Capital Square Fully Leases Scott’s Collection Retail and Office Space in Richmond, Virginia Qualified Opportunity Zone
RICHMOND, Va. (Oct. 26, 2023) – Capital Square, one of the nation’s leading sponsors of tax-advantaged real estate investments and an active developer and manager of multifamily communities, announced today that the retail space in the company’s Scott’s Collection mixed-use properties in the Scott’s Addition neighborhood of Richmond, VA are fully leased.
Scott’s Collection is comprised of three boutique mixed-use multifamily communities within the qualified opportunity zone located in Richmond’s thriving Scott’s Addition neighborhood. “INK,” “VIV” and “GEM,” located within blocks of one another in the walkable community, provide a total of 209 Class A apartment homes, approximately 5,900 square feet of ground-level retail space and approximately 1,939 square feet of Class A office space. “INK” opened to residents in January of 2022, “VIV” opened to residents in June of 2022 and “GEM”opened to residents in November of 2022. All are stabilized with occupancy currently around 95%.
“The addition of these exceptional amenities – high-end restaurant, premium coffee, boutique gym and Class A office – is the final step in the transformation of Scott’s Collection from its industrial roots to one the most desirable mixed use residential communities in the region,” said Louis Rogers, founder and co-chief executive officer of Capital Square. “It is hard to beat the high touch and feel of this fabulous live, work and play community.”
Retail occupants of Scott’s Collection include:
- Lillian Oyster Hall, a raw bar restaurant;
- Parousia Coffee, a premium coffee roaster and café;
- CoreFitness RVA, a boutique gym that offers one-on-one and small group personal training; and
- Capital Square’s regional development office.
In addition to the Scott’s Collection communities, Capital Square serves as co-developer of Otis, a 350-unit Class A multifamily community in Scott’s Addition that was completed in May 2023, and is currently developing the a site nearby 2950 W. Marshall, which will deliver an additional 352 Class A apartment homes in 2025.
“Scott’s Addition was an overlooked industrial hub that has now become one of Richmond’s fastest growing and vibrant neighborhoods thanks to the development efforts of Capital Square and others in recent years,” said Whit Huffman, co-chief executive officer. “It is a thriving, 24-hour community with a plethora of entertainment and dining options that has become a significant economic center of the city.”
Development of the Scott’s Collection communities was primarily funded with proceed’s from a series of Capital Square-sponsored qualified opportunity zone funds, CSRA Opportunity Zone I, LLC, CSRA Opportunity Zone II, LLC, and CSRA Opportunity Zone III, LLC. Capital Square has subsequently launched a total of eight qualified opportunity zone funds, including CSRA Opportunity Zone Fund VII, LLC, which is funding the development of 2950 W. Marshall Street within Scott’s Addition, and CSRA Opportunity Zone Fund VIII, LLC, which seeks to raise $46.684 million in equity from accredited investors to fund the development of a 348-unit Class A multifamily community in Knoxville, Tennessee.
Opportunity zones were created to stimulate long-term private investments in low-income urban and rural communities nationwide. Conceived as part of the Tax Cuts and Jobs Act of 2017, opportunity zone funds are intended to help foster economic growth by providing tax benefits to incentivize private investments in designated opportunity zones.
About Capital Square
Capital Square is a vertically integrated national real estate firm specializing in tax-advantaged real estate investments, including Delaware statutory trusts for Section 1031 exchanges, qualified opportunity zone funds for tax deferral and exclusion, and a real estate investment trust (REIT) and development funds for higher returns in a shorter holding period. In recent years the company has become an active developer of mixed-use multifamily properties in the southeastern U.S., with eight current projects totaling approximately 2,000 apartment units with a total development cost in excess of $600 million. Since 2012, Capital Square has completed more than $7.5 billion in transaction volume. Capital Square’s related entities provide a range of services, including due diligence, acquisition, loan sourcing, property/asset management and disposition, for a growing number of high-net-worth investors, private equity firms, family offices and institutional investors. Since 2017, Capital Square has been recognized by Inc. 5000 as one of the fastest growing companies in the nation for six consecutive years. In 2017, 2018 and 2020, the company was also ranked on Richmond BizSense’s list of fastest growing companies. Additionally, Capital Square was listed by Virginia Business on their “Best Places to Work in Virginia” report in 2019 and their “Fantastic 50” reports in 2019 and 2020. In 2023, Capital Square was recognized by the Richmond Times-Dispatch as one of the region’s “Top Work Places.” To learn more, visit www.CapitalSq.com.
Disclaimer: Securities offered through WealthForge Securities, LLC, Member FINRA/SIPC. Capital Square and WealthForge Securities, LLC are separate entities. There are material risks associated with investing in DST properties and real estate securities including illiquidity, tenant vacancies, general market conditions and competition, lack of operating history, interest rate risks, the risk of new supply coming to market and softening rental rates, general risks of owning/operating commercial and multifamily properties, short term leases associated with multi-family properties, financing risks, potential adverse tax consequences, general economic risks, development risks, long hold periods, and potential loss of the entire investment principal. Past performance is not a guarantee of future results. Potential cash flow, returns and appreciation are not guaranteed. IRC Section 1031 is a complex tax concept; consult your legal or tax professional regarding the specifics of your particular situation. This is not a solicitation or an offer to see any securities. Please read the Private Placement Memorandum (PPM) in its entirety, paying careful attention to the risk section prior to investing. Private placements are speculative. Diversification does not guarantee profits or protect against losses.