VIRGINIA BEACH, Va., Aug. 21, 2019 /PRNewswire/ -- Capital Square 1031, a leading sponsor of Delaware statutory trust (DST) offerings, announced today the launch of CS1031 Saltmeadow Bay Apartments, DST. The Reg. D private placement is comprised of Saltmeadow Bay Apartments & Townhomes, a Class A, 229-unit multifamily community in Virginia Beach, Va.
"Located less than one mile from the Virginia Beach boardwalk and less than 20 minutes from the largest naval station in the world, Saltmeadow Bay Apartments is an exceptional multifamily community that benefits from outstanding demographics," said Louis Rogers, founder and chief executive officer of Capital Square. "There is also a significant opportunity to improve operations at this high-end property and enhance value through active management."
Located at 757 Saltmeadow Bay Drive, the community sits on 24 acres of land with four residential buildings with four stories each. The community includes one-, two- and three-bedroom floorplans ranging in size from 866 square feet to 1,598 square feet. The property was constructed in 2006.
"Saltmeadow Bay Apartments is an amenities-rich community that has market-leading interiors on 60 percent of its units, combined with significant value-add upside potential through interior renovations on the rest of its units," said Whitson Huffman, senior vice president and head of acquisitions. "In addition to having substantial room to increase rental rates, the property benefits from its proximity to many of the top 10 largest private employers in Virginia Beach, an international airport, higher education and nearby retail destinations."
Saltmeadow Bay Apartments is a gated community that features a resident clubhouse, controlled access buildings, elevator-serviced buildings, a resort-style swimming pool, 24-hour fitness center, dog park, onsite storage and covered parking and garages.
According to Colliers International, Virginia Beach is one of the most popular tourist destinations on the East Coast, and more than $225 million in development has recently been spent or is being spent in the oceanfront area of the coastal city. The brokerage firm also reported that the oceanfront area is the highest-income neighborhood in the region, with plans for $300 million in construction development in the near future.
Capital Square was represented by G. S. "Hank" Hankins, III and Will Mathews of Colliers International in its acquisition of Saltmeadow Bay Apartments. Alexandra Huffman of Walker & Dunlop originated the Fannie Mae acquisition loan with a 3.49% fixed rate for 10 years.
Since inception, Capital Square has acquired 85 real estate assets for approximately 2,000 investors seeking quality replacement properties that qualify for tax deferral under Section 1031 of the Internal Revenue Code.
About Capital Square 1031
Capital Square is a national investment sponsor specializing in tax-advantaged real estate offerings, including Delaware statutory trusts for Section 1031 exchanges and qualified opportunity zone funds for tax deferral and exclusion. Capital Square has completed over $1.5 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. In 2017, 2018 and 2019, Capital Square was awarded by Inc. 5000 as one of the fastest growing companies. In 2017 and 2018, the company was also ranked on Richmond BizSense's list of fastest growing companies. In 2019, Capital Square was listed by Virginia Business on their "Best Places to Work in Virginia" and "Fantastic 50" reports. 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.
SOURCE Capital Square 1031