Capital Square LLC Offering to Fund Second Development of Single-Family Build-For-Rent (BFR) Community Near Phoenix with Sunstone Two Tree

PHOENIX, Nov. 24, 2025 /PRNewswire/ -- Capital Square, a leading sponsor of tax-advantaged real estate investments and a national developer and manager of housing communities, today announced the launch of Capital Square Blue Horizons BFR, LLC. The offering was formed to raise equity from accredited investors to support the development of a 238-unit, build-for-rent (BFR) single-family housing community in the Phoenix suburb of Buckeye, Arizona. Capital Square has partnered with Sunstone Two Tree as co-developer of the project. This is the second similar development with Sunstone Two Tree in the Phoenix area. The two companies previously developed Ironwood Homes at the Rosefield, a 320-unit BFR community on Northern Parkway road.

"Phoenix remains one of the most dynamic housing markets in the nation, driven by strong population growth, major employment expansions and sustained demand for high-quality rental housing," said Louis Rogers, founder and co-chief executive officer of Capital Square. "Blue Horizons represents our latest opportunity to develop a modern build-for-rent community in partnership with Sunstone Two Tree, leveraging their regional expertise, vertically integrated team and proven ability to bring these communities to life, and our track record of executing tax-efficient real estate strategies for investors."

Located at the intersection of N. Jackrabbit Trail and W. Blue Horizons Parkway, the 20.86-acre development will include 88 detached villas with three- and four-bedroom floor plans, averaging 1,631 square feet, and 150 townhomes with two- and three-bedroom floor plans, averaging 1,271 square feet. Property amenities will include a clubhouse, pool and spa, fitness center, grilling pavilion, pocket parks and a playground.

Conveniently situated near Loop 303 and Interstate 10, the property offers direct connectivity to downtown Phoenix, Sky Harbor Airport and Arizona State University, as well as key employment hubs, shopping destinations and regional landmarks. The surrounding area is experiencing substantial economic growth, including the $40 billion Taiwan Semiconductor Manufacturing Co. (TSMC) hub; a 27-acre Abrazo Health campus; Banner Health's 330,000-square-foot hospital; and the 500,000-square-foot Verrado Marketplace anchored by Target, Safeway and HomeGoods. Canyon Trails Towne Center, located four miles east, offers additional retail and dining options.

"Phoenix continues to demonstrate exceptional fundamentals for residential investment," said Whitson Huffman, co-chief executive officer and chief investment officer of Capital Square. "Beyond robust population growth and developments such as the $40 billion Taiwan Semiconductor Manufacturing Company hub, the region's expanding base in healthcare, finance, manufacturing and logistics is fostering a more diversified and stable economy that will increase demand for quality housing."

The property is located in the Phoenix-Mesa-Chandler metropolitan statistical area, the 10th largest in the U.S., with more than five million residents and a median age of 38. The population has grown nearly one million since 2010 and is projected to increase an additional 250,000 by 2029, according to CBRE. The metro is Arizona's economic engine, home to two-thirds of the state's residents and nearly three-fourths of its labor force. Higher education, anchored by Arizona State University, the #1 most innovative university for nine consecutive years, provides a skilled labor pipeline while major airports, Sky Harbor and Mesa Gateway, support population and economic growth.¹

Certain investors in the fund may seek to implement a Roth IRA conversion strategy. This potentially tax-saving strategy involves investing traditional IRA dollars into a real estate development fund and, then, converting that investment into a Roth IRA during the construction of the project.

Since its founding in 2012, Capital Square has acquired more than 175 real estate assets on behalf of over 6,500 investors seeking quality replacement properties that qualify for tax deferral under Section 1031 of the Internal Revenue Code, along with others seeking stable cash flow and capital appreciation.

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). The company is also an active developer and manager of multifamily communities. Since 2012, Capital Square has completed more than $7.9 billion in transaction volume. Its mixed-use development projects total over 2,000 apartment units with a total development value in excess of $800 million, and Capital Square Living, the firm's property management division, oversees more than 13,000 apartments across multiple states. 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. The company has been recognized by Inc. 5000 as one of the fastest-growing private companies in the nation for nine consecutive years. Learn more at CapitalSq.com.

Source: CBRE, 2025.

Disclosure
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 multifamily 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 sell 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 and illiquid. Diversification does not guarantee profits or protect against losses. FINRA Broker Check link: https://brokercheck.finra.org/.

SOURCE Capital Square