Cove Capital Investments Acquires a Brand New Construction Industrial Net Lease Asset for Its Debt-Free Net Lease Distribution 69 DST

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Feb 06, 2024, 08:15 ET

The Delaware Statutory Trust offering is an industrial distribution center in Luling, LA.

LOS ANGELES, Feb. 6, 2024 /PRNewswire/ -- Cove Capital Investments, LLC, a Delaware Statutory Trust sponsor company announced it has completed the purchase of a brand-new construction industrial net lease asset in Luling, LA. The purchase is for the firm's Net Lease Distribution 69 DST, a Regulation D, Rule 506(c) offering that is targeting to raise $12,443,403 in equity from accredited investors with a minimum investment requirement of $25,000.

According to Dwight Kay, Managing Member and Founding Partner of Cove Capital Investments, the 27,000 square foot facility was purchased by Cove Capital to contribute to its growing portfolio of debt-free real estate assets for 1031 exchange and direct cash investors.

"We are thrilled to announce the addition of another all-cash/debt-free DST offering to our portfolio. This product distribution and industrial logistics center is operated by a global leader in convenient foods and beverages, boasting a roster of many iconic brands. What makes this property particularly appealing for our DST offering is that it is a newly constructed distribution center, equipped with the potential for future expansion, potentially increasing its long-term value," said Kay.

The property was purchased by Cove Capital with 0% leverage (a debt free DST), 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.

"Our Cove Acquisitions Team identified this asset as a valuable addition to our Cove portfolio. The facility's strategic location in Luling, LA, places it in close proximity to the Louis Armstrong New Orleans International Airport, with easy access to the New Orleans and Baton Rouge markets via interstate connections. Moreover, this logistics hub is situated within the thriving greater New Orleans market, which is currently hosting industrial projects totaling $17 billion and ranked ninth in terms of gross domestic product growth in America for 2021-2022," explained Chay Lapin, Managing Member and Founding Partner of Cove Capital Investments. Lapin emphasized that this offering features a tenant well-positioned to potentially weather economic downturns, including recessions and pandemics, aligning perfectly with the core objectives of the Cove Capital Delaware Statutory Trust strategy.

About Cove Capital Investments
Cove Capital Investments is a DST sponsor company providing accredited investors access to 1031 exchange eligible Delaware Statutory Trust properties as well as other real estate investment offerings. The Cove Capital team consists of Acquisitions, Asset Management, Accounting, In-House Counsel, Investor Relations, Marketing and Capital Markets. Cove Capital maintains a robust current inventory of DST and private equity real estate offerings potentially available to investors. Cove Capital Investments has sponsored and co-sponsored the syndication of more than 1.9 million square feet of 1031 DST and real estate offerings in the multifamily, net lease, industrial and office sectors.

For further information, please visit www.covecapitalinvestments.com or contact Cove Capital at (877) 899-1315 and via email at [email protected].

*Past performance is no guarantee of future results.

* Diversification does not guarantee profits or protect against losses.

*This material does not constitute an offer to sell nor a solicitation of an offer to buy any security. Such offers can be made only by the confidential Private Placement Memorandum (the "Memorandum"). Please read the entire Memorandum paying special attention to the risk section prior to investing. This material contains information that has been obtained from sources believed to be reliable. However, Cove Capital Investments, LLC does not guarantee the accuracy and validity of the information herein. Investors should perform their own investigations before considering any investment. IRC Section 1031, IRC Section 1033 and IRC Section 721 are complex tax codes therefore you should consult your tax or legal professional for details regarding your situation. This material is not intended as tax or legal advice. There are material risks associated with investing in real estate, Delaware Statutory Trust (DST) properties and real estate securities including illiquidity, tenant vacancies, general market conditions and competition, lack of operating history, interest rate risks, the risk of new supply coming to market and softening rental rates, general risks of owning/operating commercial and multifamily properties, short term leases associated with multi-family properties, financing risks, potential adverse tax consequences, general economic risks, development risks and long hold periods. There is a risk of loss of the entire investment principal. Past performance is not a guarantee of future results. Potential cash flow, potential returns and potential appreciation are not guaranteed. For an investor to qualify for any type of investment, there are both financial requirements and suitability requirements that must match specific objectives, goals and risk tolerances. Securities offered through FNEX Capital, member FINRA, SIPC.

SOURCE Cove Capital Investments