A single-tenant net lease is a commercial property leased to one tenant who agrees to pay most or all of the operating costs—such as taxes, insurance and maintenance—on top of rent. For investors, it offers steady, low-management income similar to owning a single long-term rental where the tenant handles upkeep, but value hinges on the tenant’s financial strength and the lease length, so a vacancy or tenant default can greatly affect returns.
delaware statutory trustregulatory
A Delaware statutory trust is a legal structure created under Delaware law that holds assets—often real estate or income-producing property—and issues shares of ownership to investors. It separates the assets and liabilities of the trust from individual investors, like a shared landlord that collects rent and pays expenses, and matters to investors because it can simplify ownership, limit personal liability, and make it easier to receive steady income or trade ownership stakes without managing properties directly.
dstregulatory
A Delaware Statutory Trust (DST) is a legal structure that lets multiple investors own fractional interests in income-producing real estate managed by a trustee, similar to co-owning a rental property without handling day-to-day tasks. It matters to investors because it offers a way to diversify into commercial real estate, collect rental income, and potentially defer capital gains taxes through certain tax-advantaged exchanges, while leaving property management to professionals.
1031 exchangeregulatory
A 1031 exchange is a U.S. tax rule that lets an investor swap one investment property for another similar property and delay paying capital gains tax on the sale. Think of it like trading one house for another without cashing out: by postponing the tax bill, investors can keep more money working in real estate, which affects cash flow, reinvestment decisions, and long‑term returns.
absolute triple-net (nnn)financial
An absolute triple-net (NNN) lease is a rental agreement where the tenant is responsible for nearly all property expenses—rent, taxes, insurance, maintenance and repairs—leaving the landlord with minimal obligations. For investors, it’s like owning a vending machine where someone else stocks, cleans and fixes it: the arrangement delivers steady, predictable income and lower management risk, but also shifts long-term cost and responsibility risks to the tenant.
net leasefinancial
A net lease is a real estate lease in which the tenant pays some or all property expenses—such as taxes, insurance and maintenance—in addition to base rent, so the landlord receives a steadier stream of income with fewer variable costs. For investors, net leases can behave like a bond: they offer predictable, long-term cash flow and lower property-management risk, but the investor still faces vacancy, credit and market-value risks.
weighted average remaining lease termfinancial
Weighted average remaining lease term is the average length of time until current leases expire, where each lease’s remaining time is counted in proportion to its contribution to the property’s income (usually rent). Investors use it as a measure of how long rental income is likely to be stable and how soon properties will need new tenants or rent resets; think of it as the average remaining commitment in a group of contracts, weighted by their economic importance.
accredited investorsfinancial
Accredited investors are individuals or entities considered to have enough financial knowledge and resources to understand and handle more complex and risky investments. They are often allowed to participate in private investment opportunities that are not available to the general public, similar to how experienced players might access exclusive clubs or events. This status helps ensure that investors can manage potential risks and rewards appropriately.
Diversified portfolio of Pinnacle Bank, CVS Pharmacy, and NAPA Auto Parts properties expands ARCTRUST's net lease platform for 1031 exchange investors
NEW YORK--(BUSINESS WIRE)--
ARCTRUST Private Capital, the capital markets division of the ARCTRUST Group of Companies, announced today the acquisition of a seven property, single-tenant net lease portfolio comprised of two Pinnacle Bank locations, three CVS Pharmacy locations, and two NAPA Auto Parts locations across six states. The portfolio will be offered to accredited investors as a Delaware statutory trust (DST): ARCTRUST Exchange II DST.
The seven property portfolio consists of approximately 51,192 net rentable square feet across a combined land area of around 7.75 acres in North Carolina, Alabama, Kentucky, Michigan, Tennessee, and Virginia. The portfolio features a weighted average remaining lease term of roughly 13.6 years, with contractual rent increases and renewal options across all assets. Each property is leased on an absolute triple-net (NNN) basis, with the tenants responsible for taxes, insurance, and maintenance of all buildings and grounds.
“This portfolio reflects ARCTRUST's continued focus on acquiring essential, service-oriented real estate leased to creditworthy tenants under long-term net leases,” said Chris Wadelin, CEO of ARCTRUST Private Capital. “Combining national retail pharmacy, automotive aftermarket, and established community banking locations across six states gives investors a level of tenant and geographic diversification that we believe may align well with the needs of 1031 exchange investors seeking durable income and capital preservation.”
Pinnacle Bank is a wholly owned subsidiary of Pinnacle Financial Partners, Inc. (NASDAQ: PNFP), a Nashville headquartered financial holding company providing banking, investment, trust, mortgage, and insurance products across several southeastern states. The two Pinnacle Bank properties are located in Lebanon, Tennessee, in the Nashville MSA, and Roanoke, Virginia.
CVS Pharmacy is a national retail pharmacy operator with approximately 9,000 locations across the United States and is a subsidiary of CVS Health Corporation (NYSE: CVS), a Fortune 10 diversified health solutions company. The three CVS Pharmacy properties are located in Black Mountain, North Carolina (in the Asheville MSA); Gadsden, Alabama; and Paducah, Kentucky.
NAPA Auto Parts is one of the most recognized brands in the automotive aftermarket, with more than 6,000 NAPA-branded stores across North America. The two NAPA properties are leased to Motor Parts & Equipment Corporation, a subsidiary of Genuine Parts Company (NYSE: GPC), a global distributor of automotive and industrial replacement parts founded in 1928 and operating more than 10,800 locations in 17 countries. The NAPA properties are located in Charlotte, Michigan and Niles, Michigan.
Overall, the portfolio is diversified across three resilient industries including retail pharmacy, automotive aftermarket, and community banking, and six states, with each asset situated in an established suburban corridor with strong local demographics and a long-standing tenant presence.
About ARCTRUST Private Capital
ARCTRUST Private Capital (APC) is the capital markets division of the ARCTRUST Group of Companies (ARCTRUST), a vertically integrated real estate organization with more than 500 projects valued at over $5 billion across four decades. APC offers a diverse platform of real estate investment solutions including REITs, Regulation D offerings, Delaware statutory trusts, preferred equity and debt products, and access to private sidecar and property-specific joint ventures. Guided by a disciplined investment philosophy of buying when it's cheaper to buy and building when it's cheaper to build, ARCTRUST focuses on essential assets with strong intrinsic value across diverse property types to create long-term investor value. To learn more, visit www.arctrustprivatecapital.com.
This communication is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy securities. Offers are made solely through the Private Placement Memorandum (PPM), which must be reviewed in its entirety before investing. This offering is made pursuant to Rule 506(c) of Regulation D and is available only to accredited investors as defined by the U.S. Securities and Exchange Commission. Investments in real estate and DSTs involve significant risks, including but not limited to illiquidity, loss of capital, and lack of diversification. The matters discussed in this release may contain forward-looking statements based on current expectations and assumptions. These statements are subject to risks, uncertainties, and other factors that may cause actual results to differ materially. Past performance is not indicative of future results. Securities are offered through Chauner Securities, Inc., member of FINRA/SIPC.
