Colorado Growth 1 - Holly Ridge DST

Overview

A Walton Global Holdings-sponsored land-banking offering to acquire ~70.5 acres of undeveloped agricultural land at the northwest corner of State Highway 7 and Holly Street in unincorporated Adams County, Colorado, in the path of growth toward the City of Thornton in the north Denver metro. The Trust acquires the land all-cash/free-and-clear for ~$4,500,000 within a $6,469,972 all-equity raise (inclusive of syndication costs, a sponsor acquisition fee, a prepaid asset-management fee, trust expenses, and reserves). The Property is not presently zoned or entitled; the business plan is to hold the raw land for appreciation and, after a minimum 12-month hold post-final-closing, market it for sale to a national homebuilder or developer via a single-buyer staged sale (up to two installments) over an anticipated ~4-5 year hold. The Trust generates no rental revenue and makes no distributions to investors until the land is sold - the entire return is appreciation realized on disposition. There is no debt, no master lease, no current income, and no 721/UPREIT exit; the bare legal title is held by the Administrative Trustee (Holly Ridge Keeper, LLC) and the Dealer Manager is ARKap Markets, LLC. Adams County/north Denver is a high-growth corridor, but the investment carries entitlement, zoning, wetlands, and absorption risk, with no assurance the exit is achieved.

Investment highlights

• This is a pure land-banking appreciation play: the Trust acquires raw agricultural land for ~$4.5M with the sole objective of realizing appreciation on a future sale to a homebuilder or developer. There is no current income, so the return is binary on the eventual disposition price and timing rather than on contractual cash flow.
• The ~70.5-acre parcel sits in a path-of-growth location at SH-7 and Holly Street in unincorporated Adams County, in the growth corridor of the City of Thornton in the north Denver metro, a market with population and housing demand that underpins the land-appreciation thesis.
• The land is acquired debt-free and all-cash with no mortgage, eliminating refinancing, maturity, and foreclosure risk and removing carry-cost leverage. The offsetting feature is that, with no income, reserves and a prepaid asset-management fee are funded upfront from offering proceeds to cover a multi-year hold.
• Entitlement and zoning are unresolved: the Property is not presently zoned or entitled for development, future entitlements would follow City of Thornton zoning upon annexation (per the Otten Johnson entitlement memo), and the National Wetlands Inventory flags potential wetlands. Both are gating items to a developer sale and represent the central execution risk.
• The exit is a staged sale over an anticipated ~4-5 year hold: after a minimum 12-month hold the Trust intends a single-buyer staged sale of up to two installments. If no third-party developer is willing or able to buy on the intended terms, the land may be sold on commercially reasonable terms or to an affiliate of the Administrative Trustee, a conflict-of-interest and pricing risk.

Sponsor

This offering is sponsored by Walton Global Holdings. Baker 1031 Investments is independent of the sponsor and provides advisory and brokerage services to accredited investors.