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Capital Square Acquires Land and Secures Construction Financing for Phoenix Build-for-Rent Community

Capital Square Acquires Land and Secures Construction Financing for Phoenix Build-for-Rent Community.1031 Exchange, alternative investments, Capital Square, Delaware statutory trust, DST, opportunity zone, private placement, real estate, real estate assets, real estate investment, real estate investment trust, Reg D, Regulation D, REIT, build-for-rent, BFR
Capital Square Acquires Land and Secures Construction Financing for Phoenix Build-for-Rent Community.1031 Exchange, alternative investments, Capital Square, Delaware statutory trust, DST, opportunity zone, private placement, real estate, real estate assets, real estate investment, real estate investment trust, Reg D, Regulation D, REIT, build-for-rent, BFR

Capital Square, a sponsor of tax-advantaged real estate investments and developer of multifamily communities, announced that the firm has closed on construction financing and the acquisition of 29 acres of land in the Phoenix suburb of Glendale, Arizona, for the development of Glendale BFR, a 320-unit build-for-rent single-family housing community.

As The DI Wire reported in July, Capital Square launched a project-specific LLC offering to raise approximately $49 million in equity from accredited investors to fund the development.

“Capital Square has searched the nation for top markets in which to develop new BFR communities.  The Phoenix area checks all the boxes – tenth largest MSA in the nation, record setting job production and fourth highest rent growth in the nation over the past three years,” said Louis Rogers, founder and co-chief executive officer of Capital Square.

Located at Northern Parkway and N. Sarival Avenue, the property will include a mix of 102 detached villas with three- and four-bedroom units averaging 1,655 square feet, as well as 218 townhomes with two- and three-bedroom units averaging 1,257 square feet. Property amenities will include a pool, spa, fitness center, pickleball courts, grilling pavilion, pocket parks, a dog run and a playground.

Capital Square has partnered with Sunstone Two Tree as co-developer of the project.

Approximately four miles southeast of the property is The Village at Prasada, an outdoor shopping center currently under construction, which will include a Sprouts Farmers Market, Ulta Beauty, TJ Maxx, Marshalls, PetSmart and other popular retail outlets. Residents will also have easy access to downtown Phoenix, Sky Harbor Airport and Luke Air Force Base. Adjacent to the property is Desert Diamond Casino, a $450 million casino currently under construction that is expected to be completed in 2024. The casino complex will employ approximately 1,300 people who will need housing and will feature a fine dining restaurant, food court, conference center and amphitheater.

“Significant growth in the Greater Phoenix single-family rental market has left a shortage of high-quality single-family rental options in the area,” said Whitson Huffman, co-chief executive officer. “Capital Square Glendale BFR, LLC gives investors the perfect opportunity to invest with an experienced team of developers in this prominent Southwest market.”

In September 2022, Capital Square launched the Private Equity Group, a corporate division led by Dave Platter and Jon Trott, to focus on opportunities in the housing market, including a dedicated build-for-rent strategy in high growth sunbelt markets.

For more Capital Square news, please visit their directory page.