Cove Capital Investments has completed the purchase of a newly constructed industrial distribution warehouse in Frankfort, N.Y.
The purchase is for the firm’s Net Lease Distribution 64 DST, a Regulation D, Rule 506(c) offering that is targeting to raise $13.2 million.
According to Dwight Kay, managing member and founding partner of Cove Capital Investments, the 61,000-square-foot warehouse was purchased by Cove Capital to contribute to its growing portfolio of debt-free real estate assets for 1031 exchange and direct cash investors.
Like many of Cove Capital’s real estate acquisitions, the Cove Net Lease Distribution 64 DST was acquired with 0 percent leverage for those investors who want to potentially mitigate risk by investing in a debt-free offering with no risk of lender foreclosure or lender cash flow sweeps.
“The tenant signed a 10-year net lease allowing a potential hedge against inflation,” said Chay Lapin, Cove Capital’s managing memb
