Capital Square Breaks Ground on Fourth Opportunity Zone Project in Richmond, Virginia
May 25, 2021 | Capital Square
RICHMOND, Va. (May 25, 2021) – Capital Square, a leading sponsor of tax-advantaged real estate investments, and its construction partners have broken ground on Scott’s Collection III, a 72-unit, luxury multifamily development in the Scott’s Addition qualified opportunity zone in Richmond, Virginia.
“Scott’s Addition has become the most popular evening venue in Richmond,” said Louis Rogers, founder and chief executive officer of Capital Square. “With luxury apartments now under construction, Scott’s Addition soon will become one of the most desirable places to live. You don’t have to move, you can have it all – live, work and play, right here in Richmond, Virginia.”
Located at 3001 W. Leigh St., Scott’s Collection III is a ground-up development that will include a five-story, luxury multifamily community with 72 units, private unit balconies and a lobby area. Situated on 0.5 acres of land, Scott’s Collection III will feature a 3,000-square-foot elevated courtyard, 2,500 square feet of ground-floor space and 61 onsite parking spaces.
“This groundbreaking represents the culmination of three years of work, fundraising, educating our investor base on opportunity zones, and countless hours of planning, design, project management, sourcing debt and contracting,” said Adam Stifel, executive vice president of development. “We set out with a vision to provide a best-in-class boutique apartment product across three buildings, which will each benefit from the combined amenities package. Each of the buildings have different offerings, and different personalities. We are very excited that with this groundbreaking the entire collection is out of the ground and the culmination of our efforts is in sight.”
Scott’s Collection III is the third in a trio of developments that will make up “Scott’s Collection” in Scott’s Addition. The development of Scott’s Collection III is the direct result of CSRA Opportunity Zone Fund III, LLC, a project-specific opportunity zone fund launched by Capital Square in December 2019.
Assisting in the development of Scott’s Collection III are 510 Architects, the architecture firm; Urbancore Construction, the general contractor; Fulton Bank, which provided the construction loan financing; and Greystar, the property manager.
Established in 1901, Scott’s Addition is a historic area that is now the City of Richmond’s fastest growing neighborhood and the second-highest performing market with 95.5% occupancy as of March 2021, according to Yardi Matrix. Scott’s Addition is a designated opportunity zone with a census tract that stretches across Virginia Commonwealth University and the Carver neighborhood. Yardi Matrix also reports that apartment rental rates in the neighborhood are projected to increase 3% to 4% per year for three years.
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 national real estate firm specializing in tax-advantaged real estate
investments, including Delaware statutory trusts for Section 1031 exchanges and qualified opportunity zone funds for tax deferral and exclusion. Since 2012, Capital Square has completed more than $3 billion in transaction volume. Capital Square’s executive team has decades of experience in real estate investments. Its founder, Louis Rogers, has structured hundreds of investment offerings totaling in excess of $5 billion. 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 four 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. To learn more, visit www.CapitalSquare1031.com.
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