The common (ARCP) yields 7.20% while the pref yields over 8%. The market will correct that soon enough so expect ARCPP to start drifting higher after the shares get digested from those selling on the merger. After the Cole deal closes ARCPP will have 12BB in real estate securing 1BB in preferred. There are CCC rated bonds that yield less. You certainly have to question the ethics of those advising clients to sell ARCPP at an 8% yield to go into a new, private, illiquid ARC deal that pays under 7%.
If we assume that after all the dumping of the preferred stock ends that the preferred stock price will rise to par $25 then we are looking at a $4 gain plus $1.67 in collected dividends in the first year for a total return of 26%.