PG Savannah Industrial is a debt-free DST holding a 594,552 SF Class A bulk distribution warehouse in Midway, GA, within the Port of Savannah / I-95 logistics corridor, featuring 40-foot clear heights and 58 dock doors. The asset is 100% net-leased to Hasbro (BBB/Baa2) under a new ~10-year NNN lease expiring May 2036 with 3.25% fixed annual escalations and tenant-reimbursed taxes, insurance, and management. It is held through a leasehold/bond-lease arrangement delivering a full ad valorem abatement through Year 8, supporting durable, contractually escalating investment-grade net-lease income.
40 acres within the Hinesville MSA, positioned in the Port of Savannah / I-95 Eastern Seaboard logistics corridor. The building offers 40-foot clear heights, ~5,849 SF of office, four drive-in doors, 58 dock-high loading doors and 66 dock knockouts. The asset is 100% net-leased to Hasbro, Inc.
34 PSF over the initial term) and two five-year fair-market renewal options; real estate taxes, insurance, and management are tenant-reimbursed, leaving the Trust's landlord obligations limited largely to structure. The Property is held debt-free through a leasehold/bond-lease arrangement with the Liberty County Industrial Authority that delivers a full ad valorem abatement (Years 1-8, partial Year 9). The thesis is durable, contractually escalating investment-grade net-lease income from a modern port-logistics distribution box over a 10-year hold.
The properties are held free and clear with no mortgage, eliminating refinancing, maturity, rate-cap, and lender-foreclosure risk and removing the equal-or-greater-debt replacement requirement for 1031 investors. The structural trade-off is the absence of positive leverage.
The asset is anchored by investment-grade single-tenant credit. Hasbro, Inc. carries S&P BBB and Moody's Baa2 ratings and uses the facility for national distribution behind an iconic brand portfolio (Monopoly, Nerf, Play-Doh). The corporate-backed lease supplies predictable, ratings-supported income with minimal operational burden on the Trust, anchoring the rent roll in rated corporate credit rather than operating cash flow.
The site sits in one of the most strategically relevant logistics submarkets in the Southeast. Proximity to the Port of Savannah—among the fastest-growing U.S. container ports—and direct I-95 Eastern Seaboard access support tenant demand for modern bulk distribution. The building's functional specifications (40-foot clear height, 58 dock doors plus 66 knockouts, deep truck courts) align with current big-box logistics requirements and underpin re-leasing economics in a port-driven absorption market.
Contractual income growth is above the net-lease norm. The lease embeds 3.25% fixed annual escalators—exceeding the 2.0%-2.5% typical of comparable single-tenant NNN structures—compounding base rent from $7.75 to $10.34 PSF across the initial term. Because taxes, insurance, and management are reimbursed by the tenant, the escalator flows to the Trust with limited expense leakage, providing a measure of inflation defense over the hold.
The debt-free capital structure removes financing risk in its entirety. With no mortgage encumbering the Property, the offering carries no refinance, maturity, rate-cap, or foreclosure exposure, and it eliminates the equal-or-greater-debt replacement requirement for 1031 investors seeking to avoid boot. The structural trade-off is the absence of positive financial leverage, which mechanically caps levered return and is the primary reason the going-in distribution sits in the 5% range.
A bond-lease abatement enhances near-term net economics. Legal title is held by the Liberty County Industrial Authority, with the Trust owning a leasehold and a taxable revenue bond; the structure delivers a full real estate tax exemption through Year 8 (partial in Year 9), and the Trust holds an option—becoming an obligation at bond maturity (March 1, 2034)—to acquire the fee for a nominal amount. The abatement improves the tenant's total occupancy cost and supports leasing competitiveness during the primary term.
The offering combines investment-grade net-lease credit with a defensive, unlevered balance sheet. Hasbro (BBB/Baa2) occupies a modern, functionally competitive bulk-distribution asset on a long-dated NNN lease with above-market 3.25% annual escalators and tenant-reimbursed taxes, insurance, and management, limiting the Trust's responsibilities largely to structure. Positioning within the Port of Savannah logistics corridor supports re-leasing fundamentals, the bond-lease abatement enhances interim economics, and the debt-free structure removes refinance, maturity, and rate-cap exposure while offering a clean basis for 1031 capital. The Sponsor operates a sizeable platform (~$4.7B net asset value, $15B+ cost basis), and the escalating rent schedule produces a rising distribution from 5.00% to 5.86% over the projected hold.
Income is fully concentrated in a single tenant: a going-dark or default by Hasbro eliminates cash flow entirely, with no diversification cushion. The lease grants a one-time early termination option effective at the end of Lease Year 8 (~2034) for a fee projected at $7,689,759 (six months of base rent plus unamortized leasing commissions and tenant improvements), truncating the income stream roughly two years before the projected 10-year disposition and forcing a potential re-lease or sale into a short-WALT posture—the marketed schedule assumes the option is not exercised. The Trust owns a leasehold subject to the Liberty County Industrial Authority bond maturing March 1, 2034, and the ad valorem abatement phases out (partial Year 9, full taxes Year 10), with conversion to fee carrying transfer-tax and execution complexity. The two renewal options reset to fair market rental value rather than fixed escalators, introducing mark-to-market risk if Hasbro extends at a soft point in the cycle. The Sponsor is a hospitality-focused manager for which single-tenant industrial net lease is adjacent rather than core, and principal/corporate guaranties run to the bridge capital provider rather than to investors. Finally, the Hinesville MSA is among the most defense-dependent metros nationally (Fort Stewart), so backfill demand depends on regional Savannah-port logistics absorption rather than a deep local industrial tenant base.
The analysis below is Baker 1031's educational opinion — not investment, tax, or legal advice, a recommendation, or a guarantee, and it does not replace the offering's Private Placement Memorandum (PPM), which governs in all respects. Read the PPM and consult your own CPA and attorney before investing.
The offering reads as a defensive, income-oriented net-lease DST with bond-like, contractually escalating cash flow and a debt-free balance sheet that strips out financing risk. The risk-adjusted profile is strong on credit (BBB/Baa2) and structure but concentrated on a single tenant whose Year-8 break option is the dominant underwriting variable: feasibility of the 5.00% to 5.86% schedule hinges on Hasbro not exercising early termination and on residual pricing at a 2034-2036 exit, when the lease will be short-dated and the abatement will have rolled off. The Savannah port-logistics tailwind and modern building specifications support re-leasing economics, while the hospitality-centric sponsor and leasehold/bond-lease mechanics add execution nuance not present in a fee-simple, fixed-escalator structure. The unlevered 5.35% average yield reflects both the absence of positive leverage and the ~14.5% premium of offering size to the $78,250,000 property purchase price.
The analysis below is Baker 1031's educational opinion — not investment, tax, or legal advice, a recommendation, or a guarantee, and it does not replace the offering's Private Placement Memorandum (PPM), which governs in all respects. Read the PPM and consult your own CPA and attorney before investing.
| Metric | This Offering | Market Avg. | Assessment |
|---|---|---|---|
| Avg. Income | 5.35% | 5.39% | Meets Average |
| Income Growth | 17.20% | 13.50% | Above Average |
| Peak Income | 5.86% | 5.84% | Meets Average |
Peachtree Group
Peachtree Group is an Atlanta vertically integrated investment manager with more than $2.5 billion in equity under management and over $9 billion in asset value, anchored in deep hospitality expertise across 48-plus hotels and extended into CRE lending, CPACE financing and, since 2022, a debt-free DST platform. Ranked a top-15 DST sponsor in 2024 on the strength of seven all-cash DST acquisitions, and complemented by EB-5 and QOZ programs, Peachtree brings unusual capital-markets breadth—equity, credit and tax-advantaged structures—to the exchange channel. The hospitality depth and lending arm differentiate it from pure-play property sponsors.
Learn More About Peachtree Group →Documents for this offering. Available to signed-in investors.
Securities offered through Aurora Securities, Inc. (CRD #46147 / SEC #8-51322), member FINRA / SIPC; Baker 1031 Investments, LLC is independent of Aurora Securities, Inc. and is not a registered broker-dealer or investment adviser. This is not an offer to sell or a solicitation of an offer to buy any security; any offer is made solely by the confidential private placement memorandum (PPM), which qualifies all information herein in its entirety. Delaware Statutory Trust interests are speculative, illiquid securities offered under Rule 506(c) of Regulation D and sold only to investors whose accredited-investor status has been verified; offering documents and subscription materials are provided only after that verification. They involve substantial risk, including possible loss of the entire investment.
Distributions, yields, the cap-rate equivalent, DSCR, occupancy, and benchmark figures are sponsor estimates or projections, are not guaranteed, and may differ materially from actual results. Any tax-adjusted yield assumes a 40% effective rate for non-1031 cash investors and is not tax advice. No tax, legal, or investment advice is provided — consult your own CPA and attorney. Past performance does not guarantee future results.