Sponsored: Capital Square Surpasses $1B in 2025 Dispositions, Sets Record for UPREIT Transactions, OZ Deliveries
By Sponsored
Capital Square, a leading sponsor of tax-advantaged real estate investments and an active developer and manager of housing communities across the nation, announced that 2025 marked the most active year in the company’s history. Highlights of 2025 include more than $1 billion in total dispositions, surpassing $1 billion in multifamily transaction volume, record deliveries of opportunity zone developments, and significant execution across its Delaware statutory trust, qualified opportunity zone fund, development fund, and real estate investment trust platforms.
During the year, Capital Square generated $302.8 million in full-cycle DST transaction volume, representing the highest annual DST sales activity since the firm’s founding. The company also completed several individual property sales from larger portfolios, contributing to its overall disposition activity and reinforcing investor liquidity across multiple strategies.
“2025 was a record year for Capital Square,” said Louis Rogers, founder and co-chief executive officer of Capital Square. “We executed at scale across every part of our platform – delivering liquidity, expanding our multifamily footprint, and providing investors with multiple paths to reinvest and continue compounding tax-efficient wealth.”
Record DST Performance and Investor Reinvestment
Capital Square fully subscribed six DST programs in 2025 and successfully took an additional 10 offerings full-cycle, with the majority of investors electing to reinvest in another Capital Square-sponsored DST to continue tax deferral under Internal Revenue Code Section 1031. Also, an increasing number of DST investors elected to contribute their DST interests to Capital Square Housing Trust, Capital Square’s real estate investment trust, to obtain permanent tax deferral along with numerous benefits not available in the DST structure.
Capital Square Housing Trust Nearly Doubles Gross Asset Value
Capital Square Housing Trust recorded significant growth in 2025, with gross asset value increasing from $212 million to $388.9 million, as the portfolio expanded by five properties year-over-year. The REIT also entered Tennessee, adding 912 multifamily units and further diversifying its geographic footprint.
During the year, Capital Square Housing Trust completed five UPREIT transactions. The first two were DST-to-UPREIT acquisitions:
- Marina Pointe Apartments, a 308-unit multifamily community in Chattanooga, Tenn., with distributions to DST investors projected to increase more than 22% based on appreciation in value; and
- Promenade at Newnan Crossing Apartments, a 298-unit multifamily community in Newnan, Ga., within the Atlanta metropolitan area, with distributions to DST investors projected to increase more than 52%.
The remaining three transactions were unaffiliated whole-property UPREIT acquisitions:
- Wellington Place and Lawndale Farms Apartments, a 250-unit, two-property portfolio in Henrico County, Va.; and
- Fort Sedgwick, a 56-unit multifamily community in Petersburg, Va.
The REIT also fully subscribed its Series 1 Redeemable and Convertible 9% Preferred Stock offering, raising $24 million, and launched Capital Square Housing Trust Series 2 Class A and Class I Redeemable and Convertible Preferred Stock.
Record Opportunity Zone Development and Build-for-Rent Expansion
2025 was a banner year for Capital Square’s development team. As of year-end, Capital Square delivered four major development projects, with a total development cost exceeding $465 million:
- Maeve (CSRA Opportunity Zone Fund VI, LLC), a 20-story, 297-unit mixed-use multifamily community with more than 10,000 square feet of retail space;
- The Nickel Hotel (CSRA Opportunity Zone Fund IV), a 50-unit boutique hospitality property in Charleston, S.C.;
- Livano Knoxville (CSRA Opportunity Zone Fund VIII), a 348-unit Class A multifamily community in Knoxville, Tenn.; and
- Chasen (CSRA Opportunity Zone Fund VII), Building 3, a multifamily community in Richmond, Va., which has begun leasing and welcoming residents.
Maeve received a 2025 Imprint Award from the Downtown Raleigh Alliance and an Award of Merit in Residential/Hospitality from Engineering News-Record Texas & Southeast. The Nickel Hotel received an Architectural Merit Award from Charleston’s Board of Architectural Review (BAR) and was a finalist in the 45th annual Gold Key Awards for Excellence in Hospitality Design.
The firm also expanded its build-for-rent, or BFR, platform with the launch of Capital Square Blue Horizons BFR, LLC, a 238-unit community in Buckeye, Ariz. (Phoenix MSA), and successfully capitalized Capital Square Glendale BFR, LLC, a 320-unit community in Glendale, Ariz.
Capital Square Living Continues to Scale
Capital Square Living, the firm’s property management division, managed 13,273 units across 57 sites by year-end, operating in 23 markets across 34 cities in eight states. The platform earned multiple honors at the Chattanooga Apartment Association Annual Awards, including top awards for Lullwater at Big Ridge, One Riverside, and Integra Vistas Apartments.
Capital Square Living’s elevate leadership development program also launched in 2025, focusing on skill-building and empowering both current and future leaders within the organization.
National Recognition
Throughout 2025, Capital Square received several national recognitions, including placement on Multi-Housing News’ Top Multifamily Property Owners list, inclusion on the Inc. 5000 list of fastest-growing companies for the ninth consecutive year, GlobeSt. CRE’s Best Places to Work designation and WealthManagement.com’s Impact Award.
“Across market cycles, Capital Square remains focused on disciplined execution and long-term value creation,” said Whitson Huffman, co-CEO and chief investment officer of Capital Square. “The scale of activity achieved in 2025 reflects the strength of our vertically integrated platform and ability to deliver consistent tax-advantaged outcomes for investors.”
By year’s end, Capital Square’s real estate portfolio consisted of 66 multifamily, 13 manufactured housing and 49 commercial assets, with aggregate occupancy of 92%.
Since its founding in 2012, the firm has acquired more than 175 real estate assets on behalf of over 6,500 investors. Capital Square’s 2025 performance underscores the firm’s ability to execute across multiple tax-advantaged strategies while leveraging its development and management divisions to drive long-term value creation for investors. Capital Square has completed more than $7.9 billion in transaction volume.
Capital Square is a sponsor of AltsWire, and the article was published as part of their standard directory sponsorship package.
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