Cove Capital Buys Value-Add Multifamily Community Near Dallas for DST Offering

Cove Capital Investments LLC, a sponsor of Delaware statutory trusts and other real estate investment offerings, has purchased Pleasant Creek Apartments in Lancaster, Texas.

Cove Capital Investments LLC, a sponsor of Delaware statutory trusts and other real estate investment offerings, has purchased Pleasant Creek Apartments, a 159-unit value-add multifamily community located in Lancaster, Texas, roughly 15 miles south of downtown Dallas.

The property was purchased on behalf of Cove Dallas Multifamily 59 DST, a Regulation D 506(c) offering that seeks to raise $32.5 million from accredited investors.

Built in 1983, the 130,000-square-foot, two-story community is comprised of one-, two- and three-bedroom floorplans across 16 buildings. Common-area amenities include a swimming pool, a fitness center, a business center and laundry facilities.

Dwight Kay, managing member and co-founder of Cove Capital, said that “the previous owners recently invested more than $1.5 million in capital improvements to approximately 50 percent of the units. Now Cove Capital will continue to provide extensive renovations, including adding new quartz countertops, stainless steel appliances, upgraded plumbing and lighting fixtures and adding carports to cover approximately 100 cars.”

Located at 1255 West Pleasant Road, the community is roughly 15 miles south of downtown Dallas. Pleasant Creek sits in proximity of interstates 35 and 20, as well as Texas State Highway 342, with access to several dining, shopping and entertainment options. Local employers include Northrup Grumman Systems, Dallas Boss Truck Stop and FFE Logistics.

“As a proactive owner-operator, Cove Capital will be able to potentially provide value to our investors through implementing a renovation plan that includes upgrading both interiors and exteriors, and driving operational efficiencies to help maximize revenue potential,” said Chay Lapin, managing member and co-founder.

The Cove portfolio now consists of more than 1.5 million square feet of multifamily, industrial, medical and net lease assets.

Cove Capital Investments is a private equity real estate firm providing accredited investors access to 1031 exchange-eligible Delaware statutory trust properties, as well as other real estate investment offerings. The team consists of acquisitions, asset management, accounting, due diligence, in-house counsel, investor relations, marketing and capital markets.

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