RICHMOND, Virginia., 19 August 2024 /PRNewswire/ — Capital Square, one of the country’s leading sponsors of tax-advantaged real estate investments and an active developer and manager of multifamily housing, today announced that the Richmond City Council has granted building permits for the construction of an eight-story multi-use apartment complex and luxury hotel in Scott’s Additionally designated opportunity zone in Richmond, Virginia.

The development will be financed with proceeds from Capital Square’s CSRA Opportunity Zone Fund IX, LLC, a project-specific Opportunity Zone Fund that aims to 77 million US dollars in equity from accredited investors. Construction is scheduled to begin in summer 2025.

“Major developments like this require efficient regulatory processes and the support of many stakeholders,” said Natalie MasonExecutive Vice President, Co-Leader of Capital Square Development. “We are pleased to receive planning approval for this transformative project. We are grateful for the City Richmond “I thank the planning staff, the Planning Commission and the City Council members for their timely review and approval of the new mixed-use development.”

The hotel is located at 1600 Roseneath Road at the main and main intersection of Scott’s In addition, the 2.18-acre property will house approximately 220 traditional residential units and 100 furnished luxury hotel rooms. The property is within walking distance to a large number of popular breweries, farm-to-table restaurants with award-winning chefs, small businesses, lifestyle amenities and museums, including the Virginia Museum of Fine Arts, the Science Museum of Virginia and Virginia Museum of History and Culture. Broad Street, with numerous services and amenities including a full-service Whole Foods store and a GRTC Pulse rapid transit station, is just blocks from the project.

“We are very pleased that the City Council has approved this development, which will enable the transformation of Scott’s addition,” said Whitson Huffman, Co-CEO. “As Capital Square’s sixth development in Scott’s In addition, this project will fill a large gap in the neighborhood that needs restaurants to meet the growing demand of visitors Richmond Looking for accommodation near the liveliest area of ​​the city.”

Directly adjacent to the property is The Otis, a 350-unit mixed-use apartment building that won the 2024 CoStar Impact Award as Multifamily Building of the Year. The building is located at the intersection of two major thoroughfares in Scott’s Additionally, The Otis is a six-story Class A multifamily community offering a combination of studio, one-, two- and three-bedroom apartments with custom kitchen and bathroom amenities, unique common areas and approximately 1,200 square feet of retail space.

Capital Square has also fully subscribed four additional Opportunity Zone funds to develop projects in Scott’s Expansion, including 352 residential units at 2950 W. Marshall Road, and Scott’s Collection I, II and III – each of which comprises a single-story, ground-up, Class A multifamily community ranging in size from 60 to 80 units. In total, Capital Square has built or is in the process of developing over 1,230 multifamily units and 40,000 square feet of retail space within the development. Scott’s Additional opportunity zone.

Capital Square is one of the most active developers of Opportunity Zone-financed multifamily housing projects in the country and has more than 230 million US dollars has invested in the construction of eight projects with a total of over 1,600 residential units and 40,000 square meters of retail space over the last five years. Four projects with a total of 600 units are located in Scott’s Addition and were delivered and stabilized after returning via 20 million US dollars paid out to investors as net proceeds from refinancing.

Opportunity Zones were created to encourage long-term private investment in low-income urban and rural communities across the country. Designed as part of the Tax Cuts and Jobs Act of 2017, Opportunity Zone funds are intended to promote economic growth by providing tax benefits to encourage private investment in designated Opportunity Zones.

About Capital Square
Capital Square is a vertically integrated national real estate company specializing in tax-advantaged real estate investments, including Delaware statutory trusts for Section 1031 exchanges, qualified Opportunity Zone funds for tax deferral and exemption, and a Real Estate Investment Trust (REIT). The company is also an active developer and manager of multifamily properties. Since 2012, Capital Square has completed more than 7.8 billion US dollars in transaction volume. Capital Square’s mixed-use development projects comprise a total of over 2,000 residential units with total development costs of over 790 million US dollarsand Capital Square Living, the company’s property management division, now manages over 7,000 homes in multiple states. Capital Square’s affiliates provide a range of services – including due diligence, acquisition, loan origination, property/asset management and disposition – to a growing number of high net worth investors, private equity firms, family offices and institutional investors. Recognized by Inc. 5000 as one of the fastest growing companies in the country for seven consecutive years, Capital Square raises capital, buildings and expectations. For more information, visit CapitalSq.com.

Disclaimer: Securities are offered through WealthForge Securities, LLC, member FINRA/SIPC. Capital Square and WealthForge Securities, LLC are separate companies. There are significant risks associated with investing in DST real estate and real estate securities, including illiquidity, tenant vacancy, general market conditions and competition, lack of operating history, interest rate risks, risk that new supply will enter the market and rental rates will decline, general risks of owning/operating commercial and multifamily real estate, short-term leases associated with multifamily real estate, financing risks, possible adverse tax consequences, general economic risks, development risks, long holding periods and potential loss of 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 advisor regarding the details of your particular situation. This is not a solicitation or offer to see securities. Please read the Private Placement Memorandum (PPM) in its entirety and pay careful attention to the risks section before investing. Private placements are speculative. Diversification does not guarantee a profit or protect against a loss. Link to FINRA Broker Check: https://brokercheck.finra.org/.

SOURCE: Capital Square