Capital Square 1031, a sponsor of Delaware statutory trust (DST) offerings, has purchased Lullwater at Big Ridge, a 250-unit multifamily community in the Hixson submarket of Chattanooga, Tennessee.
The property was acquired for CS1031 Lullwater at Big Ridge Apartments DST, a Regulation D private placement offering that seeks to raise $27.9 million in equity from accredited investors and has a minimum investment of $50,000.
“Chattanooga was recently ranked number one for employment outlook by Forbes magazine, in part due to its exceptional location just 130 miles from Atlanta and Nashville,” said Louis Rogers, founder and chief executive officer. “The city is well-known for healthcare, manufacturing, education, technology and tourism and was named ‘Gig City’ for its 10-gigabit-per-second fiber internet services. These attributes position Chattanooga as the next booming city, similar to Nashville or Austin.”
Located at 6038 Hixson Pike, the gated community was constructed in 2020 and is comprised of one-, two- and three-bedroom units ranging in size from approximately 1,028 square feet to 1,432 square feet.
Community amenities include a dog park, swimming pool with outdoor kitchen and fire pit, clubhouse with lounge, media room, conference room, business center and fitness center. Additional amenities include a secure package delivery locker room, a car care center, and 30 detached garages and 21 storage units.
“Lullwater at Big Ridge is a particularly attractive asset, not only because it is the newest multifamily community in the submarket, but also because it features large apartment units and unique interior finishes,” said Whitson Huffman, chief strategy and investment officer.
Capital Square is a national real estate firm specializing in tax-advantaged real estate investments, including Delaware statutory trusts for Section 1031 exchanges and qualified opportunity zone funds for tax deferral and exclusion. Since 2012, Capital Square has completed more than $3 billion in transaction volume. The company’s related entities provide due diligence, acquisition, loan sourcing, property/asset management, and disposition for high-net-worth investors, private equity firms, family offices and institutional investors.