REAL ESTATE INVESTMENT
Capital Square | May 25, 2022
Capital Square, a national real estate investor and an active developer of multifamily communities, announced the launch of Capital Square Multifamily Development Fund I, L.P. The fund seeks to raise up to $300 million in equity from institutional investors who will participate in the development of a portfolio of ground-up, multifamily real estate communities located in emerging secondary markets in the Mid-Atlantic and Southeast regions of the United States.
There is a shortage of quality housing that traces its origin to the Great Real Estate Recession. The shortage was exacerbated by the COVID-19 pandemic that delayed or halted many new developments. To accelerate the development of new Class A institutional-quality multifamily communities, the fund will focus on shovel-ready, ground-up sites. Capital Square is bullish on Class A multifamily investments that generate an unrivaled combination of stable cash flow, appreciation potential and inflation protection. Investors are flocking to the multifamily asset class."
Louis Rogers, Founder and Chief Executive Officer of Capital Square
Capital Square Multifamily Development Fund I continues Capital Square's focus on investing in quality multifamily assets that have an opportunity to provide outsized returns to investors. The fund will invest in the limited partner equity portion of the capital stack and will focus on emerging secondary growth markets (e.g., Richmond, Charleston, and Knoxville) that lack institutional capital investment, including Richmond, Virginian, Charleston, South Carolina, and Knoxville, Tennessee.
"The housing crisis in this country has created strengthening fundamentals in our target markets, and multifamily investment continues to provide strong opportunities for compelling risk-adjusted returns for investors and will do so for the foreseeable future," said Whitson Huffman, chief strategy and investment officer.
Capital Square Multifamily Development Fund I seeks to invest in more than $850 million of development projects. The portfolio is expected to be comprised primarily of multifamily developments sponsored by one of Capital Square's vetted joint venture development partners. Under its current growth strategy, Capital Square plans to launch additional multifamily development fund offerings approximately every two years.
Over the past 10 years, Capital Square has completed more than $5.6 billion in real estate transactions in emerging secondary markets, including the acquisition of 13,100 multifamily units. Additionally, Capital Square is currently developing eight multifamily projects totaling 1,954 units. The company has cultivated an extensive network of owners, developers, and commercial real estate brokers that provide comprehensive sourcing ability and market intelligence.
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, 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 multifamily properties in the southeastern US, with eight current projects totaling approximately 2,000 apartment units with a total development cost in excess of $600 million. Since 2012, Capital Square has completed more than $5.6 billion in transaction volume. Capital Square's executive team has decades of experience in real estate investments. 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.
REAL ESTATE INVESTMENT
Gray Capital | June 30, 2022
Multifamily investment firm Gray Capital has closed on their acquisition of Club Meridian Apartments, a 406-unit property located in Okemos, MI just east of Lansing, MI.
Gray Capital intends to make strategic upgrades at the property, including siding and asphalt repairs, pool upgrades, re-painted balconies, new signage, and other exterior enhancements to boost the curb appeal of the property. Additionally, interior renovations like modern appliances, new flooring, and upgraded countertops will significantly increase the value of the asset and elevate its position in the rental market.
Club Meridian is already a well-maintained property, and this solid foundation will allow us to dedicate our resources to those renovations and improvements that are most important to residents and the quality of the property itself."
Spencer Gray, President and CEO of Gray Capital
George Tikijian, Hannah Ott, and Cameron Benz of the Indianapolis Cushman & Wakefield represented the seller in the transaction, with Gray Capital representing itself.
Club Meridian is the second property within Gray Capital's $100 million multifamily investment fund, The Gray Fund, and follows the acquisition of Indianapolis apartment property Stonybrook Commons one month prior.
The acquisition of Club Meridian and Stonybrook Commons in 2022 adds to Gray Capital's $600+ million in assets under management and more than $1 billion in commercial real estate projects to date since its founding in 2015.
REAL ESTATE TECHNOLOGY
Brokerfied | June 09, 2022
Brokerfied Inc. launched an online platform that provides landlords nationwide with a suite of tools to list and market their properties directly to potential customers. The platform was developed by expert commercial brokers to address the needs of small-scale commercial real estate owners who have long been neglected in the current market.
The commercial real estate market has traditionally focused on major landlords, investors, and brokerages, while landlords of smaller properties face difficulty finding brokers to list their properties and exorbitant broker fees, which are hard to justify for smaller spaces. Brokerfied bridges the gap, allowing landlords and customers to interface directly.
Brokerfied will change the game for landlords who have faced an uphill battle just to list their properties. This platform provides comprehensive support throughout the entire process, allowing small-scale commercial real estate owners to efficiently manage communications, paperwork, and logistics at low cost while expanding their reach to potential customers-tenants or buyers."
Dan Bernier,Brokerfied Founder
Brokerfied estimates that the 1.2 million small and vacant properties across the United States could drive revenue of three-quarters of a billion dollars annually, presenting a considerable opportunity for market disruption. Billions of dollars of additional revenue could be available to small landlords who currently do not have the experience or wherewithal to lease out their space or the marketing reach to find a buyer
Brokerfied is subscription-based, with plans ranging from one to six months. Once all necessary property information has been provided, Brokerfied creates a search-engine-optimized website with all available information for landlords to showcase their properties to potential customers. Other tools include a professional flyer for online and in-person marketing, signage with QR codes for owners to display on site, a Brokerfied email and phone number to safeguard landlords' private information and communication center where all property-related communications are consolidated. Relevant engagement statistics, such as QR code scans, emails, and phone calls are displayed on a user-friendly property dashboard.
"We envision vacant storefronts in neglected communities coming back to life, leading to bustling activity that will revitalize neighborhoods and encourage investment," Bernier said. "There are millions of properties across the country just waiting to be utilized, and Brokerfied provides landlords the tools to unlock their full potential."
Brokerfied is the only service that empowers landlords to list and market their properties directly to potential customers. Founded by commercial real estate veteran Dan Bernier, Brokerfied is a low-cost subscription that provides everything a landlord needs to market their commercial real estate for sale or for lease.