Capital Square Fully Subscribes Sixth Build-for-Rent DST and 145th Offering Since Inception with North Carolina Community

WILMINGTON, N.C., March 6, 2025 /PRNewswire/ — 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 that its offering, CS1031 Sidbury Station BFR Housing, DST, has been fully subscribed. The Regulation D private placement, comprised of a 113-unit, build-for-rent (BFR) housing community in the Wilmington suburb of Castle Hayne, North Carolina, raised $22.9 million in equity from investors. Capital Square acquired Sidbury Station in July 2024.

“Sidbury Station is another successful DST/Section 1031 offering of a BFR community in the Sunbelt,” said Louis Rogers, founder and co-chief executive officer of Capital Square. “Capital Square invests in housing because housing is a necessity that has proven to be resilient over time. The BFR strategy is another arrow in our quiver along with newly constructed Class A apartments, older Class B apartments with value-add from renovations and age-restricted manufactured housing communities in Florida.”

Located at 6105 Dichondra Road, construction of Sidbury Station was completed in 2023. Developed by D.R. Horton, the nation’s largest homebuilder by volume, the modern units are a mix of three-, four- and five-bedroom detached single-family homes, averaging 1,829 square feet. The open floor plans feature high-end amenities, including granite countertops, stainless steel appliances, full-size washers and dryers, walk-in closets, smart home integration, backyards and attached two-car garages. Luxurious community amenities include a resort-style swimming pool, fitness center, clubhouse, sport court, playground and professional landscaping.

Sidbury Station is located on the North Carolina coast within the Wilmington metropolitan statistical area. The area offers a high quality of life characterized by a mild coastal climate, abundant outdoor recreational opportunities and a strong sense of community. The MSA includes opportunities to boat, fish and golf year-round, as well as family-friendly attractions, top-rated schools and a variety of dining options.

“Sidbury Station is a property in high demand with tenants seeking the benefits of single-family home rentals with large amenity packages, as it took less than one year for the community to reach 95% occupancy after its completion,” said Whitson Huffman, co-chief executive officer. “Capital Square is pleased to provide its investors with the opportunity to participate in the ownership of properties like this, which are discovered by our private equity acquisitions group as it employs a dedicated strategy to invest in build-for-rent communities in high-growth Sunbelt markets.”

The Wilmington region’s tourism sector, fueled by its pristine beaches and historic attractions, generated over $1 billion in revenue as of 2022, attracting millions of visitors seeking leisure and recreation opportunities.¹ The healthcare industry is another cornerstone, supported by major medical facilities and a growing demand for healthcare services.

Since its founding in 2012, Capital Square has acquired more than 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, along with opportunity zone funds and a real estate investment trust (REIT) that acquires rental housing in the Southeast and Texas.

Sources: 1. Port City Daily, 2023.

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). The company is also an active developer and manager of multifamily communities. Since 2012, Capital Square has completed more than $7.9 billion in transaction volume. Capital Square’s mixed-used development projects total over 2,000 apartment units with a total development value in excess of $800 million, and Capital Square Living, the firm’s property management division, now manages over 11,500 apartments across multiple states. 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. The company has been recognized by Inc. 5000 as one of the fastest growing companies in the nation for eight consecutive years. Learn more at CapitalSq.com.

Disclosure: 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. FINRA Broker Check link: https://brokercheck.finra.org/.

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SOURCE Capital Square