ExchangeRight, a sponsor of securitized 1031 exchange real estate offerings, has fully subscribed its $99.7 million Net-Leased Portfolio 40 Delaware statutory trust offering.
Net-Leased Portfolio 40 DST includes 21 single-tenant net-leased properties located in nine states, including Georgia, Texas, and Virginia. Tenants at the properties include CVS, Dollar General, Kroger, and Tractor Supply Company.
ExchangeRight said that the portfolio is structured to generate monthly cash flow to investors, starting at 6.30 percent annualized. The offering launched with 10-year financing with a fixed annual interest rate of 3.45 percent and interest-only payments for the loan term.
“Net-Leased Portfolio 40 represents our focus on tenants that operate well capitalized businesses that have demonstrated consistent revenue growth and strong profit margins through economic cycles while maintaining conservative debt and financial policies, even amid this historic pandemic,” said Joshua Ungerecht, a managing partner of ExchangeRight.
ExchangeRight and its affiliates’ platform has more than $3.1 billion in assets under management, comprised of more than 750 properties totaling 13 million square feet located in 38 states.