Cove Capital Investments, LLC Fully Subscribes Debt-Free Ponder Small Bay Industrial 101 DST Offering

LOS ANGELES--(BUSINESS WIRE)--Cove Capital Investments, LLC announced its Cove Ponder Small Bay Industrial 101 DST, a Regulation D Rule 506(c) offering, is fully subscribed after raising $18,695,430 in equity from investors.

The offering was structured as an all-cash, debt-free DST designed to provide accredited investors with a value-add industrial investment in one of the nation's most dynamic growth corridors.

"We are grateful to our investors and selling group members for their continued confidence," said Dwight Kay, Managing Member and Founding Partner. "Over 2,600 investors have now chosen to invest with Cove Capital."

Strategic Asset in Dallas-Fort Worth Corridor

The property consists of a 19-building, multi-tenant flex and small bay industrial park in Ponder, Texas, minutes from the Dallas-Fort Worth Metroplex. The asset is 100% occupied with a diverse tenant base and offers immediate access to US Highway 380 and Interstate 35 West, near Texas Motor Speedway and Alliance Airport.

Kay noted the property was acquired below replacement cost with value-add potential, including capturing mark-to-market rents and converting gross leases to NNN structures. Small bay industrial assets accommodate diverse tenants, from small businesses to contractors and office users.

Key Highlights

• Property Type: 19-building multi-tenant industrial park
• Location: Ponder, TX – Dallas-Fort Worth Metroplex
• Occupancy: 100% leased
• Loan-to-Value: 0% (debt-free)
• Sponsor Co-Investment: Cove Capital principals invested alongside investors

Debt-Free Structure

Chay Lapin, Managing Member and Founding Partner, stated: "Our debt-free philosophy resonates with investors seeking capital preservation and income stability. By removing long-term debt, we eliminate refinancing exposure and interest rate sensitivity."

Fully Optional 721 Exchange Exit

The offering provides a fully optional 721 Exchange exit strategy, unlike forced UPREIT roll-ups. Investors retain discretion to participate in any future UPREIT or not, with the ability to evaluate REIT debt levels, dividend coverage, use of floating rate debt, and Tax Protection Agreements.

"This optionality ensures our investors are never forced into a 721 UPREIT," said Lapin.

About Cove Capital Investments

Cove Capital operates over 3.7 million square feet across 129 assets nationwide. Over 2,600 investors have trusted Cove Capital with their 1031 exchange dollars. Most Cove Capital DST offerings are debt-free, featuring no mortgage and no lender foreclosure risk. For more information, visit www.covecapitalinvestments.com.

Past performance does not guarantee future results. This does not constitute an offer to sell securities. Offers can only be made by the Private Placement Memorandum. Investing in DST properties involves material risks, including loss of entire principal. Securities offered through FNEX Capital, member FINRA, SIPC.