ExchangeRight, a sponsor of securitized 1031 exchanges and other real estate offerings, has fully subscribed its largest offering to date with Net-Leased Portfolio 55 DST, a $220 million offering.
The portfolio features 713,656 square feet of grocery, retail, banking and pharmacy tenants. The offering launched with a loan-to-value of 47% and non-recourse interest-only financing at a fixed rate of 5% over a 10-year term.
The offering contains 34 net-leased properties across 14 states, with a majority of the locations in the Southeast and Midwest regions. Six Walmart Neighborhood Markets generate 41% of the portfolio’s net operating income. Dollar General, Publix, Pick ‘n Save, CVS, U.S. Bank and Schnucks are also featured in the portfolio.
“With the size of this DST, we were able to provide significantly more investors with the opportunity to participate in our historically recession-resilient investment strategy,” said Warren Thomas, a managing partner at ExchangeRight. “We are proud to serve investors with stable income through changing economic climates with offerings like this one that are designed to help investors meet their retirement, tax-deferral, and other wealth management needs.”
ExchangeRight and its affiliates’ platform has more than $5.3 billion in assets under management that are diversified across more than 1,100 properties and over 21 million square feet throughout 47 states. The company invests in net-leased properties in the necessity-based retail and healthcare industries, as well as value-add inline and outparcel retail spaces shadow-anchored by grocery tenants.