Peachtree Group Fully Subscribes $91.5M Industrial DST in Georgia

Peachtree Group has fully subscribed its $91.5 million PG Savannah Industrial DST, completing the capital raise for a debt-free offering anchored by a newly constructed distribution center in coastal Georgia.

Launched in March, the Delaware statutory trust owns an approximately 600,000-square-foot industrial facility in Midway, Georgia. The property serves as a major distribution hub within Hasbro’s U.S. logistics network, supporting deliveries to traditional retailers and direct-to-consumer customers.

The facility accounts for approximately 25% of Hasbro’s domestic distribution footprint, according to Peachtree.

The property is backed by an initial 10-year lease running through May 30, 2036. Hasbro has two five-year extension options at fair market value. The lease provides for annual rent increases of 3.25%, while the tenant is responsible for operating expenses.

Peachtree said Hasbro’s investment-grade credit rating and the contractual rent increases support the property’s income profile. The lack of acquisition debt also eliminates refinancing risk.

“Our focus is on identifying properties with strong real estate fundamentals, predictable income and structures designed to meet the needs of 1031 exchange investors,” said Tim Witt, president of 1031 Exchange and DST Products at Peachtree. “Savannah is a strong example of that strategy.”

Peachtree launched its DST platform in 2022 and has since expanded across property sectors. Its recent offerings include PG Cape Canaveral DST, anchored by a 150-room Holiday Inn Express in Florida, and PG St. Louis Industrial DST, which owns a newly built Class A industrial facility leased to Cummins.

Pictured: 600k-square-foot distribution center in Midway, GA.