ExchangeRight’s Essential Income 7 DST Fully Subscribed at $38.95 Million

ExchangeRight has fully subscribed Essential Income 7 DST, a $38.95 million portfolio of five net-leased properties, the Southern California-based sponsor said.

Closed to new investors, Essential Income 7 DST is the seventh Delaware statutory trust in ExchangeRight’s Essential Income DST series, which is structured to give investors access to the company’s Essential Income REIT through a Section 721 exchange after a targeted two-year hold. The unleveraged offering carries a 20-year master lease guarantee from the real estate investment trust and its operating partnership and provides a current cash flow rate of 5.5%, according to ExchangeRight.

The portfolio consists of five properties totaling 147,862 square feet across Massachusetts, Michigan, Missouri, Georgia, and Texas, leased to BioLife Plasma Services, Hobby Lobby, and Tractor Supply Company.

“The rapid subscription of Essential Income 7 DST is representative of the sustained and growing demand for our Essential Income DST series, which features offerings structured to provide investors a clearly defined path to the Essential Income REIT through a tax-deferred 721 exchange,” said Joshua Ungerecht, a managing partner at ExchangeRight. “Investors are increasingly drawn to this opportunity for a tax-deferred fast-track into the enhanced diversification, liquidity potential, and estate planning benefits available with the Essential Income REIT.”

The close extends a pattern AltsWire has tracked since the series launched: ExchangeRight’s full subscription of the inaugural Essential Income 1 DST, a $25.21 million, 13-property portfolio, in May 2025; and Essential Income 5 DST’s full subscription in February 2026, when the $38.1 million, seven-property offering closed roughly eight months after its August 2025 launch. The company has continued the cadence since, subscribing Essential Income 6 DST, a $42.46 million, five-property portfolio, in May.

As of March 31, the Essential Income REIT held 397 properties across 37 states, with net leases to approximately 40 tenants the company describes as recession-resilient and primarily investment-grade.

ExchangeRight’s platform held more than $7.4 billion in assets under management across more than 1,400 properties and 28 million square feet in 47 states as of May 31, according to the company.

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