Capital Square 1031 Sells Stabilized TIC-Owned Office Park in Richmond, Virginia

Capital Square 1031, a sponsor of replacement property for Section 1031 exchanges, stabilized and sold Forest Office Park in Richmond, Virginia, a tenant-in-common owned property, for $24.1 million.

Capital Square assumed sponsorship and management in February 2016, replacing Daymark Realty Advisors as the previous manager after more than five years. Capital Square served as loan guarantor for the TIC program, refinancing the maturing loan and positioning the property for sale. The defunct Triple Net Properties was the original sponsor.

Bradford Bodley, an owner in the TIC program, said “Capital Square stepped in during the eleventh hour of a failed refinance effort and provided the necessary lender guarantees required to successfully refinance the project. These actions resulted in significant investor savings and further enabled the asset to progress toward a successful sale.”

Forest Office Park, located in Richmond’s West End at the corner of Three Chopt Road and Forest Avenue, is a 230,000-square-foot office complex that was approximately 95 percent leased at the time of sale. The company said that it had maintained high occupancies over the last several years with a strong presence by government tenants.

“Capital Square is pleased to have brought this mature TIC program full-cycle for the owners in an expedited fashion,” said Louis Rogers, chief executive officer of Capital Square. “Our firm has specialized expertise and in-depth knowledge about the nuances of tenant-in-common and Delaware statutory trust structures, and is well positioned to help property owners manage, refinance, recapitalize, turn-around and sell their real estate.”

Capital Square 1031 sponsors institutional-quality real estate exchange programs that qualify for tax deferral under Section 1031 of the Internal Revenue Code. The firm provides a range of services, including due diligence, acquisition, loan sourcing, property management/asset management, and disposition for high net worth investors, private equity firms, family offices and institutional investors. As of December 7, the firm oversees a growing national portfolio of 56 real estate assets valued at approximately $566 million (based on investment cost).

Click here to visit the Capital Square 1031 directory sponsor page.