Cove Capital Acquires Wichita Retail Center for New $12.9M DST Offering
Cove Capital Investments has completed the acquisition of Saddle Creek Crossing in Wichita, Kansas, anchoring its new Cove Kansas Retail DST 109 offering; a debt-free vehicle targeting a $12,951,877 equity raise under Regulation D, Rule 506(c).
“This retail center is compelling for a number of reasons. First, with average in-place rents at just $7.71 per square foot while market rents range from $12 to $16 per square foot, we believe there is a meaningful opportunity to add value by potentially capturing mark-to-market rent increases as leases roll,” said Dwight Kay, managing member and founder of Cove Capital Investments. “Second, the property is currently 96.37% occupied in a market where retail vacancy sits at approximately 3.0%, creating a strong supply-demand dynamic.”
Cove Capital acquired the asset at approximately $93 per square foot — a basis meaningfully below estimated replacement cost of $180 to $200 per square foot and recent comparable transactions in the region trading closer to $114 per square foot, according to the firm.
The value-add strategy includes renewing approximately 11,168 square feet of leases over the next two to three years, monetizing approximately 4,000 square feet of warehouse space, and evaluating yard storage income from a 37,000 square foot vacant land parcel.
Chay Lapin, managing member and founder of Cove Capital Investments, said the offering also includes a fully optional 721 UPREIT exit structure. “Unlike many sponsors with forced 721 UPREITs, Cove Capital provides investors with full optionality,” Lapin said. “This full optionality is a key differentiator in today’s marketplace of DST and 721 UPREIT vehicles.”
The launch follows the closing of Cove Texas Build-to-Rent 97 DST at $27,223,181 in equity and the full subscription of two prior offerings. Cove Capital manages a portfolio of over 3.7 million square feet across 129 properties nationwide.
Pictured: Saddle Creek Crossing in Wichita, KS.
From Opportunity Zones to Olympic Growth: What’s Actually Getting Built in LA
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The next chapter of LA development is taking shape, from adaptive reuse and mixed-use projects to Olympic-driven investment and OZ strategy beyond 2027. On May 28 hear from Uncommon Development, CityView, Wonderful Real Estate, HUD, OLOS Impact and more on what’s actually moving forward across the city. Join the room where those conversations are happening: Connect Los Angeles 2026
