The recent offering was acquired through a lender’s REO disposition process at a purchase price below appraised value and the outstanding loan balance, creating an attractive basis for Cove Capital’s 1031 exchange DST investors.
LOS ANGELES, July 24, 2026 /PRNewswire/ — Cove Capital Investments, LLC, a Delaware Statutory Trust sponsor company that operates a portfolio of over 4.3 million square feet of real estate nationwide, has acquired the Cove San Antonio Multifamily 119 DST – a 170-unit multifamily community in San Antonio, Texas. This Regulation D, Rule 506c offering seeks to raise $15,821,820 in equity.
According to Dwight Kay, Managing Member and Co-Founder of Cove Capital, the property was acquired through a lender’s REO disposition process at a purchase price below its appraised value, as well as below the outstanding loan balance, creating an attractive basis relative to replacement cost and recent comparable transactions.
“This multifamily asset aligns well with our investment strategy of acquiring quality assets at an attractive basis in markets with potentially favorable long-term fundamentals. We believe the property’s location, value-add potential, and positioning within one of Texas’ strongest long-term growth markets provide a solid opportunity for long-term value creation potential.”
San Antonio remains one of the nation’s fastest-growing metropolitan areas, supported by a diversified economy spanning advanced manufacturing, data centers, cybersecurity, healthcare, military, logistics, and tourism. Located in northeast San Antonio, the Cove San Antonio Multifamily 119 DST offering is in direct proximity to one of the region’s largest industrial and logistics corridors and continues to benefit from major public and private investment, anchored by Joint Base San Antonio, Brooke Army Medical Center—the Department of Defense’s premier medical facility—and the ongoing expansion of San Antonio International Airport.
“REO acquisitions directly from a lender require extensive due diligence, patience, and the ability to navigate a unique transaction process. Acquiring the property below its appraised value and the outstanding loan balance provided an attractive basis that we believe potentially offers meaningful long-term value to our DST investors,” said Chay Lapin, Managing Member and Founder of Cove Capital Investments.
Cove Capital’s acquisition comes as San Antonio’s multifamily market, like many other growth markets in the US, moves past a period of elevated new construction. With new apartment deliveries expected to decline, continued population and employment growth are expected to support the absorption of existing inventory, creating a potentially favorable environment for well-located multifamily communities.
About Cove Capital Investments
Cove Capital Investments is a Delaware Statutory Trust sponsor company that operates a portfolio of over 3.7 million square feet of real estate nationwide. Over 2,600 investors have trusted Cove Capital with their 1031 exchange and investment dollars, many of them being repeat investors in multiple DST offerings over the years. To sign up for a list of the current Cove Capital debt free DST offerings available for 1031 exchange and direct investments please visit www.covecapitalinvestments.com.
For further information, please visit www.covecapitalinvestments.com or contact Cove Capital at (877) 899-1315 and via email at info@covecapitalinvestments.com.
*Past performance is no guarantee of future results.
*Diversification does not guarantee profits or protect against losses.
* Potential cash flow, potential returns and potential appreciation are not guaranteed.
*This material does not constitute an offer to sell nor a solicitation of an offer to buy any security. Such offers can be made only by the confidential Private Placement Memorandum (the “Memorandum”). Please read the entire Memorandum paying special attention to the risk section prior to investing. This material contains information that has been obtained from sources believed to be reliable. However, Cove Capital Investments, LLC does not guarantee the accuracy and validity of the information herein. Investors should perform their own investigations before considering any investment. IRC Section 1031, IRC Section 1033 and IRC Section 721 are complex tax codes therefore you should consult your tax or legal professional for details regarding your situation. This material is not intended as tax or legal advice. There are material risks associated with investing in real estate, Delaware Statutory Trust (DST) properties and real estate securities including illiquidity, tenant vacancies, general market conditions and competition, lack of operating history, interest rate risks, the risk of new supply coming to market and softening rental rates, general risks of owning/operating commercial properties, short term leases, financing risks, potential adverse tax consequences, general economic risks, development risks and long hold periods. There is a risk of loss of the entire investment principal. Past performance is not a guarantee of future results. For an investor to qualify for any type of investment, there are both financial requirements and suitability requirements that must match specific objectives, goals and risk tolerances. Securities offered through FNEX Capital, member FINRA, SIPC.*
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SOURCE Cove Capital Investments
