Capital Square 1031, a real estate investment and management firm specializing in Delaware statutory trust (DST) offerings, has sold Ashford Club Apartments, a 103-unit multifamily community in Tallahassee, Florida.
The property was originally purchased for $8 million in May 2013 and sold for nearly $11.4 million. The company noted that the DST investors received approximately 170 percent total return on equity, or an 11.74 percent annualized return, from their 1031 exchange investment.
“In less than one year, Capital Square has taken five DST offerings full-cycle for investors, resulting in an average annualized return rate of 14.51 percent and an average 155.92 percent total return on equity,” said Louis Rogers, founder and chief executive officer of Capital Square 1031. “Most investors in the full-cycle DST programs have reinvested in a new Capital Square DST to continue their tax deferral under Section 1031.”
The property includes five, three-story buildings with one- and two-bedroom units ranging in size from 750 to 1,000 square feet of space with private patios and balconies. Property amenities include a clubhouse equipped with a full kitchen, fireplace and wet bar, a swimming pool and spa with a sundeck and Wi-Fi, indoor climate-controlled racquetball court, tennis court, playground, dog park, resident business center and full fitness center.
The company’s previous DST program realized a nearly 150 percent total return on equity, or 12.12 percent annualized return.
Since inception, Capital Square has acquired 82 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 is a national real estate investment and management company that sponsors real estate exchange programs that qualify for tax deferral under Section 1031 of the Internal Revenue Code. The company 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, Capital Square 1031 has sponsored 58 DST programs and has completed approximately $1.3 billion in transaction volume.