Goldman Sachs’ Vintage Funds Pushes Further Into Net Lease

The fund has just made a $500 million preferred investment in Four Springs Capital Trust.

Goldman Sachs’ Vintage Funds is increasing its allocation to net lease strategies with a $50 million strategic preferred investment in Four Springs Capital Trust.

Four Springs Capital Trust, a REIT that owns a net leased industrial, medical, office, and necessity retail properties throughout the US, will use the Vintage Funds investment to provide liquidity to an existing investor and to grow its real estate portfolio, the company said. 

“Four Springs Capital Trust is a late stage private company with a strong management team that is focused on building a portfolio of defensive, income-producing net leased real estate,” said Sean Brenan, managing director at Goldman Sachs in prepared remarks. “We see the opportunity for growth and durable income from their platform, and are excited to be an investment partner.”

The Four Springs investment is the latest in a string of forays the firm has made in the net lease space. In May 2020, Goldman Sachs announced it had raised its second dedicated real estate secondaries firm, Vintage Real Estate Partners II, with $2.75 in capital commitments.

In August, Vintage Funds closed on a $229 million preferred investment in a portfolio of Colony Credit Real Estate investments, with the initial 200 million allocated to five underlying CLNC investments interests including one wholly-owned triple-net industrial distribution investment leased to a national grocery chain and four co-investments.

Goldman also made a strategic investment in last-mile logistics real estate last year