AEI NET LEASE PORTFOLIO VII DST
BIOLIFE • TRACTOR SUPPLY CO. • PETSMART
Total offering: $18,762,000
Minimum investment: $100,000
- Initial distribution rate: 5.14%
- Distribution frequency: Monthly
- Anticipated exit strategy: Liquidate 10 years
- Average remaining lease term: 14 years
AEI Net Lease Portfolio VII DST is a portfolio of three singletenant, net leased properties structured as a Delaware Statutory Trust (DST) suitable for 1031 exchange or direct investment. This offering is designed for accredited investors seeking stable, long-term income and tax deferral through a high-quality, fractional real estate investment.
6310 Source Center Point, Colorado Springs, Colorado
This BioLife property is located adjacent to North Powers Blvd on the eastern side of the city. The Powers corridor is considered one of the most vibrant and fastest growing areas in Colorado Springs and is experiencing rapid development, with many new homes and shopping centers.
Investment Overview
AEI Net Lease Portfolio VII DST is a portfolio of three singletenant, net leased properties structured as a Delaware Statutory Trust (DST) suitable for 1031 exchange or direct investment. This offering is designed for accredited investors seeking stable, long-term income and tax deferral through a high-quality, fractional real estate investment.
AEI is one of America’s most experienced sponsors of commercial property investment programs for both investment and 1031 exchange purposes. During the past 42 years, AEI has sponsored 131 net leased property offerings representing the investment capital of more than 20,000 investors nationwide. Nearly all of AEI’s net lease property offerings have been structured without debt to provide investors with a lower risk investment opportunity. AEI investments are managed by a professional team of real estate, investment, financial, and legal experts. Generally considered to be the first securities firm in America to offer a securitized 1031 exchange solution, AEI offered its first fractional 1031 exchange investment in 1992. AEI was also the first to apply for, and receive, a favorable private letter ruling from the IRS affirming the use of securitized real estate as replacement property in a 1031 exchange.
Investment Strategy
- Debt-free: With no mortgage debt, properties are not subject to the risk of interest rate fluctuations or foreclosure.
- Long Term Net leases: Tenants pay for most or all property expenses, such as: taxes, insurance and maintenance, which helps to create income stability for the property owners.
- Creditworthy tenants: AEI’s leases represent a company-wide obligation of the corporate tenants.
- Rental increases: Rental escalators, when present, can serve to increase income over time.
- Location: Major corporate tenants typically occupy quality commercial locations.
- Diversification: Owning properties in multiple industries and markets can help create a diversified portfolio.
BioLife
About the Tenant:
BioLife Plasma Services is an industry leader for the collection of highquality plasma that is processed into life-saving therapies. The company operates numerous state-of-the-art plasmapheresis facilities throughout the United States and Austria. Baxalta Inc., the guarantor of the lease, is a leading biopharmaceutical company that advances innovative therapies in hematology, immunology, and oncology for the treatment of hemophilia, bleeding disorders, immune deficiencies, alpha-1 antitrypsin deficiency, and other chronic diseases. Baxalta’s global net sales totaled $6.15 Billion in 2015, an increase of 3.3% over 2014. In June of 2016, Baxalta completed a $32 Billion merger with Shire Pharmaceuticals, creating what it calls the global market leader in rare diseases and other specialized disorders.
Location:
Colorado Springs is located in the northwest portion of El Paso County, approximately sixty miles south of Denver. El Paso County is the second most populous county in Colorado. Colorado Springs is home to many major companies including more than thirty Fortune 500 firms.
ABOUT AEI
Founded in 1970, AEI is one of America’s oldest sponsors of net lease real estate investment programs and a leader in the TIC- 1031 exchange industry. AEI is a national source of high quality, commercial real estate for property owners engaged in 1031 tax-deferred property exchanges. AEI has specialized in developing, evaluating and purchasing these types of properties for more than 35 years and offers a portfolio of name-brand, net leased commercial retail properties.
Why come to AEI for your TIC or 1031 properties?
Exceptional service. If this is your first 1031 property exchange or TIC purchase, we make every effort to ensure that you fully understand the transaction. Our experienced professionals are available to assist you at each step.
Stability and quality. AEI offers quality, single tenant properties – freestanding real estate occupied by creditworthy corporate tenants under long-term net leases.
Acquisition expertise. AEI has performed institutional-grade due diligence on every property we own. Acquiring property from AEI can reduce this time-consuming, labor-intensive aspect of your property selection process and provide a higher level of expertise than you may be able to provide yourself.
Post-purchase services. After your property purchase is complete, AEI can provide the following services:
- Accounting and distribution of rental income
- Year-end 1099 forms for tax reporting
- Assisting with any management concerns you may have about your property
- Monitoring lease compliance, tax and insurance payments, and property maintenance by the tenant