Capital Square 1031 Completes Two DST/1031 Exchange Offerings
Capital Square 1031, a sponsor of replacement property for Section 1031 exchanges, announced that its Delaware statutory trust offerings, CS1031 Birmingham MOB DST and CS1031 Kinston MOB DST have been fully subscribed by investors.
“Each of these offerings include real estate occupied by [affiliates of Fresenius Medical Care] the world’s leading provider of dialysis services and products for people with chronic kidney failure, which has 2,249 dialysis clinics across North America,” said Louis Rogers, founder and chief executive officer of Capital Square 1031. “The properties are well-located near doctor’s offices and hospitals, providing convenient access to patients, their caregivers and healthcare providers.”
CS1031 Birmingham MOB DST acquired a newly-constructed, 8,140-square-foot medical office building that was built-to-suit for Fresenius Medical Care. Located at 3671 Roosevelt Blvd. in Birmingham, Alabama, the property is leased on a net basis for a base term of 15 years, plus extensions. Capital Square leveraged the property for exchange investors who need debt to obtain complete deferral under Section 1031 of the Internal Revenue Code.
CS1031 Kinston MOB DST acquired a 10,880-square-foot medical office building located at 604 Airport Road in Kinston, North Carolina. The clinic, which is one of the company’s largest dialysis clinics in North Carolina, is a flagship location for Fresenius. Capital Square acquired the property in an all-cash (no debt) purchase for exchange investors who do not need debt to obtain deferral under Section 1031.
“A growing number of exchange investors are seeking an all-cash, no debt, replacement property,” said Louis Rogers. “An ‘all-cash’ replacement property was almost unheard of five years ago.”
Capital Square 1031 sponsors institutional-quality real estate exchange programs that qualify for tax deferral under Section 1031 of the Internal Revenue Code. The firm, which has closed 32 DST offerings since its founding in late 2012, provides a range of services, including due diligence, acquisition, loan sourcing, property management/asset management, and disposition for high net worth investors, private equity firms, family offices and institutional investors. As of February 15, Capital Square 1031 oversees a portfolio of 58 real estate assets valued at approximately $600 million (based on investment cost).
Click here to visit the Capital Square 1031 directory sponsor page.
