FORT WORTH—Capital Square Realty Advisors LLC has completed its first transaction in Texas and it won’t be their last.
Capital Square says their Delaware Statutory Trust investment offering, of a 44,000-square-foot retail facility occupied by 24 Hour Fitness, has been fully subscribed by investors.
“The location is spectacular for a retail user like 24 Hour fitness and the real estate for an investor is superb because it is a very strong tenant,” Louis Rogers, founder and chief executive officer of Capital Square tells GlobeSt.com. “We have a high degree of confidence that the tenant will retain the rent for the full 15 years of the lease.”
Located at 5901 Golden Triangle Blvd. in Keller, Texas, the property is in a high traffic area with 190,000 residents within a 5-mile radius. The expanded fitness center features a full-size basketball court, group exercise facilities, an indoor lap pool, whirlpool, racquetball court, and sauna.
Capital Square notes the firm acquired the 24 fitness because of the desirable location in Dallas/Fort Worth market which boasts strong employment growth. Additionally the site is surrounded by some of the best retailers, says Rogers.
Dallas/Fort Worth had the second-highest number of jobs added behind only New York for the twelve month period ending in October 2013. The Bureau of Labor Statistics ranked the Dallas/Fort Worth metro first for the fastest growing employment among the top largest metro areas, growing at a 3.1%.
Capital Square Realty Advisors specializes in the creation and management of real estate investment programs for Section 1031 exchange investors using the Delaware Statutory Trust structure.
“DST business is increasing dramatically. Coming out of the recession there weren’t a lot of sales but as the economy stabilized there have been increasing sales of investment properties,” adds Rogers.
The Keller 24 Hour Fitness is the first investment in Texas for Capital Square but the firm says they are actively seeking additional properties throughout Texas.