Capital Square Surpasses $3 Billion in Fundraising as the Firm Diversifies Investment Offerings

RICHMOND, Va., Sept. 19, 2023 /PRNewswire/ -- Capital Square, one of the nation's leading sponsors of tax-advantaged real estate investments and a developer and manager of multifamily communities, announced today that the firm has surpassed $3 billion in fundraising for its investment programs since formation in 2012.

Capital Square has consistently ranked as one of the leading sponsors of Delaware statutory trust (DST) investment programs for investors seeking the advantages of Internal Revenue Code Section 1031 exchanges. The firm is also an active sponsor of qualified opportunity zone funds, development LLCs and Capital Square Apartment REIT, a real estate investment trust that invests in multifamily communities throughout the Southeast.

"This milestone reflects the diversification of Capital Square's investment offerings," said Louis Rogers, founder and co-chief executive officer of Capital Square. "When Capital Square was formed in 2012, DST programs for 1031 exchange investors were our sole investment focus. Starting in 2019, we began to sponsor opportunity zone funds and further diversified our investment offerings with development LLCs and Capital Square Apartment REIT, a real estate investment trust that invests in multifamily communities. This diversified product line has led to over $3 billion of equity raised in 132 investment offerings."

Capital Square has completed more than $7.5 billion of real estate transactions on behalf of its investors and currently manages a $6.9 billion portfolio of real estate assets located throughout the U.S. The firm has taken 19 Delaware statutory trust programs full-cycle, delivering an average annual total return* to investors of 174.88% with an average internal rate of return of 14.22%.

Whitson Huffman, co-chief executive officer, added, "Capital Square prides itself on providing our investors with compelling investment opportunities that provide access to high quality real estate that can provide portfolio diversification, income and growth. Our continued success is testament to our ability to deliver on these goals and we appreciate the support we continue to receive from our investors and their financial advisors." 

In March 2023, Capital Square announced the launch of Capital Square Living, a wholly owned subsidiary that will oversee all management functions of the company's growing multifamily portfolio. Capital Square Living began the phased onboarding of communities in April and is in the process of internalizing management of the portfolio to include comprehensive property management services, for example, operations, maintenance, employee development and training, customer service, revenue management, marketing, budgeting, leasing and resident retention.

As of year-end 2022, Capital Square has sponsored 132 investment offerings comprised of 165 individual properties for the firm's DST programs, qualified opportunity zone funds and the REIT.

About Capital Square
Capital Square is a vertically integrated national real estate firm specializing in tax-advantaged real estate investments, including Delaware statutory trusts for Section 1031 exchanges, qualified opportunity zone funds for tax deferral and exclusion and a real estate investment trust (REIT). In recent years the company has become an active developer of mixed-use multifamily properties in the southeastern U.S., with eight current projects totaling approximately 2,000 apartment units with a total development cost in excess of $600 million. Since 2012, Capital Square has completed more than $7.5 billion in transaction volume. 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 six 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. In 2023, Capital Square was recognized by the Richmond Times-Dispatch as one of the region's "Top Work Places." To learn more, visit www.CapitalSq.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.

*The "total return" represents the ratio of total sales proceeds and distributions through the life of the asset over the total initial equity invested. The "annualized return" is defined as the difference between net sale proceeds and initial investment, plus the distributions over the holding period, divided by the initial investment; divided by the number of months; times 12. The ROE and annualized return are net of fees and represent a return to an individual investor. No representation is made that any investment will or is likely to achieve profits or losses similar to those achieves in the past or that losses will not be incurred.

SOURCE Capital Square

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