ExchangeRight Fully Subscribes $98 Million Net-Leased Portfolio Designed for Recession Resilience

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Jul 27, 2023, 09:00 ET

PASADENA, Calif., July 27, 2023 /PRNewswire/ -- ExchangeRight, one of the nation's leading providers of diversified real estate DST and REIT investments, has announced that it has fully subscribed its Net-Leased Portfolio 59 DST, a $98,345,000 offering totaling 261,644 square feet and net-leased to grocery, pharmacy, medical, and other necessity-based national tenants operating essential businesses. The portfolio has been structured to provide investors with monthly distributions starting at an annualized rate of 4.80%.

PASADENA, Calif. - Tenants of ExchangeRight's fully subscribed Net-Leased Portfolio 59 DST, a $98,345,000 offering totaling 261,644 square feet and net-leased to grocery, pharmacy, medical, and other necessity-based national tenants operating essential businesses (Thursday, July 27, 2023).

The offering contains 15 properties in 15 markets diversified across 11 states and seven historically recession-resilient tenants, including: Mariano's, Walgreens, CVS Pharmacy, Dollar General, Dollar Tree, Tractor Supply, and Fresenius Medical Care. Net-Leased Portfolio 59 ("NLP 59") was launched with a weighted-average lease term of 11.4 years and a 36.61% loan-to-value utilizing 5-year non-recourse interest-only financing.

Warren Thomas, a managing partner at ExchangeRight, explained that NLP 59 is designed to focus on tenants and industries that have been historically resistant to economic downturns and have the potential to provide steady monthly distributions no matter the economic environment.

"Now is the time when investors need stable, passive income," Thomas said. "We created NLP 59 using our consistent investment strategy that has historically delivered its projected cash flow returns month after month without delay, even through times of unprecedented economic volatility. We developed this investment focus because we are passionate about empowering people to be secure, free, and generous. This offering was another chance for us to provide investors with the potential for the steady cash flow and capital preservation they are seeking while strategically positioning them for an aggregated exit that we believe could provide enhanced long-term value."

About ExchangeRight

ExchangeRight and its affiliates' vertically integrated platform features more than $5.6 billion in assets under management that are diversified across over 1,200 properties, and 22 million square feet throughout 47 states. 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 structures and manages net-leased portfolios of assets backed primarily by investment-grade corporations that successfully operate in the necessity-based retail and healthcare industries, as well as diversified value-add portfolios of inline and outparcel retail properties shadow-anchored by strong-performing grocery tenants. Past performance does not guarantee future results. Please visit www.exchangeright.com for more information.

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SOURCE ExchangeRight