Bluerock Value Exchange Completes $71 Million Industrial Portfolio Subscription

In an impressive display of market confidence, Bluerock Value Exchange (BVEX) has announced the complete subscription of its BR Diversified Industrial Portfolio 6 (DIP 6), successfully raising $71 million in equity from a diverse pool of individual investors. This $71 million investment marks a significant addition to BVEX's extensive history as a leading national sponsor of 1031 exchange and Delaware Statutory Trust (DST) investment programs, which spans over two decades.

Josh Hoffman, President of Bluerock Value Exchange, expressed his satisfaction with the completion of this sixth diversified industrial portfolio DST, stating, "We are pleased with the successful completion of our sixth diversified industrial portfolio DST representing more than $340 million in tax-deferred 1031 exchange investments." Hoffman further elaborated on the promising outlook for the industrial sector, noting the potential for strong net operating income (NOI) backed by long-term trends in manufacturing and distribution. He emphasized that these diversified portfolios are instrumental in helping investors safeguard their capital while also generating stable income and securing attractive risk-adjusted returns over a moderate holding period.

The unlevered (all-cash) DST offering is particularly notable for its broad reach across three states—Florida, North Carolina, and South Carolina—comprising four strategically selected industrial properties. Together, these properties offer approximately 500,000 square feet of vital manufacturing, warehouse, and distribution spaces, all of which are fully leased to an array of investment-grade and credit-rated tenants, both publicly traded and privately held. These tenants are secured under long-term triple net leases, offering promising financial stability and reduced risk for investors.

DIP 6 is strategically designed to deliver consistent monthly cash flow through the aforementioned long-term leases, along with the potential for capital appreciation thanks to the high demand for quality industrial assets. Notably, current rents for these properties are approximately 21% below prevailing market rates on average, indicating significant upside potential for rent and NOI growth in the future.

Moreover, the DST structure presents investors with a variety of exit strategies, including options such as a potential 721 exchange (UPREIT), a subsequent 1031 exchange, or a cash-out alternative, thereby adding an additional layer of flexibility and attractiveness to this investment opportunity.

About Bluerock Value Exchange

With a remarkable 20-year history in the real estate sector, Bluerock Value Exchange stands as a national leader in syndicating 1031 exchange offerings. The firm is committed to targeting Premier Exchange Properties™, which are specifically selected for their ability to provide stable cash flows paired with significant value creation potential. To date, Bluerock has successfully structured over $3 billion in 1031 exchanges, encompassing a vast total property value and an impressive portfolio size of over 15.7 million square feet.

About Bluerock

Bluerock operates as a prominent institutional alternative asset manager, with a robust portfolio exceeding $20 billion in acquired and managed assets. Headquartered in Manhattan, the firm boasts regional offices strategically positioned across the United States. Bluerock’s leadership team brings a wealth of expertise, holding a collective 100+ years of investment experience and overseeing more than $120 billion in real estate and capital markets endeavors. Their successful track record includes the origination and promotion of various leading private and public company platforms. For additional insights into their investment opportunities, visit bluerockexchange.com and bluerock.com.