Capital Square 1031, a real estate investment and management firm specializing in Delaware statutory trust offerings, has launched a new Reg. D private placement investment offering, CS1031 Houston Memory Care II DST.
The offering is comprised of a new, 10,000-square-foot Class A memory care facility that was completed in March 2019 and acquired by the DST in an all-cash transaction, with no mortgage debt.
“This memory care facility was purchased in an all-cash transaction, providing DST investors with the opportunity to own real estate without any mortgage debt,” said Louis Rogers, founder and chief executive officer of Capital Square 1031. “The demand for senior housing is rising at a rapid pace, making this a desirable investment for exchangers seeking stable cash flow. Also, because Texas does not have an income tax, investors in the DST will not pay state income taxes.”
The newly constructed Class A memory care facility includes 16 beds and is leased to Village Green Alzheimer’s Care Home, an operator of five memory care facilities in greater-Houston. Under the absolute net lease, the tenant is responsible for all expenses, including structure, maintenance and repairs.
In recent company news, Capital Square launched two new DST offerings in the last few weeks, CS1031 Midwest Dialysis DST and CS1031 Hickory Creek Apartments DST, and promoted 30-year commercial real estate industry veteran, Mike Waddell, to serve as president of the company.
Capital Square has acquired 77 properties for approximately 1,600 investors seeking quality replacement properties that qualify for tax deferral under Section 1031 of the Internal Revenue Code.
Capital Square 1031 sponsors real estate exchange programs that qualify for tax deferral under Section 1031 of the Internal Revenue Code. The firm 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. Since inception, the firm has sponsored 58 DST programs and completed approximately $1.08 billion in transaction volume.