Top1031

ExchangeRight Net Leased Portfolio 38 DST

sponsored by ExchangeRight

HistoricalLast Form D, filed Jan 3, 2023, reports the offering fully sold (opens in a new tab)

ExchangeRight Net Leased Portfolio 38 DST, sponsored by ExchangeRight, filed its first Form D with the SEC on Jul 30, 2020 for a $24.9 million offering. Its last Form D, filed Jan 3, 2023, reports the offering fully sold.

How it ended

No outcome recorded · under 7 years

The last Form D, filed Jan 3, 2023, reports the offering fully sold.

ExchangeRight has 11 active offerings on record →

Key facts

Minimum investment
$100,000
From the Form D
Offering size
$24,910,000
Equity offered, per the Form D
Sold
100%
Form D, Jan 3, 2023; the % is our arithmetic
Investors reported
69
Form D, Jan 3, 2023
Selling commissions
$1,619,150 · 6.5% of offering
Form D Item 15; the % is our arithmetic
Financing
Leveraged. This offering reports mortgage debt on the property.
How it is financed ↓
Offered under
Rule 506(b)
General advertising and solicitation are not permitted under this exemption.

Figures come from SEC Form D filings unless a source is cited. Sponsor-stated figures are as reported by the sponsor; Top1031 does not independently audit them. On a 45-day clock? Find day 45 and day 180 →

Using this record to judge the sponsor? A licensed 1031 specialist from our affiliated partner can talk it through with you.

Ask a 1031 specialist about this recordFree. About: ExchangeRight Net Leased Portfolio 38 DST. Top1031 is not a broker-dealer.

What did the Trust own?

ExchangeRight assembled 13 single-tenant, net-leased retail buildings for this portfolio, spread across eight states that include Texas, Mississippi, New Mexico and Wisconsin. 1 The mix is everyday retail and pharmacy: drugstores, dollar stores, a grocery store and farm supply stores. 2 The Trust itself is a Delaware business trust organized in 2020. 3

How was it financed, and what did it cost to sell?

ExchangeRight placed 10-year fixed-rate financing on the portfolio at launch, meaning the interest rate stays level for the loan's term instead of floating with the market. 1 Investors own their beneficial interest subject to that loan.

Debt

Financing
Leveraged. This offering reports mortgage debt on the property.

Costs and terms from the Form D

Selling commissions
$1,619,150 · 6.5% of offering
Finders’ fees
$0
Paid to officers, directors and promoters
$0 · 0.0% of offering
Form D Item 16
Broker-dealers named in the Form D
14 named in the Form D
Show the firms

Individual representatives named in Item 12 are not listed.

Date of first sale
Jul 31, 2020
Minimum investment
$100,000

Form D Item 15 and Item 16 amounts may be the issuer’s estimates; each percentage is Top1031’s arithmetic on two Form D figures. Item 16 can overlap Item 15, so Top1031 does not add them together.

What does the SEC record show?

The record is an initial Form D notice, which reports an exempt private offering, plus a later amendment updating its figures. The issuer reported its first sale on July 31, 2020. 3 The offering went to accredited investors, those meeting SEC income or net worth tests, without public advertising.

Legal Trust name
ExchangeRight Net Leased Portfolio 38 DST
SEC CIK
1819453
First Form D
Jul 30, 2020
Latest Form D
Jan 3, 2023
Filings on record
2
Offered under
Rule 506(b)
General advertising and solicitation are not permitted under this exemption.
Source filing
Read the filings on SEC EDGAR

SEC Form D filings, newest first

FiledFormOffering amountAmount soldInvestors
Form D/A$24,910,000
$24,910,000+$24,910,000
69
EDGAR
Form D$24,910,000
$0
EDGAR

Amounts, investor counts and minimums are as filed with the SEC on Form D. The change lines are Top1031’s arithmetic between consecutive filings; a new Form D notice starts a new count.

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.

Common questions

What happened to ExchangeRight Net Leased Portfolio 38 DST?
ExchangeRight Net Leased Portfolio 38 DST is a Historical offering. The last Form D, filed Jan 3, 2023, reports the offering fully sold.
What does ExchangeRight Net Leased Portfolio 38 DST own?
It was invested in 13 single-tenant, net-leased retail properties located across eight states, including Texas, Mississippi, New Mexico and Wisconsin, according to ExchangeRight's October 1, 2020 release. The buildings are everyday retail: drugstores, dollar stores, a grocery store and farm supply stores.
Who are the tenants?
ExchangeRight's corporate overview dated October 8, 2020 lists two CVS properties, seven Dollar General properties, one Pick 'n Save grocery with a Kroger guaranty, two Tractor Supply Co. properties and one Walgreens. Those are national retail and pharmacy chains, each occupying its building alone.
Is the portfolio financed with debt?
Yes. The Trust is leveraged, and ExchangeRight's October 1, 2020 release says the offering launched with 10-year fixed-rate financing, so the interest rate is set for the loan's term rather than moving with the market.
Why does the sponsor's $54.52 million figure differ from the Form D amount?
The two numbers measure different things.
What kind of entity is this, and how was it offered?
It is a Delaware business trust organized in 2020, per its Form D. The interests were offered privately under Rule 506(b), which permits sales to accredited investors, people who meet SEC income or net worth tests, without general advertising.
What is the lease term on the properties?
ExchangeRight reported a weighted-average lease term of 12.9 years for the portfolio in its October 1, 2020 announcement. That average blends the remaining terms of all 13 leases as of that date.

Sources

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These links support the record as a whole; individual details may come from different sources.

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 offering documents before investing.