Capital Square Launches $37.35M All-Cash DST on Active Adult Community Near San Antonio

Capital Square has launched CS1031 Texas Active Living New Braunfels, DST, a $37.35 million all-cash Delaware statutory trust offering. The offering gives accredited investors beneficial interests in a 72-home, age-restricted cottage community in New Braunfels, Texas, a city in Comal County between San Antonio and Austin.

It is the fourth Texas Active Living offering in Capital Square’s DST/1031 program. Like the previous three, it carries no mortgage debt. In June, Capital Square launched CS1031 Texas Active Living Portfolio II, DST, an all-cash offering of two 32-home Emerald Cottages communities in Kerrville and Round Rock, Texas. An earlier Texas active adult offering, CS1031 Texas Active Adult Living I, DST, was fully subscribed in December 2025 after raising $34 million from accredited investors.

Unlike the two communities in Portfolio II, which Capital Square said were fully occupied with waitlists at launch, the New Braunfels property is still in initial lease-up. Capital Square said it was 91.7% leased as of September 2026.

“The active adult segment is gaining in popularity as the population ages and more active adults sell their homes and choose purpose-built rental communities designed for this stage of life,” said Louis Rogers, founder and co-chief executive officer of Capital Square. “We believe these demographic trends support strong, long-term demand for the active adult housing sector, creating a compelling opportunity for investors.”

Emerald Cottages of New Braunfels sits on an 11-acre site at 3025 Oak Run Parkway. Capital Square said it is the largest community in the Emerald Cottages portfolio. The property’s 72 single-story one- and two-bedroom cottage homes were completed between 2022 and 2024. They include private drives, attached garages, in-unit washers and dryers, and accessibility features for senior residents. Amenities include an approximately 4,400-square-foot clubhouse, a fitness room, a business center, a dining room, a swimming pool, and a barbecue and picnic area.

The community is along the Interstate 35 corridor, about 40 minutes by car from downtown San Antonio and roughly 75 minutes from downtown Austin. Capital Square cited U.S. Census Bureau data showing that Comal County’s population has grown 29.6% since 2020. Over the same period, New Braunfels’ population has grown 35.5% to 122,492. The sponsor also cited a Berkadia Real Estate Advisors projection that the San Antonio-New Braunfels metro will grow another 5.6% by 2030.

Major local employers include Comal Independent School District, the City of New Braunfels, Rush Enterprises, and CHRISTUS Santa Rosa Hospital, one of two full-service hospitals in the city along with Resolute Baptist.

“The area continues to attract new residents, and its diversified economy, established healthcare infrastructure and recreational amenities make it well suited for age-restricted living,” said Whitson Huffman, co-chief executive officer and chief investment officer of Capital Square.

Capital Square said that since its founding in 2012, it has acquired more than 175 real estate assets on behalf of more than 6,500 investors and completed more than $9.1 billion in transaction volume. Capital Square Living, its property management division, oversees nearly 14,000 apartments across eight states.

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