ERP 1031 Fully Subscribes $36.15M Permian Basin DST

ERP 1031 has fully subscribed its fourth Delaware statutory trust offering, raising $36.15 million in equity from accredited investors for net-lease industrial properties serving the Permian Basin’s energy industry.

The closing of ERP 1031 Industrial Portfolio IV DST brings the Midland, Texas-based firm’s transaction volume in the DST market to approximately $227 million in debt and equity since entering the space in 2022.

The offering comprises four single-tenant, triple-net-lease industrial properties that ERP acquired for $44 million. The portfolio was fully occupied as of Jan. 1 and carried an initial loan-to-value ratio of approximately 29.5% based on its purchase price, according to offering information.

ERP’s combined Permian Basin industrial footprint now encompasses 77 properties totaling more than 1.5 million square feet across 492 acres. Buildings cover about 7% of the land, leaving tenants room to expand operations.

“When a tenant steps into one of our properties, we want them to feel like they’ve already won and that, whatever their future growth needs, they never have to leave the ERP portfolio,” founder and President William A. Meyer II said.

ERP concentrates on what it calls Tier 1 logistics locations supporting oil and gas businesses. The Permian Basin, which spans West Texas and southeastern New Mexico, is expected to produce about 6.6 million barrels of oil per day in 2026, according to the U.S. Energy Information Administration.