Capital Square 1031 Takes DST Offering Full-Cycle in Record Time, Resulting in Over 131 Percent Return of Equity to Investors

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Jan 23, 2019, 11:00 ET

PHOENIX, Jan. 23, 2019 /PRNewswire/ -- Capital Square 1031, a leading real estate investment and management firm specializing in Delaware statutory trust offerings, announced today the sale of Crossroads Apartments, a 316-unit multifamily community in Phoenix, Arizona.

The property was owned by a group of DST investors who realized over 131 percent total return of equity and more than 18 percent annualized total return on equity from their 1031 exchange investment.

"We are pleased to announce the successful sale of Crossroads Apartments for a record price, which took this DST offering full-cycle in less than three years and provided investors with an exceptional return from cash flow and capital appreciation," said Louis Rogers, founder and chief executive officer of Capital Square 1031. "The Crossroads sale validates Capital Square's strategy of buying well-located apartment communities throughout the nation. This demonstrates Capital Square's ability to execute its business plan – to successfully buy, manage and sell investment-grade properties. Most DST investors reinvested in another Capital Square DST as their 1031 replacement property continuing the tax deferral. This is the third successful sale of a DST property in only seven months and Capital Square has a number of other DST properties teed up for sale this year, all ahead of schedule."

Located in the Deer Valley submarket of Phoenix, Crossroads Apartments is a multifamily community that consists of 18 buildings surrounded by a serene park-like setting with fountains dispersed throughout the grounds. The property features two resort-style swimming pools with a sundeck and cabana, lighted tennis and basketball courts, covered playground, clubhouse and leasing center, gated entry, and covered parking. Crossroads is located in a major employment hub within the Phoenix MSA with easy access to nearby interstates.

According to Mike Waddell, president of Capital Square, "We couldn't be happier with the results achieved for our investors from this sale. The strategic and profitable sale of DST properties timely captures appreciation for our investors, successfully completing their investment lifecycle. This is critical to the growth of Capital Square into a billion-dollar national real estate company."

About Capital Square 1031

Capital Square 1031 is a national real estate investment and management company that sponsors institutional-quality real estate exchange programs that qualify for tax deferral under Section 1031 of the Internal Revenue Code. The company acquires multifamily properties for growth, necessary medical properties for stable income, and other real estate investments (sale/leasebacks, headquarters, offices and facilities) that have the potential to provide exceptional risk adjusted returns. By acquiring a portfolio of DSTs, investors are able to diversify and reduce the risk they would face with a single asset investment. Capital Square aims to provide real estate investors greater access to quality investments and financial planning tools to better manage and mitigate risk.

Capital Square provides a range of services, including due diligence, acquisition, loan sourcing, property management/asset management, and disposition, for a growing number of high net worth investors, private equity firms, family offices and institutional investors. Since inception, the firm has sponsored 53 DSTs and has completed approximately $940 million in transaction volume. To learn more, visit www.CapitalSquare1031.com.