PASADENA, Calif. - ExchangeRight has fully subscribed its $81.11 million Net-Leased Portfolio 46 DST offering. The tenants selected for the offering satisfy the criteria for the company’s acquisition strategy, which targets properties occupied by national companies with strong financials and operations in necessity-based retail or healthcare services.
The offering's 16 single-tenant net-leased properties are 100% occupied by businesses that provide essential products and services, which allowed them to remain open in many cities and states where other businesses were forcibly closed due to the COVID-19 pandemic, including Publix, Fresenius Medical Care, CVS, and Family Dollar.
Net-Leased Portfolio 46 DST is structured to generate stable monthly cash flow to investors, starting at an annualized rate of 6.15%. The offering launched on April 30 with 10-year fixed-rate interest-only financing at a 3.375% interest rate. The equity raise was completed on June 17.
“We continue to see strong investor demand for offerings designed to provide stable income through economic cycles, and we continue to strive to meet that demand as efficiently as we can without compromising our rigorous investment principles,” said Warren Thomas, a managing partner of ExchangeRight. “Our newest net-leased portfolio adheres to our disciplined investment strategy while extending it with the introduction of Publix as a new ExchangeRight tenant. As the largest employee-owned supermarket chain in the United States, with over 1,250 retail stores throughout the South, $45.2 billion in 2020 annual revenue, and an incredibly strong balance sheet, Publix is a welcome addition to our portfolio and we look forward to acquiring more Publix properties in the future.”
ExchangeRight and its affiliates’ vertically integrated platform features over $3.8 billion in assets under management, diversified across more than 875 properties, over 15 million square feet, and throughout 40 states. More than 5,400 investors have trusted ExchangeRight to manage their capital. All of the company’s current and past offerings have met or exceeded targeted cash flow distributions to investors since the company’s founding.
ExchangeRight pursues its passion to empower people to be secure, free, and generous by providing REIT, fund, and 1031 DST portfolios that target secure capital, stable income, and strategic exits. The company strategically acquires and manages long-term, net-leased assets backed primarily by investment-grade corporations that successfully operate essential businesses in the necessity-based retail and healthcare industries. Please visit www.exchangeright.com for more information.