Cove Capital Investments Acquires Texas Business Park for Debt-Free DST Offering

Cove Capital Investments LLC, a Delaware statutory trust sponsor company, completed the purchase of a business park in Fulshear, Texas on behalf of its Rogers Business Park Opportunity 73 DST, a Regulation D, Rule 506(c) offering targeting to raise just over $23.1 million from accredited investors. The property acquisition price was not disclosed.

The multi-tenant flex industrial and mixed-use asset property was purchased by Cove Capital as part of its growing portfolio of debt-free DST real estate assets for 1031 exchange and direct cash investors, according to Dwight Kay, managing member and founding partner of Cove Capital Investments.

“We are excited to add another business park opportunity to our Cove portfolio. The property is 96.41% occupied with recent tenant lease extensions and renewals, showing strong tenant commitment to the location,” said Kay.

“We felt confident our investors would be attracted to the type of asset, location, the tenant, and the overall business strategy set forth in the private placement memorandum,” added Kay.

Within a mile of the property, seven additional master-planned communities are being developed, according to Cove, and set to deliver 9,000+ new homes. Fulshear offers highly rated schools and convenient access to employment centers via Interstate 10 and the Westpark Tollway.

“Fulshear is the state’s fastest growing city, already featuring several of the nation’s top-selling master-planned communities. Just north of downtown Fulshear, the property is strategically positioned in the direct path of growth,” said Chay Lapin, managing member and founding partner of Cove Capital Investments.

Like many of Cove Capital’s real estate acquisitions, the Rogers Business Park Opportunity 73 DST property was acquired with 0% leverage for those investors who want to potentially mitigate risk by investing in a debt-free DST offering with no risk of lender foreclosure or lender cash flow sweeps.

Cove Capital Investments is a private equity real estate firm providing accredited investors access to 1031 exchange-eligible DST 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. Cove Capital has sponsored over 2.2 million square feet of 1031 DST and real estate offerings in the multifamily, net lease, industrial, and office sectors in 33 states nationwide.

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