AEI Net Lease Portfolio 6
This is a sample of a Delaware Statutory Trust offering, drawn from a past offering that is already fully subscribed and shown here for illustration. DSTs are illiquid private placements offered under Reg D to accredited investors only. The figures below are sourced from the sponsor’s Private Placement Memorandum. Year-one cash-flow, cap-rate, and DSCR figures are projections, not guarantees. Loss of principal is possible.
About this offering
AEI Net Lease Portfolio 6 is an all-cash investment in 5 single-tenant retail properties leased to 4 different companies and located in 3 different states. Each property has either a double-net or triple-net lease.
Key metrics
- Year 1 Cash Flow
- 5.00%
- Year 1 Cap Rate
- 5.34%
- Investor Purchase Price
- $21.96M
- Year 1 DSCR
- —
- Hold Period DSCR
- —
Debt structure
- Loan Amount
- —
- Lender
- —
- Program
- —
- Interest Rate
- —
- LTV
- 0.00%
- Term
- —
- Interest Only
- —
- Amortization
- —
Specifications
- Occupancy
- 100.00%
- Strategy
- Four of the five properties were built in 2015, making them less likely to need near-term upgrades or capital expenditures.
Market analysis
- Population
- 100,585 average within a 5-mile radius
- Growth Rate
- 1.45% projected population growth
Principal risks
- R01Three of these properties have a double-net lease, which leaves the trust responsible for part of the regular maintenance.
- R02Fresenius Medical Care, Tractor Supply Company, and PetSmart are not investment-grade tenants.
- R03The properties are leased 100% to single tenants, which makes performance reliant on each tenant.
- R04There is no master lease in place, which could create difficulties if a tenant leaves.
Property imagery
AEI
According to the sponsor's website: "Founded in 1970, AEI brings more than 40 years of professional expertise to the management of its net lease property investment funds. AEI Funds are created for investors seeking the opportunity for stable income, low volatility, reduced risk, and capital appreciation. For investors who wish to own entire properties, AEI offers a large portfolio of attractive net leased, income-producing real estate from which to choose. Net leased properties are especially suitable for tax-advantaged 1031 exchanges. AEI began offering tenant-in-common (TIC) interests for IRS 1031 tax-deferred exchanges in 1992 and was the first investment firm in America to obtain a favorable IRS private letter ruling with respect to its TIC offerings."
Explore current offerings like AEI Net Lease Portfolio 6
This offering is fully subscribed and shown for illustration. A coordinator can introduce current offerings with a similar profile to accredited investors.