CHATTANOOGA, Tenn.,
Sept. 23, 2021 /PRNewswire/
-- Capital Square 1031, a leading sponsor of Delaware statutory trust (DST) offerings for
1031 exchange and other accredited investors, announced today the
acquisition of 17 Broad, a 158-unit, luxury multifamily community
centrally located in downtown Chattanooga, Tennessee. The property was
acquired on behalf of CS1031 17 Broad Apartments, DST, a Reg. D
private placement investment offering.
"This is Capital Square's fourth acquisition of a Class A
apartment community in Chattanooga," said Louis Rogers, founder and chief executive
officer of Capital Square. "Capital Square is bullish on
Chattanooga because the area is
projected to have high occupancy and rent growth, according to
Yardi Matrix, and was recently ranked number one in the nation for
employment outlook by Forbes Magazine. Capital Square believes that
Chattanooga is poised to become
the 'next Austin' based on its
many attributes, including its excellent location, only 130 miles
from Atlanta and Nashville, substantial rent and area GDP
growth, low cost of living, and high quality of life."
Located at 1701 Broad St., the community was completed in 2020
and is situated on 1.6 acres of land. The property is conveniently
located near numerous entertainment venues, cultural attractions
and dining and beverage options.
Residents benefit from the property's proximity to several of
Chattanooga's major employers,
including Erlanger Health System, BlueCross BlueShield of
Tennessee, Tennessee Valley
Authority, Unum, McKee Food Corp., Volkswagen, CHI Memorial
Hospital, Amazon, and more.
Community amenities include a fitness center; a heated,
saltwater swimming pool; sky lounge with sweeping mountain views; a
sundeck and a TV lounge. Additional amenities include a business
center, barbecue and picnic area, a gated onsite parking garage,
package receiving and a clubhouse.
CS1031 17 Broad Apartments, DST seeks to raise $18.465 million in equity from accredited
investors and has a minimum investment requirement of $50,000.
"This highly amenitized property is in a walkable location,
conveniently located near numerous employment options,
entertainment venues, cultural attractions and dining and
beverage options," said Whitson Huffman, chief strategy and
investment officer. "Among nearby entertainment venues is Finley
Stadium, a 20,412-seat venue, which hosts sporting events and
concerts. Completed in 2020, 17 Broad offers spacious floorplans
and outstanding contemporary architectural design. Also, the
property is conveniently located within half a mile of U.S. Route
27 and Interstate 24, in a downtown submarket of Chattanooga with high barriers to entry."
Multifamily rents grew 9.2% year-over-year in July, according to
the July 2021 Zillow Real Estate
Market Report. Additionally, the monthly increase in the Zillow
Observed Rent Index was the fastest ever observed by Zillow, since
the company began tracking the data in 2015. Zillow estimates that
the Zillow Observed Rent Index in July was 2.9% higher than what it
would have been without the effects of the pandemic.
The property was sold by J.A. Murphy Group of Knoxville, Tennessee. Will Mathews, managing director and national
platform leader of the Colliers Multifamily Advisory Group,
represented both the seller and the buyer in the transaction.
Since its founding in 2012, Capital Square has acquired 136 real
estate assets for over 3,300 investors seeking quality replacement
properties that qualify for tax deferral under Section 1031 of the
Internal Revenue Code and other investors seeking stable cash flow
and capital appreciation.
About Capital Square
Capital Square is a national real
estate firm specializing in tax-advantaged real estate investments,
including Delaware statutory
trusts for Section 1031 exchanges and qualified opportunity zone
funds for tax deferral and exclusion. Since 2012, Capital Square
has completed more than $3 billion in
transaction volume. Capital Square's executive team has decades of
experience in real estate investments. Its founder, Louis Rogers, has structured hundreds of
investment offerings totaling in excess of $5 billion. Capital Square's related entities
provide a range of services, including due diligence, acquisition,
loan sourcing, property/asset management, and disposition, for a
growing number of high net worth investors, private equity firms,
family offices and institutional investors. Since 2017, Capital
Square has been recognized by Inc. 5000 as one of the fastest
growing companies in the nation for four consecutive years. In
2017, 2018 and 2020, the company was also ranked on Richmond
BizSense's list of fastest growing companies. Additionally, Capital
Square was listed by Virginia Business on their "Best Places to
Work in Virginia" report in 2019
and their "Fantastic 50" reports in 2019 and 2020. To learn more,
visit www.CapitalSquare1031.com.
Disclaimer: Securities offered through WealthForge Securities,
LLC, Member FINRA/SIPC. Capital Square and WealthForge Securities,
LLC are separate entities. There are material risks associated with
investing in DST properties and real estate securities including
illiquidity, tenant vacancies, general market conditions and
competition, lack of operating history, interest rate risks, the
risk of new supply coming to market and softening rental rates,
general risks of owning/operating commercial and multifamily
properties, short term leases associated with multi-family
properties, financing risks, potential adverse tax consequences,
general economic risks, development risks, long hold periods, and
potential loss of the entire investment principal. Past performance
is not a guarantee of future results. Potential cash flow, returns
and appreciation are not guaranteed. IRC Section 1031 is a complex
tax concept; consult your legal or tax professional regarding the
specifics of your particular situation. This is not a solicitation
or an offer to see any securities. Please read the Private
Placement Memorandum (PPM) in its entirety, paying careful
attention to the risk section prior to investing. Private
placements are speculative. Diversification does not guarantee
profits or protect against losses.
Contact:
Lauren
Burgos
Spotlight Marketing Communications
949.427.1399
lauren@spotlightmarcom.com
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SOURCE Capital Square 1031