The acquisition, structured under Regulation D, Rule 506(c), places the property within a high-traffic retail corridor where the firm aims to capitalize on rents currently sitting approximately 29% below market averages. According to Dwight Kay, founding partner at Cove Capital, the asset is fully occupied by two nationally recognized brands that recently exercised lease renewal options, signaling a long-term commitment to the location.
Cove Capital Targets Shreveport Retail for Latest Debt-Free DST Offering
Cove Capital Investments has acquired a 29,000-square-foot retail asset in Shreveport, Louisiana, for its latest Delaware Statutory Trust offering. The firm seeks to raise $7,068,288 in equity for the Bayou Walk Shopping Center property, which was purchased entirely debt-free to mitigate risk for accredited investors.
Beyond the current lease structure, the firm secured the site at roughly 30% below replacement cost. This pricing strategy aligns with the broader economic momentum in the Shreveport–Bossier region, which is currently drawing billions in capital from projects including Amazon’s data center campuses and G-Unit Film & Television’s entertainment redevelopment. Cove Capital plans to implement targeted property improvements as part of its strategy to maintain the center’s competitive standing and drive long-term value for its 1031 exchange investors.
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