Capital Square and Perch Complete Construction of Single-Family Build-For-Rent (BFR) Community Near Dallas
DALLAS (April 02, 2024) – Capital Square, one of the nation’s leading sponsors of tax-advantaged real estate investments and an active developer and manager of housing communities, announced today the construction completion of Perch Denton, a 195-unit, single-family build-for-rent community in the Dallas suburb of Denton, Texas. Capital Square has partnered with Good + West Residential and Montgomery Street Partners (collectively, “Perch”) as co-developers on the project.
Substantially all certificates of occupancy have been issued and nearly one-third of the homes are already occupied with strong leasing activity underway.
“Capital Square is a vertically integrated, national real estate firm built on three pillars: invest, build and manage,” said Louis Rogers, founder and co-chief executive officer of Capital Square. “Perch Denton is a part of Capital Square’s build strategy that gives the firm a competitive advantage by building our own investment properties for the various investment programs, DST, opportunity zone funds and the REIT.”
Located at 2205 N. Bonnie Brae Street, the 18-acre development includes a mix of one-, two- and three-bedroom single-family homes that average 1,005 square feet. Community amenities include a resort-style pool, fitness center, business center, dog park, pavilion and pickleball court all developed and marketed under the Perch brand.
An abundance of retail, shopping and dining options can be found within a mile of the property, including the adjacent Rayzor Ranch Marketplace anchored by Walmart, Sam’s Club and H-E-B. Immediately to the south is Rayzor Ranch Town Center, which contains an array of fast-casual and sit-down dining options, including In-N-Out, Chipotle, Chili’s and more.
With direct access to Interstate 35 and University Drive, Denton’s primary east and west thoroughfares, residents have direct access to downtown Denton, Frisco, McKinney, Dallas Fort Worth International Airport, Fort Worth and Dallas.
“Denton and its neighboring counties have experienced outsized population and job growth. Capital Square is pleased to help alleviate the shortage of quality housing with the delivery of 195 new single-family homes,” said Whitson Huffman, co-chief executive officer. “Leasing activity has been strong, and we are exceeding our projections for realized rents, underscoring our belief that the Dallas Metroplex is an ideal market for high-quality build-for-rent communities like Perch Denton.”
Capital Square formed a joint venture with Good + West Residential and Montgomery Street Partners to develop Perch Denton, which has been capitalized with funds raised from accredited investors in Capital Square Denton BFR, LLC, a private placement investment sponsored by Capital Square.
Capital Square currently has another build-for-rent community under construction in Glendale, Arizona. The 29-acre lot in the Phoenix suburb will become Ironwood Homes at Rosefield and feature 320 single-family rental homes and plenty of amenities. Development of the project is being primarily funded with proceeds from Capital Square Glendale BFR, LLC, a project-specific limited liability company that is currently raising approximately $49 million in equity from accredited investors.
Since its founding in 2012, Capital Square has acquired 170 real estate assets for over 6,500 investors seeking quality replacement properties that qualify for tax deferral under Section 1031 of the Internal Revenue Code and other investors seeking stable cash flow and capital appreciation, along with opportunity zone funds and a real estate investment trust (REIT) that acquires rental housing in the Southeast and Texas.
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). 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 $590 million. Since 2012, Capital Square has completed more than $7.8 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 seven 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 multifamily 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.
