AEI
Sponsor Overview
AEI Capital Corporation is a 55-year-old St. Paul-based sponsor of net-lease real estate investment programs. Since 1975, AEI has organized 17 public and 20 private commercial property programs, raising $750M+ from 21,386 investors and acquiring 421 single-tenant, triple-net-leased properties across 44 states for $1.0B+. AEI's distinctive calling card is its DEBT-FREE DST model — all DST programs use zero mortgage financing, trading lower cash yields for elimination of refinancing, maturity, and lender-covenant risk. The firm's early TIC-era portfolio (1992-2014) was heavily concentrated in restaurant tenants where 6 of 55 full-cycle properties produced capital losses. Modern DST programs (2014-2024) deliberately pivoted to healthcare, rural retail, and auto parts tenants.
Sponsor Notes
- Single-tenant, triple-net-leased commercial real estate only
- DEBT-FREE DST structure — no mortgage financing on any DST property
- Long-hold buy-and-hold approach — avg historical hold 13.6 years
- Modern strategy targets healthcare (DaVita/Fresenius/BioLife), Tractor Supply, Hobby Lobby
Sponsor Overview
Firm Name
AEI
Headquarters
St. Paul, MN
Year Founded
1970
Assets Under Management (AUM)
$750M+
Preferred Sponsor
No
Performance
Full-Cycle DSTs
55
Average Annual Return
6.80%
Average Equity Multiple
1.58x
Average Hold Period
13.58 Years
Success Rate
89.10%
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