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ExchangeRight Announces Bonus Distribution for Essential Income REIT

In a recent development, ExchangeRight, a prominent player in the diversified real estate investment space, has executed its first bonus distribution for investors in the Class ER shares of the Essential Income REIT. This distribution enhances the total return for the investors in their first year to an impressive 9.58%.

The bonus distribution amounts to a substantial 3.58% on their invested capital and has been made possible through the collection of DST fees from the REIT’s successful real estate acquisitions. This comes at a crucial time as the REIT completes the acquisition of ExchangeRight's Net-Leased Portfolio, strengthening its market presence.

Performance Highlights

The Essential Income REIT maintains a robust portfolio valued at around $1.3 billion, significantly allocated towards properties leased to historically stable and recession-resilient tenants. The existing annualized return for Class ER shares stands at 6.00%, reinforcing the attractiveness of this investment option. Notably, with the added bonus distribution, investors will see a total rate that is not only competitive but also well-structured in a tax-efficient manner.

ExchangeRight's management team has expressed enthusiasm about sharing the benefits of the unique fee participation structure with investors. As Joshua Ungerecht, managing partner at ExchangeRight, remarked, "We are excited to begin distributing the advantages of the distinctive fee participation structure of our Class ER Shares. This not only rewards investors with immediate returns but also positions them favorably for future growth."

Future Growth Opportunities

Investors holding Class ER shares are poised to participate in additional potential growth opportunities that may arise from properties acquired through this structure. The REIT's recently purchased assets are expected to contribute positively to its overall Net Asset Value and improve its Adjusted Funds From Operations dividend coverage ratio. This strategic advantage could translate into increased returns for all Class ER investors over time.

However, it’s crucial to mention that investment returns are inherently uncertain and are not guaranteed to meet specific objectives. Past performance does not serve as an assurance of future results; investors must conduct due diligence. The offering is exclusively available to accredited investors who are encouraged to seek advice from tax or legal professionals to ascertain how the investment could affect their financial situations.

About ExchangeRight

With a total of $6.3 billion in assets under management and a diversely sourced portfolio spread over 1,300 properties across 47 states, ExchangeRight seeks to empower individuals through viable, secure investment opportunities. The company continues to focus on delivering consistent investment performance, having historically surpassed return targets since its inception. ExchangeRight primarily specializes in creating REITs, funds, and 1031 DST portfolios that cater to investors looking for secure capital and stable income.

The commitment to transparency and performance continues to make ExchangeRight a leading name in the real estate investment sector. For more details about their strategies and offerings, visit ExchangeRight.