Cove Net Lease Distribution 56 DST
Industrial net lease / distribution facility in Colby, KS — sponsored by Cove Capital Investments
Minimum investment
$1k
Offering size
$15.0M
How much has sold
13.0%
Asset type
Industrial net lease / distribution facility
Location
Colby, KS
Financing
All cash. This offering reports no mortgage debt.
Sponsor-reported, from SEC filings and cited sources.
What is this, in one paragraph?
Cove Net Lease Distribution 56 DST is a Delaware statutory trust — a passive co-ownership vehicle that qualifies for 1031 exchanges — holding a single build-to-suit distribution facility in Colby, Kansas leased to FedEx Ground. Cove Capital Investments sponsored it debt-free, with no mortgage on the property, and announced in February 2023 that the offering was fully subscribed.1
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These links support the historical public record; individual details may come from different sources.
On a 45-day clock? Find day 45 and day 180 from the sale date, then come back to this record.
What exactly is the property?
The Trust holds one asset: a single-tenant distribution building that Cove Capital marketed as a brand-new build-to-suit essential logistics facility. In its February 2023 announcement, the sponsor described the building as fully occupied by a Fortune 500 logistics tenant, without naming that tenant or giving a street address.1 No verified street address for the property appears in the public record.
- Reported location
- Colby, KS
- Property size
- 39168
Who is the tenant, and what's the lease?
Trust records identify FedEx Ground as the occupant under a new 10-year net lease — meaning the tenant, not the trust, carries the property-level operating costs — with two five-year extension options. Cove Capital's own release did not name the tenant, but reported that the essential-business occupant stayed open and kept paying rent throughout the COVID-19 pandemic.1
How did it end?
No ending on record
No public full-cycle announcement, sale press release, or disposition filing was found for Cove Net Lease Distribution 56 DST (CIK 1945230); only the original Form D offering filed in September 2022 and amendments appear on SEC EDGAR.
The all-cash/debt-free offering is a brand-new build-to-suit essential distribution facility in the strategic Colby logistics area, 100% occupied by FedEx Ground under a new 10-year lease with two five-year extension options. No verified street address or exact-property photo URL was found.
39168Supporting evidence
How is it financed, and what does it pay?
Debt-free means exactly that: no mortgage, no lender, no loan maturity, and no refinancing or foreclosure risk at the property level. It also means an exchanger carrying mortgage debt on a relinquished property finds no trust-level debt here to replace it.
- Financing
- All cash. This offering reports no mortgage debt.
Who's behind it?
Cove Capital Investments, LLC is named as the sponsor and promoter in the Trust's Form D filings.2 The firm is among the more prolific 1031 sponsors on record, with a long run of similarly numbered net-lease trusts marketed without mortgage debt. In February 2023 Cove Capital announced this offering fully subscribed with $15,050,260 of equity raised, a close also reported by AltsWire.1
- Sponsor
- Cove Capital Investments
- Legal Trust name
- Cove Net Lease Distribution 56 DST
- May convert to a REIT
- No
- Offerings from this sponsor
- 24 active / 57 total offerings from Cove Capital Investments
Reported by the sponsor. Top1031 does not independently audit sponsor-reported figures.
What does the paperwork say?
The paperwork here is short: an original Form D and a single amendment filed one week later, which raised the reported sales figure. The Trust is offered under Rule 506(c), the exemption that permits public advertising but requires the sponsor to verify each investor's accredited status. No further amendment followed the sponsor's full-subscription announcement.
- First Form D filedThe public offering record begins.
- Latest Form D filedThe most recent sponsor-filed checkpoint in this record.
- Filings on record
- 2
- How it may be offered
- Rule 506(c)May be advertised publicly. Every buyer’s accredited status must be verified.
- Source filing
- Read the filings on SEC EDGAR
A Form D is the notice a sponsor files when it starts raising money. A Form D filing does not mean the SEC approved, endorsed, or verified the offering.
DST interests are illiquid private securities. You may lose some or all of your investment. Distributions, tax treatment, and exit timing are not guaranteed. Review the current Private Placement Memorandum before investing.
Common questions
What happened to Cove Net Lease Distribution 56 DST?
Top1031 lists Cove Net Lease Distribution 56 DST as historical. It is no longer raising money.
Where does Top1031 get the data for Cove Net Lease Distribution 56 DST?
Top1031 builds this record from the sponsor’s own SEC filings and cited sponsor disclosures. Filings can lag what is happening now. A Form D filing does not mean the SEC approved, endorsed, or verified the offering.
Can I still invest in Cove Net Lease Distribution 56 DST?
No. Cove Capital Investments announced in February 2023 that the offering was fully subscribed, meaning the equity was sold and the Trust closed to new investors. Note that no closing amendment was filed with the SEC afterward, so the last Form D on record — from September 2022 — reflects only early sales, not the final result.
Who occupies the building, and how long is the lease?
Trust records identify FedEx Ground as the sole occupant under a new 10-year net lease with two five-year extension options. Cove Capital's own February 2023 press release described the occupant only as a Fortune 500 logistics tenant and did not name it, so the tenant identity comes from Top1031's record rather than a sponsor or SEC document.
What does "debt-free" or all-cash mean for this Trust?
There is no mortgage on the property and no lender in the capital stack. That removes loan maturity, refinancing, and lender-foreclosure risk. It also means an investor whose relinquished property carried mortgage debt gets no replacement debt through this Trust, which matters for the debt-replacement side of a 1031 exchange.
Where exactly is the property?
The public record places it in Colby, Kansas, and Cove Capital's announcement identified the city. Neither the sponsor release nor the SEC filings disclose a street address, and no verified address was found in research as of August 25, 2026.
Has the property been sold or gone full cycle?
No sale, disposition filing, or full-cycle announcement has been found in the public record. The Trust also has no REIT conversion feature — no 721/UPREIT exit, where a trust's property is contributed to a REIT in exchange for operating-partnership units — so any outcome would come through a straight property sale.
Why do the SEC numbers look so much smaller than the amount the sponsor says it raised?
Form D reports are point-in-time snapshots, and this issuer stopped amending after September 20, 2022. Cove Capital later announced $15,050,260 of equity raised at full subscription in February 2023, a figure that never appeared in an updated filing.
Chapter 9Cove Capital Investments Fully Subscribes Its Debt-Free Cove Net Lease Distribution 56 Delaware Statutory Trust Offering in Colby, KSCove Capital announced that it raised $15,050,260 and fully subscribed the debt-free 39,168-square-foot Colby distribution facility offering.