankruptcy or insolvency petition or otherwise institute or consent to insolvency proceedings with respect to itself or any other entity in which it has a direct or indirect legal or beneficial ownership interest without the unanimous consent of all Members of the Company, or (ii) if any Member is a real estate investment trust (“REIT”), take any action which is, or is likely to constitute, a violation of the laws, regulations and/or guidelines applicable to REITS or jeopardize the legal status of such Member as a REIT, without the consent of the applicable affected Member or Members.

5.5.Liability and Indemnification.

5.5.1.Neither the Members nor the Independent Director (as such term is defined below) shall not be liable, responsible or accountable, in damages or otherwise, to any Member or to the Company for any act performed by them within the scope of the authority conferred on them by this Agreement, except for willful fraud or an intentional breach of this Agreement.

5.5.2.To the fullest extent permitted by law, the Company shall indemnify any Member and/or the Independent Director for any act performed by them within the scope of the authority conferred on them by this Agreement, except for acts of willful fraud or an intentional breach of this Agreement.

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SECTION 6TRANSFER OF INTERESTS AND WITHDRAWALS OF MEMBERS

6.1.Restrictions on Transfers. Membership Rights may be Transferred, as defined below, in whole or in part only in accordance with other specific provisions of this Agreement and the following provisions:

6.1.1.For purposes of this Agreement, the term “Transfer” or “Transferred” shall mean the sale, hypothecation, assignment, transfer, pledge, encumbrance, or other disposition, by operation of law or otherwise, of Membership Rights.

6.1.2.Membership Rights shall not be Transferred without the following:

(1)The full compliance with the terms of this Section 6.1.;

(2)The consent of the Member(s) owning the remaining Membership Rights;

(3)An opinion of counsel, satisfactory to the Member(s) owning the remaining Membership Rights, that the Transfer of the Membership Rights does not violate the Securities Act of 1933 or any applicable state securities laws;

(4)The delivery by the Transferee to the Company of a written instrument agreeing to be bound by the terms of this Agreement and a counterpart signature page to this Agreement; and

(5)The delivery to the Company of (i) the Transferee’s taxpayer identification number and (ii) the Transferee’s initial tax basis in the Membership Rights.

6.1.3.Any Transfer of Membership Rights shall be effective only to give the person to whom Transferred (the “Transferee”) the right to receive the share of tax allocations and distributions to which the person transferring (the “Transferor”) would otherwise be entitled.

6.1.4.Except as otherwise provided herein, no Transferee of Membership Rights shall have the right to become a substituted Member unless the Member(s) owning the remaining Membership Rights, in the exercise of its or their sole and absolute discretion, expressly consents thereto in writing and the Transferee agrees to be bound by all the terms and conditions of this Agreement as then in effect. Unless and until a Transferee is admitted as a substituted Member, the Transferee shall have no right to exercise any of the powers, rights and privileges of a Member hereunder.

6.1.5.Each Member agrees not to Transfer all or any part of its Membership Rights (or take or omit any action, filing election, or other action which could result in a deemed Transfer) if such Transfer (either considered along or in the aggregate with prior Transfers by other Members) would result in the termination of the Company for federal income tax purposes without the consent of the other Members. In order to enable the Members to identify Transfers which could result in such a termination, each Member covenants and agrees to immediately inform the other Members of any proposed Transfers (or deemed Transfers for purposes of the Code).

6.1.6.Each Member agrees not to Transfer all or any part of its Membership Rights (or take or omit any action, filing election, or other action which could result in a deemed Transfer) if such Transfer (either considered alone or in the aggregate with prior Transfers by other Members) would result in Company being subject to the Investment Company Act as amended.

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6.1.7.Any Transfer not in accord with this Section 6 shall be void abinitio.

6.2.Right of First Refusal. In the event that a Member (the “Selling Member”) desires to Transfer to any third person all or a portion of its Membership Rights, the Selling Member may do so only subject to the restrictions on Transfer contained in Section 6.1. and in full and complete compliance with the procedures set forth in Section 6.1.2. and the procedures set forth below for each instance or Transfer.

6.2.1.The Selling Member shall give written notice (the “Sale Notice”) to each other Member (“Offeree(s)”) setting forth, in substance, the following:

(1)That the Selling Member has given to, or received from, a third party (the “Offeror”) a good faith written offer (the “Offer”) to Transfer all or a part of its Membership Rights (the “Offered Interest”); and

(2)That the Selling Member thereby offers to Transfer the Offered Interest to the Offeree(s), prorata according to its or their respective Percentages, at a price and upon such terms and conditions as are set forth in the Offer, a true copy of which shall be attached to the Sale Notice.

6.2.2.Within thirty (30) days after receipt of the Sale Notice (the “Transfer Offering Period”), the Offeree(s) may, at its or their option, elect to purchase all (but not less than all) of the Offered Interest by giving written notice of the intention to do so to the Selling Member. Any Offeree may assign its purchase rights hereunder to any Member owning Membership Rights. Closing of the purchase of the Offered Interests shall occur as set forth in Section 6.3.

6.2.3.In the event that no Offeree(s) agrees to purchase all of the Offered Interests in accordance with subparagraph (2) of this Section 6.2.2, the Selling Member shall provide notice of such event to the Company. The Company shall then have the amount of time set forth in the Transfer Offering Period to determine, based on the approval of the Members other than the Selling Member, whether it shall elect to purchase all (but not less than all) of the Offered Interests, by giving written notice of its intention to do so to the Selling Member. The Company may assign its purchase rights hereunder to any Member or other Person. Closing of the purchase of the Offered Interests shall occur as set forth in Section 6.3. Failure of the Company or its assignee to notify the Selling Member of its acceptance within the relevant Transfer Offering Period shall be deemed to be its refusal to acquire the Offered Interests.

6.2.4.In the event that an Offer made pursuant to Section 6.2.1., 6.2.2. or 6.2.3. is rejected, whether by expiration of the Transfer Offering Period or otherwise, and the Selling Member has complied with the requirements of Section 6.1. and Section 6.2., the Selling Member shall be permitted to Transfer the Offered Interests to the Offeror upon the terms and conditions as stated in the Offer; provided, however, that such Transfer may not be effected until the Offeror has executed and adopted this Agreement or a counterpart thereof. Closing of the purchase of the Offered Interest shall occur as set forth in Section 6.3. Transfer pursuant to the Offer must be made within sixty (60) days following the expiration of the relevant Transfer Offering Period and, if the Transfer is not made within such time period, the Offered Interests shall again become subject to the restrictions of this Agreement.

6.3.Closing of a Transfer. Closing for the Transfer of Membership Rights pursuant to Section 6.2. shall occur within sixty (60) days following expiration of any relevant Transfer Offering Period and shall take place at the office of the Company at 10:00 a.m. on the date so specified in the written notice, or at such other time and place as shall be mutually agreeable. At such closing, the seller must Transfer and deliver the Membership Rights to the buyer and the buyer shall pay the agreed consideration to the seller. The seller shall also deliver to the buyer

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an instrument executed by the seller, warranting that the Membership Rights are free and clear of all liens, claims, and encumbrances of every kind. The seller shall also agree therein to indemnify the buyer against and to hold it harmless from any loss, cost or damage which it may incur by reason of the breach of such warranty. Further, in the event that the seller shall fail to appear at the closing or shall fail to deliver the certificate or certificates representing the Membership Rights when required to do so, or shall otherwise fail to comply with its obligations under this Agreement, the buyer may thereupon place cash or immediately and available funds equal to the purchase price in escrow for the seller, whereupon the Company shall be privileged to cancel the seller’s Membership Rights and to treat the Membership Rights as having been purchased by the buyer. Such purchase price shall be released from escrow only upon surrender by the seller of such certificate or certificates, properly endorsed for Transfer, or proof of destruction or loss thereof satisfactory to the Company.

6.4.Effective Date of Sale. Any valid assignment of a Member’s Interest and/or Membership Rights in the Company, or part thereof, pursuant to the provisions of Section 6.1. hereof shall be effective as of the close of business on the last day of the calendar month in which the conditions thereto shall have been satisfied. The Company shall, from the effective date of such assignment, thereafter pay all further distributions on account of the Interest (or part thereof) so assigned, to the assignee of such Interest, or part thereof. As between any Member and its assignee, Profits and Losses for the fiscal year of the Company in which such assignment occurs shall be apportioned for federal income tax purposes in accordance with any convention permitted under §706(d) of the Code and selected by the Members.

6.5.Transfers to Permitted Transferees. Subject to the terms contained in Section 6.1.3. and Section 6.1.5., any Member may, at any time and from time to time, upon satisfaction of the conditions set forth in this Section 6.5., Transfer to a Permitted Transferee, all, or any portion of, or any interest or rights in, the Membership Rights owned by the Member. Any such assignee shall not become a Member without having first executed an instrument reasonably satisfactory to the other Members accepting and agreeing to the terms and conditions of this Agreement, including a counterpart of this Agreement, and without having paid to the Company a fee sufficient to cover all reasonable expenses of the Company in connection with such assignee’s admission as a Member. If a Member assigns all of its Membership Rights to a Permitted Transferee, and the assignee of such Membership Rights is entitled to become a Member pursuant to this Section 6.5., such assignee shall be admitted to the Company effective immediately prior to the effective date of the assignment, and, immediately following such admission, the assigning Member shall cease to be a Member of the Company. In such event, the Company shall not dissolve if the business of the Company is continued without dissolution in accordance with Section 7.4. hereof.

6.6.Voluntary Withdrawal. No Member shall have the right or power to Voluntarily Withdraw from the Company.

6.7.Involuntary Withdrawal. Immediately upon the occurrence of an Involuntary Withdrawal, the successor of the withdrawn Member shall thereupon become an Interest Holder but shall not become a Member without the unanimous consent of the remaining Members. If the Company is continued as provided in Section 7.1.3., the successor Interest Holder shall have all the rights of an Interest Holder but shall not be entitled to receive in liquidation of the Interest the fair market value of the Member’s Interest as of the date the Member involuntarily withdrew from the Company.

SECTION 7DISSOLUTION, LIQUIDATION, CONSOLIDATION, MERGER AND SALE OF ASSETS

7.1.Events of Dissolution. The Company may be dissolved and its affairs wound up upon:

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7.1.1.the unanimous written agreement of all of the Members;

7.1.2.the entry of a decree of judicial dissolution under Section 18-802 of the Act; or

7.1.3. the occurrence of an Involuntary Withdrawal of a Member, unless within 90 days after the occurrence of the event, all of the remaining Members of the Company agree in writing to the continuation of the Company and to the appointment, if necessary or desired, effective as of the date of the occurrence of the event, of one or more additional Members of the Company; provided, however, that the bankruptcy, death, dissolution, liquidation, termination or adjudication of incompetency of a Member shall not cause the termination or dissolution of the Company and the business of the Company shall continue. Upon any such occurrence, the trustee, receiver, executor, administrator, committee, guardian or conservator of such Member shall have all the rights of such Member for the purpose of settling or managing its estate or property, subject to satisfying conditions precedent to the admission of such assignee as a substitute Member. The Transfer by such trustee, receiver, executor, administrator, committee, guardian or conservator of any Company interest shall be subject to all of the restrictions hereunder to which such Transfer would have been subject if such Transfer had been made by such bankrupt, deceased, dissolved, liquidated, terminated or incompetent Member.

7.2.Procedure for Winding Up and Dissolution. If the Company is dissolved, the Manager shall wind up its affairs. On winding up of the Company, the assets of the Company shall be distributed, first, to creditors of the Company, including Interest Holders who are creditors, in satisfaction of the liabilities of the Company (whether by payment or the making of reasonable provision for the payment thereof), and then to the Interest Holders in accordance with Section 4.3.

7.3.Filing of Certificate of Cancellation. If the Company is dissolved and the winding up of the Company has been completed, the remaining Members shall promptly file the certificate of cancellation, as required by Section 18-203 of the Act. If there are no remaining Members, the certificate of cancellation shall be filed by the liquidating trustee of the Company or the last Person to be a Member; if there are no remaining Members nor any Person who is a liquidating trustee of the Company or who last was a Member, the certificate of cancellation shall be filed by the legal or personal representatives of the Person who last was a Member.

7.4.Continuation of Business. Except as provided in Section 7.1.3. and to the fullest extent permitted by law, the Company shall not be dissolved and its affairs shall not be wound up upon the occurrence of an event that causes a Member to cease to be a member of the Company, and upon the occurrence of such an event, the business of the Company shall be continued without dissolution.

SECTION 8BOOKS, RECORDS, ACCOUNTING AND TAX ELECTIONS

8.1.Accounts. The funds of the Company may be deposited in such types of accounts maintained in the Company’s name as the Managing Member may determine. The Managing Member shall determine the institution or institutions at which the accounts will be maintained, the types of accounts, and the Persons who will have authority with respect to the accounts and the funds therein.

8.2.Books and Records.

8.2.1.The Manager shall keep, or cause to be kept, complete and accurate books and records of the Company and supporting documentation of the transactions with respect to the conduct of the Company’s business. The records shall include, but not be limited to, complete and accurate information regarding the state of the business and financial condition of the Company, a copy of the Certificate of Formation and this Agreement

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and all amendments to the Certificate of Formation and this Agreement; a current list of the names and last known business, residence, or mailing addresses of all Members; and the Company’s federal, state or local tax returns.

8.2.2.The books and records shall be maintained in accordance with sound accounting principles and practices and shall be available at the Company’s principal office for examination by any Member or the Member’s duly authorized representative at any and all reasonable times during normal business hours for any purpose reasonably related to the Member’s interest in the Company.

8.2.3.Each Member shall reimburse the Company for all costs and expenses incurred by the Company in connection with the Member’s inspection and copying of the Company’s books and records.

8.3.Annual Accounting Period. The annual accounting period of the Company shall be its taxable year. The Company’s taxable year shall be selected by the Manager, subject to the requirements and limitations of the Code.

8.4.Reports. Within ninety (90) days after the end of each taxable year of the Company, the Managing Member shall cause to be sent to each Person who was a Member at any time during the accounting year then ended if requested in writing prior to the end of such taxable year by such Person: (i) an annual compilation report, prepared by the Company’s independent accountants in accordance with standards issued by the American Institute of Certified Public Accountants; and (ii) a report summarizing the fees and other remuneration, if any, paid by the Company to any Member or any Affiliate in respect of the taxable year. In addition, within seventy‑five (75) days after the end of each taxable year of the Company, the Managing Member shall cause to be sent to each Person who was an Interest Holder at any time during the taxable year then ended, that tax information concerning the Company which is necessary for preparing the Interest Holder’s income tax returns for that year.

8.5.Tax Matters Partner. The Managing Member shall be the Company’s tax matters partner (“Tax Matters Partner”). The Tax Matters Partner shall have all powers and responsibilities provided in Code Section 6221, et seq. The Tax Matters Partner shall keep all Members informed of all notices from government taxing authorities which may come to the attention of the Tax Matters Partner. The Company shall pay and be responsible for all reasonable costs and expenses incurred by the Tax Matters Partner in performing those duties. A Member shall be responsible for any costs incurred by such Member with respect to any tax audit or tax‑related administrative or judicial proceeding against such Member, even though the proceeding relates to the Company. The Tax Matters Partner may not compromise any dispute with the Internal Revenue Service without the approval of the Members.

8.6.Tax Elections. The Members shall have the authority to make all elections permitted under the Code, including, without limitation, elections of methods of depreciation and elections under Code Section 754. The decision to make or not make an election shall be in the sole and absolute discretion of the Members.

SECTION 9GENERAL PROVISIONS

9.1.Assurances. Each Member shall execute all such certificates and other documents and shall do all such filing, recording, publishing and other acts as appropriate to comply with the requirements of law for the formation and operation of the Company and to comply with any laws, rules and regulations relating to the acquisition, operation or holding of the property of the Company.

9.2.Notifications. Any notice, demand, consent, election, offer, approval, request or other communication (collectively a “notice”) required or permitted under this Agreement must be in writing and

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delivered personally, sent by reputable courier or sent by certified or registered mail, postage prepaid, return receipt requested. Any notice to be given hereunder by the Company may be given by the Manager. A notice must be addressed to a Member at the Member’s last known address on the records of the Company. A notice to the Company must be addressed to the Company’s principal office. A notice delivered personally or by courier will be deemed given only when receipt is acknowledged in writing by the Person to whom it is delivered. A notice that is sent by mail will be deemed given three (3) business days after it is mailed. Any party may designate, by notice to all of the others, substitute addresses or addressees for notices; and, thereafter, notices are to be directed to those substitute addresses or addressees.

9.3.Specific Performance. The parties recognize that irreparable injury will result from a breach of any provision of this Agreement, and money damages will be inadequate to fully remedy the injury. Accordingly, in the event of a breach or threatened breach of one or more of the provisions of this Agreement, any party who may be injured (in addition to any other remedies which may be available to that party) shall be entitled to one or more preliminary or permanent orders (i) restraining and enjoining any act which would constitute a breach or (ii) compelling the performance of any obligation which, if not performed, would constitute a breach.

9.4.Complete Agreement. This Agreement constitutes the complete and exclusive statement of the agreement among the Members. It supersedes all prior written and oral statements, including any prior representation, statement, condition or warranty. Except as expressly provided otherwise herein, this Agreement may not be amended without the written consent of all of the Members. Notwithstanding the foregoing sentence, except for Section 9.15.2, the consent of the Independent Director shall not be required to amend this Agreement.

9.5.Applicable Law. All questions concerning the construction, validity and interpretation of this Agreement and the performance of the obligations imposed by this Agreement shall be governed by the internal law, not the law of conflicts, of the State of Delaware, all rights and remedies being governed by said law.

9.6.Section Titles. The headings herein are inserted only as a matter of convenience only, and do not define, limit or describe the scope of this Agreement or the intent of the provisions hereof.

9.7.Binding Provisions. This Agreement is binding upon, and inures to the benefit of, the parties hereto and their respective heirs, executors, administrators, personal and legal representatives, successors and permitted assigns.

9.8.Arbitration, Jurisdiction and Venue. Any dispute involving the interpretation or application of any provision of this Agreement or any matter relating to the operation of the Company shall be submitted to binding arbitration in New York, New York or Wilmington, Delaware, in accordance with the rules of the American Arbitration Association to the extent not inconsistent with the Delaware Uniform Arbitration Act, 10 Del. Co., § 5701, etseq. Any action to compel arbitration or enforce an arbitration award may be brought in the United States District Court for the District of Delaware or any Delaware State Court having jurisdiction over the subject matter of the dispute or matter. All Members hereby consent to the exercise of personal jurisdiction by any such court with respect to any such proceeding.

9.9.Terms. Common nouns and pronouns shall be deemed to refer to the masculine, feminine, neuter, singular and plural, as the identity of the Person may in the context require.

9.10.Separability of Provisions. Each provision of this Agreement shall be considered separable; and if, for any reason, any provision or provisions herein are determined to be invalid and contrary to any existing or future law, such invalidity shall not impair the operation of or affect those portions of this Agreement which are valid.

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9.11.Counterparts. This Agreement may be executed simultaneously in two or more counterparts each of which shall be deemed an original, and all of which, when taken together, constitute one and the same document. The signature of any party to any counterpart shall be deemed a signature to, and may be appended to, any other counterpart.

9.12.Estoppel Certificate. Each Member shall, within ten (10) days after written request by any Member or the Manager, deliver to the requesting Person a certificate stating, to the Member’s knowledge: (a) that this Agreement is in full force and effect; (b) that this Agreement has not been modified except by any instrument or instruments identified in the certificate; and (c) there is no default hereunder by the requesting Person, or if there is a default, the nature and extent thereof.

9.13.Indemnity. Each Member (the “Indemnitor”) agrees to indemnify and hold harmless the other Members and their Affiliates from and against: (a) any and all liabilities, losses, damages, costs and expenses (including reasonable attorneys’ fees and expenses), suits, claims or judgments (collectively, “Liabilities”) arising out of any act or omission of the Indemnitor with respect to the Property or any breach by the Indemnitor of any representation, warranty, covenant or agreement contained herein and (b) any and all Liabilities not generally indemnified against in clause (a) of this Section 9.13. relating to the Property or any lease, mortgage, assignment or other document entered into with respect thereto imposed upon any Member and their Affiliates in excess of any amount equal to such Member’s Percentage of such Liabilities.

9.14.Effective Date of Agreement. This Agreement shall be effective as of the date hereof in accordance with Section 18-201(d) of the Act.

9.15.Single Purpose Entity Covenants. Notwithstanding anything to the contrary contained herein, for so long as that certain loan (the “Loan”) made by AMERICAN NATIONAL INSURANCE COMPANY, a Texas insurance company, (together with its successors and assigns, “Lender”) to the Company remains outstanding, in the event of any conflict or inconsistency between the provisions contained in this Section 9.15 and the other provisions of this Operating Agreement, the provisions contained in this Section 9.15 shall control and govern. All capitalized terms not defined herein shall have the respective meanings set forth in that certain Deed of Trust, Security Agreement and Financing Statement by and between the Company and Lender (as the same may be amended, restated, replaced, supplemented or otherwise modified from time to time, the “Security Instrument”).

9.15.1.The Company:

(a)    shall not engage in any business or activity, other than the ownership, operation and maintenance of the Property and activities incidental thereto;

(b)    shall not acquire or own any assets other than fee or leasehold interests, as applicable, in any of the Property as may be necessary for the operation of the Mortgaged Property and shall conduct and operate its business as presently conducted and operated;

(c)    shall preserve its existence and remain in good standing under the laws of jurisdiction in which it is organized;

(d)    shall not merge or consolidate with any other natural person or entity;

(e)    except as a result of Permitted Transfers, shall not take any action to dissolve, wind-up, terminate or liquidate in whole or in part; to sell, transfer or otherwise dispose of all or substantially all of its assets; to change its legal structure; or except for Permitted Transfers, transfer or permit the direct or indirect

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transfer of any partnership, membership or other equity interests, as applicable; or issue additional partnership, membership or other equity interests, as applicable; or seek to accomplish any of the foregoing;

(f)    shall not: (i) file or consent to the filing of any petition, either voluntary or involuntary, to take advantage of any applicable insolvency, bankruptcy, liquidation or reorganization statute; (ii) seek or consent to the appointment of a receiver, liquidator or any similar official; or (iii) make an assignment for the benefit of creditors or take any action in furtherance of the foregoing;

(g)    shall not amend or restate its organizational or governing documents if such change would modify the requirements set forth in this Section 9.15;

(h)    shall do all things necessary to observe organizational formalities and will not take any actions in violation of or inconsistent with the terms and provisions of this Operating Agreement or other applicable organizational documents;

(i)    shall not own any subsidiary or make any investment in, any other Person;

(j)    shall not commingle its assets with the assets of any other Person and shall hold all of its assets in its own name;

(k)    shall not incur any debt, secured or unsecured, direct or contingent (including, without limitation, guaranteeing any obligation), other than the Indebtedness and customary unsecured trade payables incurred in the ordinary course of owning and operating the Property;

(l)    shall maintain its records, books of account, bank accounts, financial statements, accounting records and other entity documents separate and apart from those of any other Person;

(m)    shall only enter into any contract or agreement with any general partner, member, shareholder, principal or affiliate of Grantor or any guarantor, or any general partner, member, principal or affiliate thereof, upon terms and conditions that are intrinsically fair, are in writing and substantially similar to those that would be available on an arm’s-length basis with third parties;

(n)    shall not maintain its assets in such a manner that it will be costly or difficult to segregate, ascertain or identify its individual assets from those of any other Person;

(o)    shall not assume or guaranty the debts of any other Person, hold itself out to be responsible for the debts of another Person, or otherwise pledge its assets for the benefit of any other Person or hold out its credit as being available to satisfy the obligations of any other Person;

(p)    shall not make any loans or advances to any other Person and shall not acquire obligations or securities of its affiliates;

(q)    shall file its own tax returns separate from those of any other Person, except to the extent that Grantor is treated as a “disregarded entity” or investment trust for tax purposes and is not required to file tax returns under applicable law, and pay any taxes required to be paid under applicable law;

(r)    shall hold itself out to the public as a legal entity separate and distinct from any other Person and conduct its business solely in its own name, shall correct any known misunderstanding regarding its separate identity and shall not identify itself or any of its affiliates as a division or part of the other;

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(s)    shall allocate fairly and reasonably shared expenses (including, without limitation, shared office space) and use separate stationery, invoices and checks;

(t)    shall pay its own liabilities (including, without limitation, salaries of its own employees) from its own funds; and

(u)    shall not acquire obligations or securities of its partners, members or shareholders, as applicable.

9.15.2.At all times at which the directors of the Company shall take, or shall be required to take, any action in such capacity and until such time as all obligations secured the Security Instrument have been paid in full, there shall be at least one (1) Independent Director.

9.15.2.1An “Independent Director” shall be means a director who is not at the time of initial appointment and has not been at any time during the preceding five (5) years: (a) a stockholder, director, officer, employee, member, partner, investment adviser or manager of (i) the Company, (ii) any constituent owner of the Company or (iii) a constituent owner or other affiliate of Company or any constituent owner; (b) a customer, supplier or other person who derives more than 2% of its purchases or revenues from its activities with the Company or any affiliate of either of them; (c) a person or other entity which has Control or is under common Control with any such stockholder, director, officer, employee, member, partner, investment adviser, manager of the Company or any constituent owner; (d) an attorney or counsel to such person or entity mentioned in (a) above or (e) a member of the immediate family of any to such person or entity mentioned in this subparagraph. (As used herein, the term "Control" means the possession, directly or indirectly, of the power to direct or cause the direction of management, policies or activities of a person or entity, whether through ownership of voting securities, by contract or otherwise.)

9.15.2.2With the consent of the initial members of the Company, which consent the initial members believe to be in the best interest of the initial members and the Company, no Independent Director shall, with regard to any action to be taken under or in connection with this Section, owe a fiduciary duty or other obligation to the initial members nor to any successor member (except as may specifically be required by the statutory law of any applicable jurisdiction), and every member, including each successor member, shall consent to the foregoing by virtue of such member’s purchase of an interest in the Company, no further act or deed of any member being required to evidence such consent. Instead, such director’s fiduciary duty and other obligations with regard to such action under or in connection with this Section shall be owed to the Company (including its creditors). In addition, no Independent Director may be removed unless his or her successor has been elected.

9.15.2.3Notwithstanding any other provision of this Agreement and any provision of law that otherwise empowers the Company and so long as any obligations secured by a Security Instrument remain outstanding and not discharged in full, the Company shall not, without the consent of the Independent Director, do any of the following:

9.15.2.3.1engage in, seek, consent to or permit (A) any dissolution, winding up, liquidation, consolidation or merger, or (B) any sale or other transfer of all or substantially all of its assets or any sale of assets outside the ordinary course of its business, except as permitted by the Loan Documents;

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9.15.2.3.2(A) file or consent to the filing of any bankruptcy, insolvency or reorganization case or proceeding, institute any proceedings under any applicable insolvency law or otherwise seek relief under any laws relating to the relief from debts or the protection of debtors generally, file a bankruptcy or insolvency petition or otherwise institute insolvency proceedings; (B) seek or consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator, custodian or any similar official for the entity or a substantial portion of its property; (C) make an assignment for the benefit of the creditors of the entity; or (D) take any action in furtherance of any of the foregoing;

9.15.3.Notwithstanding any provision hereof to the contrary, any indemnification claim against the Company arising under this Agreement or the laws of the state of organization of the Company shall be fully subordinate to any obligations of the Company arising under the Security Instrument or any other Loan Documents (as defined therein), and shall only constitute a claim against the Company to the extent of, and shall be paid by the Company in monthly installments only from, the excess of net operating income of the Company for any month over all amounts then due under the Security Instrument and the other Loan Documents.

Remainder of page left blank intentionally

22

IN WITNESS WHEREOF, the parties have executed, or caused this Agreement to be executed, under seal, as of the date set forth hereinabove.

MEMBERS:

CPA: 17 LIMITED PARTNERSHIP, a Delaware limited partnership, its member
By:	CORPORATE PROPERTY ASSOCIATES 17 – GLOBAL INCORPORATED, a Maryland corporation, its general partner
	By:	/s/ Chad Edmonson
	Name: Chad Edmonson
	Title: Executive Director
	Address:
	c/o W.P. Carey Inc.
	50 Rockefeller Plaza
	New York, New York 10020

CPA: 18 LIMITED PARTNERSHIP, a Delaware limited partnership, its member
By:	CORPORATE PROPERTY ASSOCIATES 18 – GLOBAL INCORPORATED, a Maryland corporation, its general partner
	By:	/s/ Chad Edmonson
	Name: Chad Edmonson
	Title: Executive Director
	Address:
	c/o W.P. Carey Inc.
	50 Rockefeller Plaza
	New York, New York 10020

INDEPENDENT DIRECTOR:

/s/ Julia A. McCullough    

Name: Julia A. McCullough

EXHIBIT A

TO

LIMITED LIABILITY COMPANY OPERATING AGREEMENT

List of Members; Capital; and Percentages

Name, Address and Taxpayer	Cash Capital
I.D. Number of Member	Contribution	Percentages
CPA:17 Limited Partnership c/o W. P. Carey Inc. 50 Rockefeller Plaza, 2nd Floor New York, New York 10020 Taxpayer ID # 26-1557565	$18,600,000	50%
CPA:18 Limited Partnership c/o W. P. Carey Inc. 50 Rockefeller Plaza, 2nd Floor New York, New York 10020 Taxpayer ID # 26-1557565	$18,600,000	50%

EXHIBIT B

TO

AMENDED AND RESTATED LIMITED LIABILITY COMPANY OPERATING AGREEMENT

Copy of Certificate of Formation

EX-31.1

Exhibit 31.2

Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Catherine D. Rice, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Corporate Property Associates 18 – Global Incorporated;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an Annual Report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 8, 2013

/s/ Catherine D. Rice    

Catherine D. Rice

Chief Financial Officer

EX-31.2

Exhibit 31.1

Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Trevor P. Bond, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Corporate Property Associates 18 – Global Incorporated;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an Annual Report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 8, 2013

/s/ Trevor P. Bond    

Trevor P. Bond

Chief Executive Officer

EX-32.1

Exhibit 32

Certifications Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of Corporate Property Associates 18 – Global Incorporated on Form 10-Q for the period ended September 30, 2013 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), each of the undersigned officers of Corporate Property Associates 18 – Global Incorporated, does hereby certify, to the best of such officer’s knowledge and belief, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of Corporate Property Associates 18 – Global Incorporated.

Date: November 8, 2013

/s/ Trevor P. Bond    

Trevor P. Bond

Chief Executive Officer

Date: November 8, 2013

/s/ Catherine D. Rice    

Catherine D. Rice

Chief Financial Officer

The certification set forth above is being furnished as an exhibit solely pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and is not being filed as part of the Report as a separate disclosure document of Corporate Property Associates 18 – Global Incorporated or the certifying officers.

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to Corporate Property Associates 18 – Global Incorporated and will be retained by Corporate Property Associates 18 – Global Incorporated and furnished to the Securities and Exchange Commission or its staff upon request.

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Basis of Presentation (Policies)

9 Months Ended

Sep. 30, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation, Policy

Basis of Presentation

Our interim consolidated financial statements have been prepared, without audit, in accordance with the instructions to Form 10-Q and therefore do not necessarily include all information and footnotes necessary for a fair statement of our consolidated financial position, results of operations and cash flows in accordance with accounting principles generally accepted in the U.S. (“GAAP”).

In the opinion of management, the unaudited consolidated financial information for the interim periods presented in this Report reflects all normal and recurring adjustments necessary for a fair statement of results of operations, financial position and cash flows. Operating results for interim periods are not necessarily indicative of operating results for an entire fiscal year.

We had no operating activity prior to April 8, 2013 and acquired our first investment on August 20, 2013.

Basis of Consolidation, Policy

Basis of Consolidation

Our consolidated financial statements reflect all of our accounts, including those of our controlled subsidiaries. The portion of equity in a consolidated subsidiary that is not attributable, directly or indirectly, to us is presented as noncontrolling interests. All significant intercompany accounts and transactions have been eliminated.

When we obtain an economic interest in an entity, we evaluate the entity to determine if it is a variable interest entity (“VIE”) or voting interest entity (“VOE”) and, if so, whether we are the primary beneficiary and are therefore required to consolidate the entity. We performed an analysis of all of our subsidiary entities to determine whether they qualify as VIEs and whether they should be consolidated or accounted for as equity investments in an unconsolidated venture.

Based on our evaluation, we determined that our Operating Partnership was not a VIE but should be consolidated as we control all decisions regarding our Operating Partnership. We account for the 0.015% interest held by CPA^®:18 Holdings in the Operating Partnership as a noncontrolling interest. On August 20, 2013, we entered into a jointly-owned investment with our affiliate, CPA^®:17 – Global (Note 4). We have concluded that this subsidiary is a VOE and will be consolidated by us as we are the managing member and the non-managing member does not have substantive participating or “kick-out” rights.

Purchase Price Allocation, Policy

Purchase Price Allocation

When we acquire properties with leases classified as operating leases, we allocate the purchase price to the tangible and intangible assets and liabilities acquired based on their estimated fair values. We determine the value of the tangible assets, consisting of land and buildings, as if vacant, and record intangible assets, including the above-market and below-market value of leases (where applicable), and the value of in-place leases, at their estimated fair values. Land is typically valued utilizing the sales comparison (or market approach). Buildings, as if vacant, are valued using the cost and/or income approach. Site improvements are valued using the cost approach. The fair value of real estate is determined by reference to portfolio appraisals which determines their values, on a property level, by applying a discounted cash flow analysis to the estimated net operating income for each property in the portfolio during the remaining anticipated lease term, and the estimated residual value of each property from a hypothetical sale of the property upon expiration after considering the re-tenanting of such property at estimated then current market rental rate, at a selected capitalization rate and deducting estimated costs of sale. The proceeds from a hypothetical sale are derived by capitalizing the estimated net operating income of each property for the year following lease expiration at an estimated residual capitalization rate. The discount rates and residual capitalization rates used to value the properties are selected based on several factors, including the credit worthiness of the lessees, industry surveys, property type, location and age, current lease rates relative to market lease rates and anticipated lease duration. In the case where a tenant has a purchase option deemed to be materially favorable to the tenant, or the tenant has long-term renewal options at rental rates below estimated market rental rates, the appraisal assumes the exercise of such purchase option or long-term renewal options in its determination of residual value. Where a property is deemed to have excess land, the discounted cash flow analysis includes the estimated excess land value at the assumed expiration of the lease, based upon an analysis of comparable land sales or listings in the general market area of the property growing at estimated market growth rates through the year of lease expiration. For those properties that are under contract for sale, the appraised value of the portfolio reflects the current contractual sale price of such properties. See Revenue Recognition and Depreciation below for a discussion of our significant accounting policies related to tangible assets. We include the value of below-market leases in Prepaid and deferred rental income in the consolidated balance sheets.

We record above-market and below-market lease values for owned properties, where applicable, based on the present value (using a discount rate reflecting the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the leases negotiated and in place at the time of acquisition of the properties and (ii) our estimate of fair market lease rates for the property or equivalent property, both of which are measured over a period equal to the estimated lease term, which includes renewal options with rental rates below estimated market rental rates. We amortize the capitalized above-market lease value, where applicable, as a reduction of rental income over the estimated market lease term. We amortize the capitalized below-market lease value as an increase to rental income over the estimated lease term and any fixed-rate renewal periods in the respective leases.

The value of any in-place lease is estimated to be equal to the property owner’s avoidance of costs necessary to lease the property for a term equal to the remaining primary in-place lease term and the value of investment grade tenancy. The cost avoidance to the property owners of vacancy and leasing costs necessary to lease the property for a lease term equal to the remaining in-place lease term is derived first by determining the in-place lease term on the subject lease. Then, based on our review of the market, the cost to be borne by a property owner to replicate a market lease to the remaining in-place term was estimated. These costs consist of: (i) rent lost during downtime (i.e. assumed periods of vacancy); (ii) estimated expenses that would be incurred by the property owner during periods of vacancy; (iii) rent concessions (i.e. free rent); (iv) leasing commissions; and (v) tenant improvement allowances. We determine these values using our estimates or by relying in part upon third-party appraisals. We amortize the capitalized value of in-place lease intangibles to expense over the remaining initial term of each lease. No amortization period for intangibles will exceed the remaining depreciable life of the building.

Cash and Cash Equivalents, Policy

Cash and Cash Equivalents

We consider all short-term, highly-liquid investments that are both readily convertible to cash and have a maturity of generally three months or less at the time of purchase to be cash equivalents, where applicable. Items classified as cash equivalents include commercial paper and money-market funds, where applicable. Our cash and cash equivalents are held in the custody of one financial institution. These balances, at times, may exceed federally-insurable limits. We will seek to mitigate this risk by depositing funds only with major financial institutions.

Revenue Recognition, Policy

Revenue Recognition

We lease real estate to others on a triple-net leased basis whereby the tenant is generally responsible for all operating expenses relating to the property, including property taxes, insurance, maintenance, repairs, renewals and improvements. We charge expenditures for maintenance and repairs, including routine betterments, to operations as incurred. We capitalize any significant renovations that increase the useful life of the properties.

Our lease provides for scheduled rent increases each year. For operating leases, we record real estate at cost less accumulated depreciation; we recognize future minimum rental revenue on a straight-line basis over the non-cancelable lease term of the related lease and charge expenses to operations as incurred.

Depreciation, Policy

Depreciation

We compute depreciation of the building and its related improvements using the straight-line method over the estimated remaining useful life of the property or improvements, which is 40 years and ten years, respectively.

Fair Value of Financial Instruments, Policy

Fair Value Measurements

The fair value of an asset is defined as the exit price, which is the amount that would either be received when an asset is sold or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The guidance establishes a three-tier fair value hierarchy based on the inputs used in measuring fair value. These tiers are: Level 1, for which quoted market prices for identical instruments are available in active markets, such as money market funds, equity securities and U.S. Treasury securities; Level 2, for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument, such as certain derivative instruments including an interest rate cap and swaps; and Level 3, for securities and other derivative assets that do not fall into Level 1 or Level 2 and for which little or no market data exists, therefore requiring us to develop our own assumptions. Our debt and deferred acquisition fees payable, which we have classified as Level 3, had carrying values that approximated their fair values

Income Taxes, Policy

Income Taxes

We intend to qualify as a REIT under Sections 856 through 860 of the Code beginning with our taxable year ending December 31, 2013. In order to maintain our qualification as a REIT, we will be required to, among other things, distribute at least 90.0% of our REIT taxable income to our stockholders and meet certain tests regarding the nature of our income and assets. Under the Code, REITs are subject to numerous organizational and operational requirements including limitations on certain types of gross income. As a REIT, we generally will not be subject to U.S. federal income tax on income that we distribute to stockholders. If we fail to qualify for taxation as a REIT for any taxable year, our income will be taxed at regular corporate rates, and we may not be able to qualify for treatment as a REIT for that year and the next four years. Even if we qualify as a REIT for U.S. federal income tax purposes, we may be subject to federal, state, local, and foreign taxes on our income and property and to income and excise taxes on our U.S. undistributed income.

In the future, we may elect to treat one or more of our corporate subsidiaries as a taxable REIT subsidiary (“TRS”). In general, a TRS may perform additional services for our tenants and generally may engage in any real estate or non-real estate related business (except for the operation or management of health care facilities or lodging facilities or providing to any person, under a franchise, license or otherwise, rights to any brand name under which any lodging facility or health care facility is operated). A TRS is subject to corporate federal income tax.

Organization and Offering Cost, Policy

Organization and Offering Costs

The advisor has paid various organization and offering costs on our behalf, all of which we are liable for under the advisory agreement (see Note 3). During the offering period, costs incurred in connection with the raising of capital will be accrued as deferred offering costs. Upon receipt of offering proceeds, we will charge the deferred costs to stockholders’ equity and will reimburse the advisor for costs incurred. Such reimbursements will not exceed regulatory cost limitations. Organization costs were expensed as incurred and are included in general and administrative expenses in the consolidated financial statements.

Use of Estimates

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in our consolidated financial statements and the accompanying notes. Actual results could differ from those estimates.

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Consolidated Statement of Operations (Unaudited) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013		Sep. 30, 2013
Revenues
Rental Income	$ 947,440		$ 947,440
Operating Expenses
Depreciation and amortization	377,722		377,722
General and adminstrative	194,208		259,449
Property expenses	31,916		31,916
Operating Expenses	603,846		669,087
Other Income and Expenses
Interest expense	(415,994)		(415,994)
Other income and (expenses)	508		508
Other Income and Expenses	(415,486)		(415,486)
Net Loss	(71,892)		(137,133)
Net income attributable to noncontrolling interest	66,417		66,417
Net Loss Attributable to CPA®:18 – Global Stockholders	(138,309)	[1]	(203,550)	[1]
Class A
Other Income and Expenses
Net Loss Attributable to CPA®:18 – Global Stockholders	(108,611)	[1]	(163,329)	[1]
Weighted average shares outstanding	616,292		223,085
Net loss per share (in dollars per share)	$ (0.18)		$ (0.73)
Distributions declared per share (in dollars per share)	$ 0.1138		$ 0.1138
Class C
Other Income and Expenses
Net Loss Attributable to CPA®:18 – Global Stockholders	$ (29,698)	[1]	$ (40,221)	[1]
Weighted average shares outstanding	149,294		50,311
Net loss per share (in dollars per share)	$ (0.20)		$ (0.80)
Distributions declared per share (in dollars per share)	$ 0.0968		$ 0.0968

[1] The allocation of Net loss attributable to CPA®:18 – Global stockholders is calculated based on the weighted-average shares outstanding for Class A common stock and Class C common stock for the three and nine months ended September 30, 2013. The allocation for the Class A common stock excludes the shareholder servicing fee of $3,387 that is only applicable to holders of Class C common stock (Note 3).

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Agreements and Transactions with Related Parties

9 Months Ended

Sep. 30, 2013

Related Party Transactions [Abstract]

Agreements and Transactions with Related Parties

Note 3. Agreements and Transactions with Related Parties

On May 7, 2013, we entered into an advisory agreement with the advisor to perform certain services for us under a fee arrangement, including the identification, evaluation, negotiation, purchase, and disposition of real estate and related assets and mortgages loans, day-to-day management, and the performance of certain administrative duties. The term of the advisory agreement is through September 30, 2014 and is scheduled to renew annually thereafter.

The following tables present a summary of fees we paid and expenses we reimbursed to the advisor and other affiliates in accordance with the terms of the related agreements:

	Three Months Ended September 30, 2013		Nine Months Ended September 30, 2013
Amounts Included in the Consolidated Statements of Operations:
Organization costs	$	—	$	65,240
Interest expense on Note payable to affiliate	33,888		33,888
Asset management fees	31,916		31,916
Shareholder servicing fee	3,387		3,387
	$	69,191	$	134,431
Transaction Fees Capitalized:
Current acquisition fees	$	1,442,238	$	1,442,238
Deferred acquisition fees	1,153,790		1,153,790
	$	2,596,028	$	2,596,028
			September 30, 2013
Amounts Due to Affiliate:
Organization and offering costs due to the advisor			$	3,998,725
Deferred acquisition fees due to the advisor			1,153,790
Asset management fees due to the advisor			23,571
Interest due to affiliate			33,888
Other			133,378
			$	5,343,352
Note Payable to Affiliate:			September 30, 2013
Loan from W. P. Carey			$	15,000,000

Organization and Offering Costs

Pursuant to the advisory agreement with the advisor, we are liable for certain expenses related to our initial public offering, which include filing, legal, accounting, printing, advertising, transfer agent, and escrow fees, and are to be deducted from the gross proceeds of the offering (Note 2). We will reimburse Carey Financial or selected dealers for reasonable bona fide due diligence expenses incurred that are supported by a detailed and itemized invoice. The total underwriting compensation to Carey Financial and selected dealers in connection with the offering cannot exceed limitations prescribed by the Financial Industry Regulatory Authority, Inc. The advisor has agreed to be responsible for the repayment of organization and offering expenses (excluding selling commissions and dealer manager fees paid to Carey Financial and selected dealers and fees paid and expenses reimbursed to selected dealers) that exceed in the aggregate 4.0% of the gross proceeds from the initial public offering if the gross proceeds are less than $500,000,000, 2.0% of the gross proceeds from the initial public offering if the gross proceeds are $500,000,000 or more but less than $750,000,000, and 1.5% of the gross proceeds from the initial public offering if the gross proceeds are $750,000,000 or more. Reimbursement of such costs was contingent on the commencement of the offering, which occurred on May 7, 2013, and raising the minimum offering amount of $2,000,000, which occurred on July 25, 2013. During the nine months ended September 30, 2013, the advisor paid organization costs of $65,240 and offering costs of $3,933,485 on our behalf. We have recorded a liability to the advisor for all of these costs based on our estimate of expected gross offering proceeds.

Loan from W. P. Carey

Our Board of Directors and the board of directors of W. P. Carey have approved unsecured loans from W. P. Carey to us of up to $100,000,000, in the aggregate, at a rate of the London inter-bank offered rate (“LIBOR”) plus 1.75%, for the purpose of facilitating acquisitions approved by our investment committee, with any loans to be made solely at the discretion of the management of W. P. Carey. On August 20, 2013, our Operating Partnership borrowed $15,000,000 from W. P. Carey at a rate of 30-day LIBOR plus 1.75%, which is the same rate that W. P. Carey pays on its credit facility, and a maturity date of August 20, 2014. The interest expense on this note payable to our affiliate is included in Interest expense on the consolidated statements of operations. These funds were used to acquire a 50% controlling interest in the jointly-owned investment with an affiliate described in Note 4. On October 4, 2013, this note was repaid in full with accrued interest thereon (Note 9).

Asset Management Fees

Pursuant to the advisory agreement, the advisor will be entitled to an annual asset management fee ranging from 0.5% to 1.5%, depending on the type of investment and based on the average market value or average equity value, as applicable, of our investments. The asset management fees are payable in cash or shares of our Class A common stock at the option of the advisor. If the advisor elects to receive all or a portion of its fees in shares, the number of shares issued is determined by dividing the dollar amount of fees by our most recently published net asset value per share (“NAV”) or, if an NAV has not yet been published, as currently is the case, $10.00 per share, which is the price at which our Class A shares are being sold in our initial public offering. For 2013, the advisor elected to receive its asset management fees in shares of our Class A common stock. At September 30, 2013, the advisor owned 24,057 shares (1.1%) of our outstanding Class A common stock. Asset management fees are included in Property expenses in the consolidated statements of operations.

Dealer Manager Fees

On May 7, 2013, we entered into a dealer manager agreement with Carey Financial, whereby Carey Financial receives a selling commission, depending on the class of common stock sold, of $0.70 and $0.14 per share sold and a dealer manager fee of $0.30 and $0.21 per share sold for the Class A and Class C common stock, respectively.

Carey Financial will also receive an annual distribution and shareholder servicing fee in connection with sales of our Class C common stock. The amount of the shareholder servicing fee will be 1.0% of the selling price per share (or, once reported, the amount of our estimated NAV per share) for the Class C common stock in our initial public offering. The shareholder servicing fee accrues daily and is payable quarterly in arrears. We will no longer incur the shareholder servicing fee beginning on the date at which, in the aggregate, underwriting compensation from all sources, including the shareholder servicing fee, any organizational and offering fee paid for underwriting and underwriting compensation paid by W. P. Carey and its affiliates, equals 10.0% of the gross proceeds from our initial public offering. The shareholder servicing fee for both the three and nine months ended September 30, 2013 was $3,387 and is included in “Other” within due to affiliates in the table above and did not reach the threshold described above. The shareholder servicing fee for both the three and nine months ended September 30, 2013 is also included in General and administrative on the consolidated statements of operations.

Acquisition and Disposition Fees

The advisor will receive acquisition fees, a portion of which is payable upon acquisition and a portion that is subordinated to a preferred return. The initial acquisition fee and subordinated acquisition fee are 2.5% and 2.0%, respectively, of the aggregate total cost of our portion of each investment for all investments other than those in readily-marketable real estate securities purchased in the secondary market, for which the advisor will not receive any acquisition fees. The total acquisition fees to be paid (initial and subordinated, and including interest thereon) will not exceed 6.0% of the aggregate contract purchase price of all investments and loans. In addition, pursuant to the advisory agreement, the advisor may be entitled to receive a disposition fee in an amount equal to the lesser of (i) 50.0% of the competitive real estate commission (as defined in the advisory agreement) or (ii) 3.0% of the contract sales price of the investment being sold. During the three and nine months ended September 30, 2013, we recorded $1,153,790 of deferred acquisition fees for our portion of the fees due to the advisor upon the consummation of the State Farm acquisition (Note 4), which are scheduled to be paid in three equal annual installments commencing in the fourth quarter of 2013. The State Farm acquisition is a jointly-owned investment with CPA^®:17 – Global.

Excess Operating Expenses

The advisory agreement provides that, for any four trailing quarters (with quoted variables as defined in the advisory agreement), “operating expenses” may not exceed the greater of 2.0% of our “average invested assets” or 25.0% of our “adjusted net income.” During the three months ended June 30, 2013, the advisor charged us $76,585 for operating expenses, which we charged back to the advisor for excess operating expenses pursuant to the limitation described above. We may, however, become liable for these costs in the future if our results improve or our invested assets increase substantially. For the three months ended September 30, 2013, our operating expenses were below the 2.0%/25.0% threshold. 

Available Cash Distributions

CPA^®:18 Holdings interest in the Operating Partnership entitles it to receive distributions of 10.0% of Available Cash, as defined in the partnership agreement, generated by the Operating Partnership, subject to certain limitations. To date, there have been no distributions of Available Cash by the Operating Partnership.

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Agreements and Transactions with Related Parties (Narratives) (Details) (USD $)	3 Months Ended		9 Months Ended			9 Months Ended									9 Months Ended
	Sep. 30, 2013	Jun. 30, 2013	Sep. 30, 2013	Aug. 20, 2013	Jul. 28, 2013	Sep. 30, 2013 Current	Sep. 30, 2013 Deferred	Sep. 30, 2013 Class A common stock	Sep. 29, 2013 Class A common stock	Dec. 31, 2012 Class A common stock	Sep. 30, 2013 Class A common stock Advisor	Sep. 30, 2013 Class C common stock	May 07, 2013 Class C common stock	Dec. 31, 2012 Class C common stock	Sep. 30, 2013 Real estate commission	Sep. 30, 2013 Average invested asset	Sep. 30, 2013 Adjusted net income	Sep. 30, 2013 Contract sales price of investment	Sep. 30, 2013 LIBOR Unsecured Loan	Sep. 30, 2013 LIBOR August 20th Loan	Sep. 30, 2013 Minimum Average market value of investment	Sep. 30, 2013 Maximum	Sep. 30, 2013 Maximum Cpa 18 Holdings	Sep. 30, 2013 Maximum Average equity value of investment	Sep. 30, 2013 Scenario One	Sep. 30, 2013 Scenario One Maximum	Sep. 30, 2013 Scenario Two	Sep. 30, 2013 Scenario Two Minimum	Sep. 30, 2013 Scenario Two Maximum	Sep. 30, 2013 Scenario Three	Sep. 30, 2013 Scenario Three Minimum
Related Party Transaction [Line Items]
Contributions from non controlling interest			$ 18,920,532
Aggregate Gross Proceeds From Offering Threshold																									4.00%		2.00%			1.50%
Potential Gross Proceeds from Issuance Initial Public Offering																										500,000,000		500,000,000	750,000,000		750,000,000
Initial minimum offering amount	2,000,000		2,000,000		2,000,000
Deferred offering costs	3,933,485		3,933,485
Line of Credit
Maximum line of credit approved by directors	100,000,000		100,000,000
Debt, variable rate spread																			1.75%	1.75%
Line of credit, outstanding				15,000,000
Debt Instrument, Maturity Date			Aug. 20, 2014
Ownership interest in jointly-owned investment				50.00%
Percentage of asset management fees																					0.50%			1.50%
Common Stock Initial Public Offering Par Or Stated Value Per Share									$ 10				$ 9.35
Number of shares held by advisor								1,771,353		0	24,057	348,441		0
Advisor owned percentage of common stock											1.10%
Due to Related Party
Selling commission per share sold								$ 0.7				$ 0.14
Dealer manager fee per share sold								$ 0.3				$ 0.21
Shareholder servicing fee												1.00%
Shareholder Servicing Fee Payment Threshold																							10.00%
Shareholder servicing fee	3,387		3,387
Percentage of acquisition fees						2.50%	2.00%															6.00%
Percentage of subordinated disposition fees															50.00%			3.00%
Deferred acquisition fees due to the advisor	1,153,790		1,153,790
Percentage of operating expense reimbursement																2.00%	25.00%
Excess operating expense charge back		$ 76,585

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Agreements and Transactions with Related Parties (Tables)

9 Months Ended

Sep. 30, 2013

Related Party Transactions [Abstract]

Schedule of Related Party Transactions

The following tables present a summary of fees we paid and expenses we reimbursed to the advisor and other affiliates in accordance with the terms of the related agreements:

	Three Months Ended September 30, 2013		Nine Months Ended September 30, 2013
Amounts Included in the Consolidated Statements of Operations:
Organization costs	$	—	$	65,240
Interest expense on Note payable to affiliate	33,888		33,888
Asset management fees	31,916		31,916
Shareholder servicing fee	3,387		3,387
	$	69,191	$	134,431
Transaction Fees Capitalized:
Current acquisition fees	$	1,442,238	$	1,442,238
Deferred acquisition fees	1,153,790		1,153,790
	$	2,596,028	$	2,596,028
			September 30, 2013
Amounts Due to Affiliate:
Organization and offering costs due to the advisor			$	3,998,725
Deferred acquisition fees due to the advisor			1,153,790
Asset management fees due to the advisor			23,571
Interest due to affiliate			33,888
Other			133,378
			$	5,343,352
Note Payable to Affiliate:			September 30, 2013
Loan from W. P. Carey			$	15,000,000

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Net Investments in Properties (Details 1) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Investments in properties:
Land	$ 29,215,472
Building	62,595,789
Building improvements	5,397,639
Accumulated depreciation	(243,280)	0
Net investments in properties	$ 96,965,620	$ 0

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Net Investments in Properties (Narratives) (Details) (USD $)	0 Months Ended	3 Months Ended	9 Months Ended
	Aug. 20, 2013	Sep. 30, 2013	Sep. 30, 2013	Dec. 31, 2012
Acqusition
Ownership interest in jointly-owned investment	50.00%
Acquisition-related cost and fees, capitalized		$ 2,596,028	$ 2,596,028
Contributions from non controlling interest			18,920,532
Line of credit, outstanding	15,000,000
Lease Term	15 years
Non-recourse debt		72,800,000	72,800,000	0
State Farm Mutual Automobile Company
Acqusition
Investment purchase price	115,604,253
Acquired finite lived intangible assets, amount	15,799,325
Acquisition-related cost and fees, capitalized	5,604,253
Area of real estate property	479,411
Area of land	83.5
Joint Venture | State Farm Mutual Automobile Company
Acqusition
Non-recourse debt	$ 72,800,000

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Loss Per Share and Equity (Details 1) (USD $)	3 Months Ended		9 Months Ended
	Sep. 30, 2013		Sep. 30, 2013
Basic
Allocation of Net Loss (a)	$ (138,309)	[1]	$ (203,550)	[1]
Shareholder servicing fee	3,387		3,387
Class A common stock
Basic
Weighted-Average Shares Outstanding	616,292		223,085
Allocation of Net Loss (a)	(108,611)	[1]	(163,329)	[1]
Loss Per Share (in dollars per share)	$ (0.18)		$ (0.73)
Class C common stock
Basic
Weighted-Average Shares Outstanding	149,294		50,311
Allocation of Net Loss (a)	$ (29,698)	[1]	$ (40,221)	[1]
Loss Per Share (in dollars per share)	$ (0.20)		$ (0.80)

[1] The allocation of Net loss attributable to CPA®:18 – Global stockholders is calculated based on the weighted-average shares outstanding for Class A common stock and Class C common stock for the three and nine months ended September 30, 2013. The allocation for the Class A common stock excludes the shareholder servicing fee of $3,387 that is only applicable to holders of Class C common stock (Note 3).

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Intangible Assets and Liabilities (Details 2) (USD $)	Sep. 30, 2013
Finite-Lived Intangible Assets and Liabilities, Future Amortization Expense
2013 (remainder)	$ 263,322
2014	1,053,288
2015	1,053,288
2016	1,053,288
2017	1,053,288
Thereafter (through 2028)	11,201,100
Total	$ 15,677,574

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Agreements and Transactions with Related Parties (Details 1) (USD $)	3 Months Ended	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2013	Aug. 20, 2013	Dec. 31, 2012
Amounts Included in the Consolidated Statements of Operations:
Organization costs	$ 0	$ 65,240
Interest expense on Note payable to affiliate	33,888	33,888
Asset management fees	31,916	31,916
Shareholder servicing fee	3,387	3,387
Operating expenses	69,191	134,431
Transaction Fees Capitalized:
Current acquisition fees	1,442,238	1,442,238
Deferred acquisition fees	1,153,790	1,153,790
Transaction fees incurred	2,596,028	2,596,028
Amounts Due to Affiliate:
Organization and offering costs due to the advisor	3,998,725	3,998,725
Deferred acquisition fees due to the advisor	1,153,790	1,153,790
Asset management fees due to the advisor	23,571	23,571
Interest due to affiliate	33,888	33,888
Other	133,378	133,378
Due to affiliates	5,343,352	5,343,352		0
Loan from W. P. Carey			$ 15,000,000

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Consolidated Statements of Equity (Unaudited) (Parentheticals) (USD $)	Dec. 31, 2012 Carey REIT II
Statements of Equity (Unaudited)
Common stock, par value	$ 0.001
Per share price issued	$ 9.00

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Business

9 Months Ended

Sep. 30, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Business

Note 1. Business

Organization

Corporate Property Associates 18 – Global Incorporated (“CPA^®:18 – Global” and, together with its consolidated subsidiaries, “we”, “us” or “our”) is a Maryland corporation formed in September 2012 for the purpose of investing primarily in a diversified portfolio of income-producing commercial real estate properties and other real estate related assets, both domestically and outside the United States (“U.S.”). We intend to qualify as a real estate investment trust (“REIT”) under the Internal Revenue Code of 1986 (the “Code”) for the taxable year ending December 31, 2013, and intend to conduct substantially all of our investment activities and own all of our assets through CPA:18 Limited Partnership, a Delaware limited partnership, which is our “Operating Partnership.” We are a general partner and a limited partner and own a 99.985% interest in the Operating Partnership. The Operating Partnership was formed on April 8, 2013. On July 3, 2013, WPC–CPA^®:18 Holdings, LLC (“CPA^®:18 Holdings”), a subsidiary of our sponsor, W. P. Carey Inc. (“W. P. Carey”), acquired a 0.015% special general partner interest in the Operating Partnership, representing its special general partnership interest, for $209,000.

Carey Asset Management Corp., a subsidiary of W. P. Carey, together with its affiliates, is our “advisor” and manages our business. The advisor also currently manages three other affiliated REITs, namely, Corporate Property Associates 16 – Global Incorporated, Corporate Property Associates 17 – Global Incorporated (“CPA^®:17 – Global”) and Carey Watermark Investors Incorporated. W. P. Carey & Co B.V., an affiliate of our advisor, will provide asset management services with respect to any foreign investments that we may make in the future.

On September 13, 2012, Carey REIT II, Inc. (“Carey REIT II”), a subsidiary of W. P. Carey and an affiliate of our advisor, purchased 1,000 shares of our common stock, par value $0.001 per share, for an aggregate purchase price of $9,000 and was admitted as our initial stockholder. On December 14, 2012, we received an additional capital contribution from Carey REIT II for $200,000 in exchange for 22,222 shares of our common stock, par value $0.001 per share. Carey REIT II purchased its shares at $9.00 per share, net of selling commissions and fees that would have otherwise been payable to Carey Financial, LLC (“Carey Financial”), our dealer manager and an affiliate of the advisor. On April 8, 2013, the shares held by Carey REIT II were renamed as Class A common stock. All of the shares issued to Carey REIT II have a par value of $0.001 per share.On April 8, 2013, with the approval of our Board of Directors, we amended our articles of incorporation. Pursuant to the amended and restated articles of incorporation, we are authorized to issue 320,000,000 shares of Class A common stock, 80,000,000 shares of Class C common stock, and 50,000,000 shares of preferred stock. All of the authorized shares have a par value of $0.001 per share.

Public Offering

On May 7, 2013, our Registration Statement was declared effective by the SEC under the Securities Act of 1933, as amended (the “Securities Act”). This Registration Statement covers our initial public offering of up to $1.0 billion of common stock, in any combination of Class A common stock and Class C common stock at a price of $10.00 per share of Class A common stock and $9.35 per share of Class C common stock. The Registration Statement also covers the offering of up to $400,000,000 in common stock, in any combination of Class A common stock and Class C common stock, pursuant to our distribution reinvestment and stock purchase plan (“DRIP”) at a price of $9.60 per share of Class A common stock and $8.98 per share of Class C common stock. Our initial public offering is being offered on a “best efforts” basis by Carey Financial and selected other dealers. The per share amount of distributions on shares of Class A and C common stock will likely differ because of different allocations of class-specific expenses. Specifically, distributions on shares of Class C common stock will likely be lower than shares of Class A common stock because shares of Class C common stock are subject to ongoing distribution and shareholder servicing fees (the “shareholder servicing fee”) (Note 3). We currently intend to sell shares in our initial public offering until May 7, 2015; however, our Board of Directors may decide to extend the offering for up to an additional 18 months, and if so we would announce such extension in a prospectus supplement. In some states, we will need to renew our registration annually in order to continue offering our shares beyond the initial registration period. On July 25, 2013, aggregate subscription proceeds for our Class A and Class C common stock exceeded the minimum offering amount of $2,000,000 and we began to admit stockholders. Through October 31, 2013, we raised gross offering proceeds for our Class A common stock and Class C common stock of $50,247,946 and $15,389,115, respectively.

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Net Investments in Properties

9 Months Ended

Sep. 30, 2013

Real Estate [Abstract]

Net Investments in Properties

Note 4. Net Investment in Properties

Acquisition

On August 20, 2013 we acquired a 50% controlling interest in a jointly-owned investment, which is co-owned by CPA^®:17 – Global and on that date purchased an office facility from the State Farm Mutual Automobile Company (“State Farm”) located in Austin, Texas. The total cost was $115,604,253, including net lease intangible assets of $15,799,325 (Note 5) and transaction costs of $5,604,253 that were capitalized. CPA^®:17 – Global’s investment was $18,920,532, which we account for as a noncontrolling interest. Our portion of the purchase price was funded, in part, by a $15,000,000 loan from W. P. Carey (Note 3). This transaction was deemed to be a real estate asset acquisition because we entered into a new lease with the seller/lessee. The acquired facility consists of a 479,411 square-foot building that is located on 83.5 acres of land. The new lease has been classified as an operating lease and has an initial term of 15 years with two five-year renewal options. The jointly-owned investment obtained a $72,800,000 mortgage loan upon acquisition of this property (Note 6).

Real estate, which consists of land and buildings leased to others under an operating lease and is carried at cost, is summarized as follows:

	September 30, 2013
Land	$	29,215,472
Building	62,595,789
Building improvements	5,397,639
Less: Accumulated depreciation	(243,280		)
	$	96,965,620

Scheduled future minimum rents, exclusive of renewals and expenses paid by the tenant, under our non-cancelable operating lease are as follows:

Years Ending December 31,	Total
2013 (remainder)	$	1,751,327
2014	7,004,308
2015	7,144,392
2016	7,287,284
2017	7,433,028
Thereafter (through 2028)	89,137,876
Total	$	119,758,215

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Basis of Presentation

9 Months Ended

Sep. 30, 2013

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Note 2. Basis of Presentation

Basis of Presentation

Our interim consolidated financial statements have been prepared, without audit, in accordance with the instructions to Form 10-Q and therefore do not necessarily include all information and footnotes necessary for a fair statement of our consolidated financial position, results of operations and cash flows in accordance with accounting principles generally accepted in the U.S. (“GAAP”).

In the opinion of management, the unaudited consolidated financial information for the interim periods presented in this Report reflects all normal and recurring adjustments necessary for a fair statement of results of operations, financial position and cash flows. Operating results for interim periods are not necessarily indicative of operating results for an entire fiscal year.

We had no operating activity prior to April 8, 2013 and acquired our first investment on August 20, 2013.

Basis of Consolidation

Our consolidated financial statements reflect all of our accounts, including those of our controlled subsidiaries. The portion of equity in a consolidated subsidiary that is not attributable, directly or indirectly, to us is presented as noncontrolling interests. All significant intercompany accounts and transactions have been eliminated.

When we obtain an economic interest in an entity, we evaluate the entity to determine if it is a variable interest entity (“VIE”) or voting interest entity (“VOE”) and, if so, whether we are the primary beneficiary and are therefore required to consolidate the entity. We performed an analysis of all of our subsidiary entities to determine whether they qualify as VIEs and whether they should be consolidated or accounted for as equity investments in an unconsolidated venture.

Based on our evaluation, we determined that our Operating Partnership was not a VIE but should be consolidated as we control all decisions regarding our Operating Partnership. We account for the 0.015% interest held by CPA^®:18 Holdings in the Operating Partnership as a noncontrolling interest. On August 20, 2013, we entered into a jointly-owned investment with our affiliate, CPA^®:17 – Global (Note 4). We have concluded that this subsidiary is a VOE and will be consolidated by us as we are the managing member and the non-managing member does not have substantive participating or “kick-out” rights. Kick-out rights are the rights underlying the limited partners’ ability to dissolve (liquidate) the limited partnership or otherwise remove the general partners. 

Purchase Price Allocation

When we acquire properties with leases classified as operating leases, we allocate the purchase price to the tangible and intangible assets and liabilities acquired based on their estimated fair values. We determine the value of the tangible assets, consisting of land and buildings, as if vacant, and record intangible assets, including the above-market and below-market value of leases (where applicable), and the value of in-place leases, at their estimated fair values. Land is typically valued utilizing the sales comparison (or market approach). Buildings, as if vacant, are valued using the cost and/or income approach. Site improvements are valued using the cost approach. The fair value of real estate is determined by reference to portfolio appraisals which determines their values, on a property level, by applying a discounted cash flow analysis to the estimated net operating income for each property in the portfolio during the remaining anticipated lease term, and the estimated residual value of each property from a hypothetical sale of the property upon expiration after considering the re-tenanting of such property at estimated then current market rental rate, at a selected capitalization rate and deducting estimated costs of sale. The proceeds from a hypothetical sale are derived by capitalizing the estimated net operating income of each property for the year following lease expiration at an estimated residual capitalization rate. The discount rates and residual capitalization rates used to value the properties are selected based on several factors, including the credit worthiness of the lessees, industry surveys, property type, location and age, current lease rates relative to market lease rates and anticipated lease duration. In the case where a tenant has a purchase option deemed to be materially favorable to the tenant, or the tenant has long-term renewal options at rental rates below estimated market rental rates, the appraisal assumes the exercise of such purchase option or long-term renewal options in its determination of residual value. Where a property is deemed to have excess land, the discounted cash flow analysis includes the estimated excess land value at the assumed expiration of the lease, based upon an analysis of comparable land sales or listings in the general market area of the property growing at estimated market growth rates through the year of lease expiration. For those properties that are under contract for sale, the appraised value of the portfolio reflects the current contractual sale price of such properties. See Revenue Recognition and Depreciation below for a discussion of our significant accounting policies related to tangible assets. We include the value of below-market leases in Prepaid and deferred rental income in the consolidated balance sheets.

We record above-market and below-market lease values for owned properties, where applicable, based on the present value (using a discount rate reflecting the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the leases negotiated and in place at the time of acquisition of the properties and (ii) our estimate of fair market lease rates for the property or equivalent property, both of which are measured over a period equal to the estimated lease term, which includes renewal options with rental rates below estimated market rental rates. We amortize the capitalized above-market lease value, where applicable, as a reduction of rental income over the estimated market lease term. We amortize the capitalized below-market lease value as an increase to rental income over the estimated lease term and any fixed-rate renewal periods in the respective leases.

The value of any in-place lease is estimated to be equal to the property owner’s avoidance of costs necessary to lease the property for a term equal to the remaining primary in-place lease term and the value of investment grade tenancy. The cost avoidance to the property owners of vacancy and leasing costs necessary to lease the property for a lease term equal to the remaining in-place lease term is derived first by determining the in-place lease term on the subject lease. Then, based on our review of the market, the cost to be borne by a property owner to replicate a market lease to the remaining in-place term was estimated. These costs consist of: (i) rent lost during downtime (i.e. assumed periods of vacancy); (ii) estimated expenses that would be incurred by the property owner during periods of vacancy; (iii) rent concessions (i.e. free rent); (iv) leasing commissions; and (v) tenant improvement allowances. We determine these values using our estimates or by relying in part upon third-party appraisals. We amortize the capitalized value of in-place lease intangibles to expense over the remaining initial term of each lease. No amortization period for intangibles will exceed the remaining depreciable life of the building.

Cash and Cash Equivalents

We consider all short-term, highly-liquid investments that are both readily convertible to cash and have a maturity of generally three months or less at the time of purchase to be cash equivalents, where applicable. Items classified as cash equivalents include commercial paper and money-market funds, where applicable. Our cash and cash equivalents are held in the custody of one financial institution. These balances, at times, may exceed federally-insurable limits. We will seek to mitigate this risk by depositing funds only with major financial institutions.

Revenue Recognition

We lease real estate to others on a triple-net leased basis whereby the tenant is generally responsible for all operating expenses relating to the property, including property taxes, insurance, maintenance, repairs, renewals and improvements. We charge expenditures for maintenance and repairs, including routine betterments, to operations as incurred. We capitalize any significant renovations that increase the useful life of the properties.

Our lease provides for scheduled rent increases each year. For operating leases, we record real estate at cost less accumulated depreciation; we recognize future minimum rental revenue on a straight-line basis over the non-cancelable lease term of the related lease and charge expenses to operations as incurred.

Depreciation

We compute depreciation of the building and its related improvements using the straight-line method over the estimated remaining useful life of the property or improvements, which is 40 years and ten years, respectively.

Fair Value Measurements

The fair value of an asset is defined as the exit price, which is the amount that would either be received when an asset is sold or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The guidance establishes a three-tier fair value hierarchy based on the inputs used in measuring fair value. These tiers are: Level 1, for which quoted market prices for identical instruments are available in active markets, such as money market funds, equity securities and U.S. Treasury securities; Level 2, for which there are inputs other than quoted prices included within Level 1 that are observable for the instrument, such as certain derivative instruments including an interest rate cap and swaps; and Level 3, for securities and other derivative assets that do not fall into Level 1 or Level 2 and for which little or no market data exists, therefore requiring us to develop our own assumptions. Our debt and deferred acquisition fees payable, which we have classified as Level 3, had carrying values that approximated their fair values at September 30, 2013.

Income Taxes

We intend to qualify as a REIT under Sections 856 through 860 of the Code beginning with our taxable year ending December 31, 2013. In order to maintain our qualification as a REIT, we will be required to, among other things, distribute at least 90.0% of our REIT taxable income to our stockholders and meet certain tests regarding the nature of our income and assets. Under the Code, REITs are subject to numerous organizational and operational requirements including limitations on certain types of gross income. As a REIT, we generally will not be subject to U.S. federal income tax on income that we distribute to stockholders. If we fail to qualify for taxation as a REIT for any taxable year, our income will be taxed at regular corporate rates, and we may not be able to qualify for treatment as a REIT for that year and the next four years. Even if we qualify as a REIT for U.S. federal income tax purposes, we may be subject to federal, state, local, and foreign taxes on our income and property and to income and excise taxes on our U.S. undistributed income.

In the future, we may elect to treat one or more of our corporate subsidiaries as a taxable REIT subsidiary (“TRS”). In general, a TRS may perform additional services for our tenants and generally may engage in any real estate or non-real estate related business (except for the operation or management of health care facilities or lodging facilities or providing to any person, under a franchise, license or otherwise, rights to any brand name under which any lodging facility or health care facility is operated). A TRS is subject to corporate federal income tax.

Organization and Offering Costs

The advisor has paid various organization and offering costs on our behalf, all of which we are liable for under the advisory agreement (see Note 3). During the offering period, costs incurred in connection with the raising of capital will be accrued as deferred offering costs. Upon receipt of offering proceeds, we will charge the deferred costs to stockholders’ equity and will reimburse the advisor for costs incurred. Such reimbursements will not exceed regulatory cost limitations. Organization costs were expensed as incurred and are included in general and administrative expenses in the consolidated financial statements. We have recorded a liability to the advisor for all of organization and offering costs incurred by the advisor based on our estimate of expected gross offering proceeds (Note 3).

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and the disclosure of contingent amounts in our consolidated financial statements and the accompanying notes. Actual results could differ from those estimates.

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Net Investments in Properties (Details 2) (USD $)	Sep. 30, 2013
Operating Leases, Future Minimum Payments Receivable [Abstract]
2013 (remainder)	$ 1,751,327
2014	7,004,308
2015	7,144,392
2016	7,287,284
2017	7,433,028
Thereafter (through 2028)	89,137,876
Total	$ 119,758,215

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Non-recourse Debt (Narratives) (Details) (USD $)	3 Months Ended	9 Months Ended		0 Months Ended	3 Months Ended	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2013	Dec. 31, 2012	Aug. 20, 2013 State Farm Mutual Automobile Company	Sep. 30, 2013 State Farm Mutual Automobile Company	Sep. 30, 2013 State Farm Mutual Automobile Company
Debt Instruments
Non-recourse debt	$ 72,800,000	$ 72,800,000	$ 0
Maturity date		Aug. 20, 2014		Sep. 10, 2023
Debt, weighted average interest rate				4.50%
Deferred financing cost, capitalized				220,183
Interest expense	$ 415,994	$ 415,994			$ 382,106	$ 382,106

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Consolidated Balance Sheets (Unaudited) (Parentheticals) (USD $)	Sep. 30, 2013	Dec. 31, 2012
CPA®:18 – Global stockholders’ equity:
Common stock, par value	$ 0.001
Preferred stock, par value	$ 0.001
Preferred stock, authorized	50,000,000	0
Preferred Stock, Shares Outstanding	0
Class A common stock
CPA®:18 – Global stockholders’ equity:
Common stock, par value	$ 0.001
Common Stock, Shares Authorized	320,000,000	0
Common Stock, Shares, Issued	1,771,353	0
Common Stock, Shares, Outstanding	1,771,353	0
Class C common stock
CPA®:18 – Global stockholders’ equity:
Common stock, par value	$ 0.001
Common Stock, Shares Authorized	80,000,000	0
Common Stock, Shares, Issued	348,441	0
Common Stock, Shares, Outstanding	348,441	0
General Common Stock
CPA®:18 – Global stockholders’ equity:
Common stock, par value		0.001
Common Stock, Shares Authorized	0	25,000
Common Stock, Shares, Issued	0	23,222
Common Stock, Shares, Outstanding	0	23,222

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Commitments and Contingencies

9 Months Ended

Sep. 30, 2013

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Note 7. Commitments and Contingencies

At September 30, 2013, we were not involved in any litigation.

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Consolidated Statements of Equity (Unaudited) (USD $)	Total	Class A	Class C	General Common Stock	Additional Paid-In Capital	Distributions in Excess of Accumulated Losses	Total CPA 18 - Global Stockholders	Noncontrolling Interests
Beginning equity balance, value at Sep. 07, 2012	$ 0
Statements of Equity (Unaudited)
Shares, $.001 par value, issued to Carey REIT II at $9.00 per share, value	209,000			23	208,977		209,000
Shares, $.001 par value, issued to Carey REIT II at $9.00 per share, shares				23,222
Ending equity balance, value at Dec. 31, 2012	209,000	0	0	23	208,977	0	209,000	0
Ending equity balance, shares at Dec. 31, 2012		0	0	23,222
Statements of Equity (Unaudited)
Renaming of General Shares to Class A common stock, value	0	23		(23)
Renaming of General Shares to Class A common stock, shares		23,222		(23,222)
Shares issued net of offering cost, value	18,714,704	1,740	348		18,712,616		18,714,704
Shares issued to affiliate, shares		835
Shares issued to affiliate, value	8,345	1			8,344		8,345
Stock-based compensation, shares		7,407
Stock-based compensation, value	66,666	7			66,659		66,666
Shares issued net of offering cost, shares		1,739,889	348,441
Contributions from noncontrolling interests	19,129,532							19,129,532
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders	(291,761)							(291,761)
Distributions declared	(115,180)					(115,180)	(115,180)
Net loss	(137,133)					(203,550)	(203,550)	66,417
Ending equity balance, value at Sep. 30, 2013	$ 37,584,173	$ 1,771	$ 348	$ 0	$ 18,996,596	$ (318,730)	$ 18,679,985	$ 18,904,188
Ending equity balance, shares at Sep. 30, 2013		1,771,353	348,441	0

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Consolidated Balance Sheets (Unaudited) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Investments in properties:
Real estate, at cost	$ 97,208,900	$ 0
Accumulated depreciation	(243,280)	0
Net investments in properties	96,965,620	0
Cash and cash equivalents	14,248,441	209,000
In-place lease intangible assets, net	17,311,711	0
Deferred offering costs	3,851,393	0
Other assets	1,147,365	0
Total assets	133,524,530	209,000
Liabilities:
Non-recourse debt	72,800,000	0
Notes payable to affiliate	15,000,000	0
Due to affiliate	5,343,352	0
Prepaid and deferred rental income	2,441,828	0
Accounts payable, accrued expenses and other liabilities	239,997	0
Distributions payable	115,180	0
Total liabilities	95,940,357	0
Commitments and contingencies (Note 7)
CPA®:18 – Global stockholders’ equity:
Preferred stock, $0.001 par value, 50,000,000 and 0 shares authorized; None issued	0	0
Additional paid-in capital	18,996,596	208,977
Distributions in excess of accumulated losses	(318,730)	0
Total CPA®:18 – Global stockholders’ equity	18,679,985	209,000
Noncontrolling interest	18,904,188	0
Total equity	37,584,173	209,000
Total liabilities and equity	133,524,530	209,000
Class A common stock
CPA®:18 – Global stockholders’ equity:
Common stock	1,771	0
Total equity	1,771	0
Class C common stock
CPA®:18 – Global stockholders’ equity:
Common stock	348	0
Total equity	348	0
General Common Stock
CPA®:18 – Global stockholders’ equity:
Common stock	0	23
Total equity	$ 0	$ 23

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Intangible Assets and Liabilities (Narratives) (Details) (USD $)	3 Months Ended	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2013
Acquired Finite-Lived Intangible Assets Liabilities
Finite-lived intangible asset, useful life		15 years
Net amortization of intangibles	$ 134,442	$ 134,442
In-place lease
Acquired Finite-Lived Intangible Assets Liabilities
Finite-lived intangible asset, useful life		15 years

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Basis of Presentation (Narratives) (Details)	9 Months Ended
	Sep. 30, 2013 Building	Sep. 30, 2013 Building Improvements	Sep. 29, 2013 CPA 18 Holdings
Basis of Presentation
Special general partner interest			0.015%
Property plant and equipment useful life	40 years	10 years

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Subsequent Event (Narratives) (Details) (USD $)	9 Months Ended	0 Months Ended
	Sep. 30, 2013	Oct. 03, 2013 Subsequent event Principal
Subsequent Event
Repayment of line of credit		$ 15,000,000
Debt Instrument, Maturity Date	Aug. 20, 2014

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Non-recourse Debt

9 Months Ended

Sep. 30, 2013

Debt Disclosure [Abstract]

Non-Recourse Debt

Note 6. Non-Recourse Debt

We obtained a mortgage loan of $72,800,000 from an unrelated third party in connection with the acquisition of the property leased to State Farm (Note 4) with payments that are interest-only until its maturity date on September 10, 2023. The loan is non-recourse and has a fixed annual interest rate of 4.5%. We capitalized $220,183 of deferred financing costs related to this loan. During both the three and nine months ended September 30, 2013, we incurred $382,106 of interest expense related to this loan.

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Intangible Assets and Liabilities (Details 1) (USD $)	9 Months Ended
	Sep. 30, 2013
Amortizable Intangible Assets
Finite-lived intangible asset, useful life	15 years
Below-market rent
Amortizable Intangible Liability
Finite lived intangible liability, useful life	15 years
Finite-Lived Intangible Liabilities, Gross	$ (1,646,828)
Finite Lived Intangible Liabilities Accumulated Amortization	12,691
Finite Lived Intangible Liabilities Net	(1,634,137)
In-place lease
Amortizable Intangible Assets
Finite-lived intangible asset, useful life	15 years
Finite-lived intangible assets, gross	17,446,153
Less: accumulated amortization	(134,442)
Finite-lived intangible assets, net	$ 17,311,711

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Subsequent Event

9 Months Ended

Sep. 30, 2013

Subsequent Events [Abstract]

Subsequent Event

Note 9. Subsequent Event

On October 4, 2013, we repaid in full the $15,000,000 loan from W. P. Carey and the related accrued interest (Note 3). This loan, which was scheduled to mature on August 20, 2014, had been outstanding since August 20, 2014 and was obtained in order to facilitate our first acquisition (Note 4).

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Intangible Assets and Liabilities

9 Months Ended

Sep. 30, 2013

Intangible Assets and Liabilities [Abstract]

Intangible Assets and Liabilities

Note 5. Intangible Assets and Liabilities

In connection with the acquisition of our property (Note 4), we have recorded net lease intangibles that are being amortized over 15 years.  Below-market rent intangibles are included in Prepaid and deferred rental income on the consolidated balance sheets.

Intangible assets and liabilities are summarized as follows (life in years):

	September 30, 2013
	Weighted-Average Life	Gross Carrying Amount			Accumulated Amortization			Net Carrying Amount
Amortizable Intangible Assets
Lease intangibles:
In-place lease	15.0	$	17,446,153		$	(134,442	)	$	17,311,711
Amortizable Intangible Liabilities
Below-market rent	15.0	$	(1,646,828	)	$	12,691		$	(1,634,137	)

Net amortization of intangibles was $134,442 for both the three and nine months ended September 30, 2013. Amortization of below-market rent is recorded as an adjustment to Rental income.

Based on the intangible assets and liabilities recorded at September 30, 2013, scheduled annual net amortization for the remainder of 2013, each of the next four calendar years following December 31, 2013, and thereafter is as follows:

Years Ending December 31,	Total
2013 (remainder)	$	263,322
2014	1,053,288
2015	1,053,288
2016	1,053,288
2017	1,053,288
Thereafter (through 2028)	11,201,100
Total	$	15,677,574

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Consolidated Statement of Cash Flows (Unaudited) (USD $)	9 Months Ended
	Sep. 30, 2013
Cash Flows - Operating Activities
Net loss	$ (137,133)
Adjustments to net loss:
Depreciation and amortization, including intangible assets and deferred financing costs, and other non-cash charges	380,246
Stock-based compensation expense	66,666
Straight-line rent adjustment, amortization of rent-related intangibles, and others	(137,132)
Organization costs paid by affiliate	65,240
Net changes in other operating assets and liabilities	935,842
Net Cash Provided by Operating Activities	1,173,729
Cash Flows — Investing Activities
Acquisition of real estate	(111,626,737)
Net Cash Used in Investing Activities	(111,626,737)
Cash Flows — Financing Activities
Proceeds from mortgage financing	72,800,000
Contributions from noncontrolling interests	19,129,532
Proceeds from issuance of shares, net of issuance costs	18,074,861
Note payable proceeds from affiliate	15,000,000
Distributions to noncontrolling interest	(291,761)
Payment of deferred financing costs and mortgage deposits	(220,183)
Net Cash Provided by Financing Activities	124,492,449
Net increase in cash and cash equivalents	14,039,441
Cash and cash equivalents, beginning of period	209,000
Cash and cash equivalents, end of period	14,248,441
Supplemental non-cash investing and financing activities:
Non-cash capitalized costs (Note 3, 4)	(1,381,488)
Non-cash capitalized costs (Note 3, 4)	(3,851,393)
Third quarter distribution declared (Note 8)	(115,180)
Class A common stock
Supplemental non-cash investing and financing activities:
Asset management fees settled in shares (Note 3)	$ 8,345

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Loss Per Share and Equity (Narratives) (Details) (USD $)	3 Months Ended	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2013	Sep. 29, 2013	Jul. 28, 2013	Dec. 31, 2012	Sep. 30, 2013 Class A	Dec. 31, 2012 Class A	Jun. 19, 2013 Class A Second Quarter	Sep. 18, 2013 Class A Third Quarter	Sep. 30, 2013 Class A Independent directors	Sep. 29, 2013 Class A Subsequent event	Sep. 30, 2013 Class C	Dec. 31, 2012 Class C	Jun. 19, 2013 Class C Second Quarter	Sep. 18, 2013 Class C Third Quarter	Sep. 29, 2013 Class C Subsequent event
Stock-based Compensation
Shareholder servicing fee incurred	$ 3,387	$ 3,387
Common stock, shares issued						1,771,353	0			1,851	3,702,071	348,441	0			1,299,385
Market price, per unit										$ 9
Stock-based compensation expense	66,666	66,666
Distributions Declared
Initial minimum offering amount	2,000,000	2,000,000		2,000,000
Daily distribution rate								$ 0.0016983	$ 0.0016983					$ 0.0014442	$ 0.0014442
Distributions payable	$ 115,180	$ 115,180	$ (115,180)		$ 0

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Net Investments in Properties (Tables)

9 Months Ended

Sep. 30, 2013

Real Estate [Abstract]

Schedule of Real Estate Properties

Real estate, which consists of land and buildings leased to others under an operating lease and is carried at cost, is summarized as follows:

	September 30, 2013
Land	$	29,215,472
Building	62,595,789
Building improvements	5,397,639
Less: Accumulated depreciation	(243,280		)
	$	96,965,620

Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]

Scheduled future minimum rents, exclusive of renewals and expenses paid by the tenant, under our non-cancelable operating lease are as follows:

Years Ending December 31,	Total
2013 (remainder)	$	1,751,327
2014	7,004,308
2015	7,144,392
2016	7,287,284
2017	7,433,028
Thereafter (through 2028)	89,137,876
Total	$	119,758,215

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Loss Per Share and Equity

9 Months Ended

Sep. 30, 2013

Earnings Per Share [Abstract]

Loss Per Share and Equity

Note 8. Loss Per Share and Equity

The following tables depict loss per share for the periods presented:

	Three Months Ended September 30, 2013
	Weighted-Average Shares Outstanding	Allocation of Net Loss (a)			Loss Per Share
Class A common stock	616,292	$	(108,611	)	$	(0.18	)
Class C common stock	149,294	(29,698		)	$	(0.20	)
Net loss attributable to CPA®:18 – Global stockholders		$	(138,309	)

	Nine Months Ended September 30, 2013
	Weighted-Average Shares Outstanding	Allocation of Net Loss (a)			Loss Per Share
Class A common stock	223,085	$	(163,329	)	$	(0.73	)
Class C common stock	50,311	(40,221		)	$	(0.80	)
Net loss attributable to CPA®:18 – Global stockholders		$	(203,550	)

__________

(a) The allocation of Net loss attributable to CPA^®:18 – Global stockholders is calculated based on the weighted-average shares outstanding for Class A common stock and Class C common stock for the three and nine months ended September 30, 2013. The allocation for the Class A common stock excludes the shareholder servicing fee of $3,387 that is only applicable to holders of Class C common stock (Note 3).

Subsequent to September 30, 2013 and through October 31, 2013, we issued an additional 3,702,071 shares of Class A common stock and an additional 1,299,385 shares of Class C common stock in our initial public offering.

Stock-Based Compensation

We issued 1,851 shares of Class A common stock to each of our four independent directors during the three months ended September 30, 2013, value at $9.00 per share, as part of their director compensation. For both the three and nine months ended September 30, 2013, we recognized stock-based compensation expense of $66,666 associated with the issuance of these shares.

Distributions Declared

Daily distributions on our shares began to accrue once subscription proceeds for our common stock reached the minimum offering amount of $2,000,000 and we began admitting stockholders on July 25, 2013. On June 19, 2013, our Board of Directors declared distributions at a daily rate of $0.0016983 for the Class A common stock and $0.0014442 for the Class C common stock for the quarter ending September 30, 2013, which were paid on October 15, 2013 to stockholders of record on each day of the quarter. At September 30, 2013, we had distributions payable of $115,180.

On September 18, 2013, our Board of Directors declared distributions at a daily rate of $0.0016983 for the Class A common stock and $0.0014442 for the Class C common stock for the quarter ending December 31, 2013, payable on or about January 15, 2014 to stockholders of record on each day of the quarter.

Distributions are declared at the discretion of our Board of Directors and are not guaranteed. Until we substantially invest the net proceeds of our initial public offering, distributions will be paid from offering proceeds, which reduces amounts available to invest in properties and could lower our overall return.

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Business (Narratives) (Details) (USD $)	9 Months Ended										9 Months Ended						9 Months Ended		0 Months Ended		0 Months Ended
	Sep. 30, 2013	Jul. 28, 2013	May 07, 2013	Apr. 08, 2013	Dec. 31, 2012	Sep. 30, 2013 Class A common stock	Sep. 29, 2013 Class A common stock	May 07, 2013 Class A common stock	Apr. 08, 2013 Class A common stock	Dec. 31, 2012 Class A common stock	Sep. 30, 2013 Class A common stock Subsequent event	Sep. 29, 2013 Class A common stock Subsequent event	Sep. 30, 2013 Class C common stock	May 07, 2013 Class C common stock	Apr. 08, 2013 Class C common stock	Dec. 31, 2012 Class C common stock	Sep. 30, 2013 Class C common stock Subsequent event	Sep. 29, 2013 Class C common stock Subsequent event	Jul. 03, 2013 CPA 18 Holdings	Sep. 29, 2013 CPA 18 Holdings	Dec. 14, 2012 Carey REIT II	Sep. 13, 2012 Carey REIT II	Apr. 08, 2013 Carey REIT II
Public Offering
Capital interest ownership in operating partnership	99.985%
Special general partner interest																				0.015%
Cash receipts for special general partnership interest																			$ 209,000
Common stock, shares issued						1,771,353				0		3,702,071	348,441			0		1,299,385			22,222	1,000
Common stock, par value	$ 0.001					$ 0.001							$ 0.001								$ 0.001	$ 0.001	$ 0.001
Proceeds from issuance of shares, net of issuance costs	18,074,861																				200,000	9,000
Per share transaction price																					$ 9
Common stock, shares authorized						320,000,000			320,000,000	0			80,000,000		80,000,000	0
Preferred stock, authorized	50,000,000			50,000,000	0
Common stock shares maximum offering			1,000,000,000
Common stock, par value on public offering date							$ 10							$ 9.35
Stock authorized during period share value dividend reinvestment plan			400,000,000
Common stock, par or stated value per share, pursuant to DRIP								$ 9.6						$ 8.98
Initial minimum offering amount	2,000,000	2,000,000
Cumulative funds from offering											$ 50,247,946						$ 15,389,115

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Intangible Assets and Liabilities (Tables)

9 Months Ended

Sep. 30, 2013

Intangible Assets and Liabilities [Abstract]

Schedule Of Intangible Assets and Liabilities

Intangible assets and liabilities are summarized as follows (life in years):

	September 30, 2013
	Weighted-Average Life	Gross Carrying Amount			Accumulated Amortization			Net Carrying Amount
Amortizable Intangible Assets
Lease intangibles:
In-place lease	15.0	$	17,446,153		$	(134,442	)	$	17,311,711
Amortizable Intangible Liabilities
Below-market rent	15.0	$	(1,646,828	)	$	12,691		$	(1,634,137	)

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense

Based on the intangible assets and liabilities recorded at September 30, 2013, scheduled annual net amortization for the remainder of 2013, each of the next four calendar years following December 31, 2013, and thereafter is as follows:

Years Ending December 31,	Total
2013 (remainder)	$	263,322
2014	1,053,288
2015	1,053,288
2016	1,053,288
2017	1,053,288
Thereafter (through 2028)	11,201,100
Total	$	15,677,574

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Document and Entity Information	9 Months Ended
	Sep. 30, 2013	Oct. 31, 2013 Class A	Oct. 31, 2013 Class C
Document Entity Information [Abstract]
Document Type	10-Q
Document Period End Date	Sep. 30, 2013
Amendment Flag	false
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Entity Central Index Key	0001558235
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Registrant Name	Corporate Property Associates 18 Global Incorporated
Entity Voluntary Filers	No
Entity Well Known Seasoned Issuer	No
Entity Common Stock Shares Outstanding		5,473,424	1,647,826

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Loss Per Share and Equity (Tables)

9 Months Ended

Sep. 30, 2013

Earnings Per Share [Abstract]

Schedule of Earnings Per Share

The following tables depict loss per share for the periods presented:

	Three Months Ended September 30, 2013
	Weighted-Average Shares Outstanding	Allocation of Net Loss (a)			Loss Per Share
Class A common stock	616,292	$	(108,611	)	$	(0.18	)
Class C common stock	149,294	(29,698		)	$	(0.20	)
Net loss attributable to CPA®:18 – Global stockholders		$	(138,309	)

	Nine Months Ended September 30, 2013
	Weighted-Average Shares Outstanding	Allocation of Net Loss (a)			Loss Per Share
Class A common stock	223,085	$	(163,329	)	$	(0.73	)
Class C common stock	50,311	(40,221		)	$	(0.80	)
Net loss attributable to CPA®:18 – Global stockholders		$	(203,550	)

__________

(a) The allocation of Net loss attributable to CPA^®:18 – Global stockholders is calculated based on the weighted-average shares outstanding for Class A common stock and Class C common stock for the three and nine months ended September 30, 2013. The allocation for the Class A common stock excludes the shareholder servicing fee of $3,387 that is only applicable to holders of Class C common stock (Note 3).