Cove Capital Fully Subscribes $9.3M Fort Worth Small Bay Industrial DST
Cove Capital Investments has fully subscribed its Cove Fort Worth Small Bay Industrial 96 DST, raising approximately $9.3 million in investor equity to acquire an industrial property in Texas.
The offering raised $9,267,538 and reflects the firm’s continued strategy of acquiring industrial real estate with strong demographic and economic fundamentals while maintaining its debt-free investment approach.
“The Fort Worth Small Bay Industrial 96 DST represents another opportunity to provide investors with a thoughtfully structured, debt-free industrial DST investment in a market benefiting from exceptional population growth, business expansion and long-term demand for flexible industrial space,” said Dwight Kay, managing member and founding partner of Cove Capital Investments.
The DST owns a 53,300-square-foot, four-building flex industrial park in Fort Worth, Texas, leased to a diversified group of industrial tenants. Cove said its business plan focuses on creating long-term value through strategic lease renewals, extending tenant occupancy and capturing future rental rate growth as existing leases expire. The property also offers potential for industrial outdoor storage (IOS), providing an additional avenue for future value creation.
“Small bay industrial properties continue to experience strong tenant demand due to their versatility and ability to serve a wide variety of local and regional businesses,” Kay said.
Managing Member and Founding Partner Chay Lapin said Cove’s debt-free structure eliminates refinancing, foreclosure and interest-rate risks while preserving investor flexibility regarding any future 721 UPREIT transaction.
The closing follows the successful subscription of several recent Cove offerings, including the $27.2 million Cove Texas Build-to-Rent 97 DST, the $27.7 million Cove Diversified Portfolio 88 DST, and the $12.1 million Cove Essential Net Lease Industrial 114 DST, as the firm continues expanding its industrial and essential net lease investment platform.
Los Angeles-based Cove Capital Investments operates a portfolio of more than 4.2 million square feet of commercial real estate across approximately 137 properties.
Pictured: Small Bay Industrial in Fort Worth, TX.
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