How you make money
Equity growth
Build, stabilize a net-lease asset, and sell into demand
Value is created through development yield spreads and cap-rate compression: build a to-suit facility for a creditworthy tenant, stabilize it on a long-term triple-net lease, and sell the stabilized asset. The return is targeted at exit, not over a long hold.
24 mo
Hold period
Sale
Exit strategy
How the deal works
Supply-constrained industrial markets and specialized tenant demand create compelling build-to-suit opportunities. Pelorus develops a facility to an established tenant's requirements, stabilizes it on a long-term triple-net lease, and realizes value through development yield spreads and cap-rate compression at sale. The target is up to a 35% IRR over an 18 to 24 month hold.
Build-to-suit for a creditworthy tenant, not on spec
The facility is developed to an established tenant's specialized requirements, so demand is secured before construction rather than bet on afterward.
Value from development yield spreads and cap-rate compression
Building at a development yield above prevailing cap rates, then stabilizing on a long-term net lease, creates the spread that drives the return at sale.
A short, defined hold — 18 to 24 months to exit
Capital is deployed into a defined development timeline and returned at the sale of the stabilized asset, not locked into a multi-year fund.
Triple-net structure shifts operating burden to the tenant
The long-term NNN lease puts taxes, insurance, and maintenance on the tenant, making the stabilized asset cleaner to underwrite and to sell.
About the sponsor
$1B+
capital placed
$2B+
debt structured
100+ yrs
combined team experience
A specialist private credit and equity platform providing tailored private financing and investment solutions for income-generating real assets, backed by proprietary data and deep industry insight.
A specialist private credit and equity platform, rated A on secured bonds and BBB+ as a company (Egan-Jones).
Dan Leimel
Chief Executive Officer
Rob Sechrist
President
Tanya Krug
Investor Relations
What you should know
What are the risks?
- Development carries construction, timeline, and cost-overrun risk that can affect returns.
- Up to 35% target IRR and up to 1.88x equity multiple are projections, not guarantees.
- The exit depends on stabilizing the lease and selling into favorable market conditions.
What is the asset?
An 18–24 month build-to-suit industrial development on a long-term triple-net lease to a creditworthy tenant, in a supply-constrained market. Deal specifics are reviewed on the investor call.
How is the return generated?
Through development yield spreads and cap-rate compression — building at a yield above market cap rates, stabilizing on a net lease, and selling the stabilized asset. Up to 35% target IRR, up to 1.88x equity multiple.
How long is the hold?
A defined 18 to 24 months, with the return targeted at the sale of the stabilized asset.
Who can invest?
Accredited investors only (Reg D), with a $50,000 minimum.
