Full cycle

Chicagoland Grocery Venture DST Reached Full Cycle With an August 16, 2018 Property Sale

In Top1031's record for Inland Private Capital, 23 offerings had reached Full Cycle before this one.

Published Updated

The property held by Chicagoland Grocery Venture DST was sold on August 16, 2018. The sale closed a Delaware Statutory Trust (DST) offering that Inland Private Capital had put on the record with a Form D filed May 12, 2011.

The offering and its exit

Record

Trust

Chicagoland Grocery Venture DST

Sponsor

Inland Private Capital

First Form D

May 12, 2011

Offering amount

$11,990,000

Minimum investment

$25,000

Asset class as filed

Other Real Estate

Exemption claimed

Rule 506

Exit type

Property sold

Exit date

August 16, 2018

Top1031's record puts the hold at 7.25 years; measured from the Form D date to the sale date the record gives 7.3. This report carries 7.25, the figure the record states for the offering rather than the one the two dates measure.

The record carries no property name or location for this Trust, and the marketing title is the only pointer to what it held.

The property sold for $25.5 million, as reported by the sponsor in the prior-performance section of its IPC Sun Belt Multifamily III private placement memorandum, which puts the total return at 169.08%, as reported by the sponsor in that memorandum. Two further measures of the same result sit beside them:

Figure

Reported

Annualized return

9.25%, as reported by the sponsor in that memorandum

Equity multiple

1.69x, as reported by the sponsor in that memorandum

Top1031 matched this Trust to the memorandum row bearing its name, and records both that match and the figures drawn from it at medium confidence. The memorandum is the only source in the record for those figures; no announcement of the sale by the sponsor is part of the record.

Set against that, the original side of the ledger is thin. The Form D states the offering amount and the minimum investment and nothing about distributions, and the Trust's own private placement memorandum, the document that would set out the distribution terms, is not part of the public filing record. So the sponsor's account of the result can be read, and the terms it is measured against cannot.