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Cove Capital Takes Industrial DST Offering Full Cycle

facade of an industrial building and warehouse with freight cars in length

Cove Capital Investments, a sponsor of Delaware statutory trusts and other real estate investment offerings, has taken its Cove Dulles Distribution Delaware statutory trust offering full cycle on behalf of investors.

Cove Capital Investments, a sponsor of Delaware statutory trusts and other real estate investment offerings, has taken its Cove Dulles Distribution DST offering full cycle on behalf of investors.

Located in the Washington D.C. metro area, the logistics facility that was owned by the DST sold for $8.15 million earlier this month. The property was purchased on behalf of the DST in September 2019 for $5.9 million.

According to Cove Capital, a theoretical investor who invested on the same day that the property was acquired by the DST realized a total return of 126.44%, equal to an average annualized return of 8.67%.

“The strategically located property was offered to investors as a debt-free investment to create a lower-risk profile for both 1031 exchange and direct cash investors,” said Dwight Kay, managing member and co-founder of Cove Capital Investments. “We are very pleased to have provided another successful custom DST investment opportunity for our clients that resulted in a full-cycle liquidity event.”

The property is located in a mature industrial area of Sterling, Virginia, north of Dulles International Airport in the Washington D.C. metro area. The facility was secured by a Fortune 500 convenient foods distribution tenant with a long-term 10-year net lease.

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.

For more Cove Capital news, please visit their directory page.