ExchangeRight Fully Subscribes $22.9M All-Cash DST Offering 

ExchangeRight has fully subscribed its $22.9 million All-Cash 4 DST offering. The DST features net-leased properties tenanted by Daybreak Market and Fuel, Tractor Supply, and Dollar Tree. The portfolio’s properties span over 39,000 square feet in Florida and North Carolina. 

The portfolio provides monthly distributions beginning at an annualized rate of 5.15%. The offering is a closed and is not accepting new investors. 

The All-Cash 4 DST exit strategy aims to provide accredited investors a tax-deferred cash-out refinance option, along with the potential to complete a 1031 or 721 exchange, cash out, or any combination of these options.  

Pending successful future financing, ExchangeRight anticipates investors may be able to receive part of their initial investment through a tax-deferred cash-out refinance, with a potential 721 exchange of their non-refinanced equity. 

“This offering builds on the demand for passive income-producing, debt-free portfolios, which we identified in 2023 as an opportunity for serving even more investors with historically recession-resilient real estate,” said Joshua Ungerecht, a managing partner at ExchangeRight. 

Earlier this month, the Pasadena-based company announced that its $107 million Net-Leased Portfolio 66 DST was fully subscribed. In August, it announced it fully subscribed both its Net-Leased Portfolio 65 DST, an $82.3 million offering, and its All-Cash 3 DST, a $16.36 million offering.   

ExchangeRight and its affiliates’ vertically integrated platform features more than $6.1 billion in assets under management across more than 1,200 properties, and 25 million square feet throughout 47 states, as of August 31, 2024.