Tuesday, March 14, 2017

Capital Square 1031 Completes Two Medical Office DST/1031 Exchange Offerings in Alabama and North Carolina

Louis Rogers
RICHMOND, Va. (March 14, 2017) – Capital Square 1031 announced today that its Delaware statutory trust offerings, CS1031 Birmingham MOB, DST and CS1031 Kinston MOB, DST, each comprised of a medical office building occupied by affiliates of Fresenius Medical Care in Alabama and North Carolina, respectively, have been fully subscribed by investors.

Capital Square 1031 has closed 32 DST offerings since its founding in late 2012.

“Each of these offerings include real estate occupied by the world’s leading provider of dialysis services and products for people with chronic kidney failure, which has 2,249 dialysis clinics across North America,” said Louis Rogers, founder and chief executive officer of Capital Square 1031.

“Dialysis is the life-saving process for artificially cleaning blood for patients with chronic kidney disease. The properties are well-located near doctor’s offices and hospitals, providing convenient access to patients, their caregivers and healthcare providers.

“We are pleased to complete these offerings and provide a growing number of investors with ownership of investment-grade, recession resistant real estate.”

CS1031 Birmingham MOB, DST acquired a newly-constructed, 8,140-square-foot medical office building that was built-to-suit for Fresenius Medical Care. Located at 3671 Roosevelt Blvd. in Birmingham, Alabama, the property is leased on a net basis for a base term of 15 years, plus extensions. Capital Square leveraged the property for exchange investors who need debt to obtain complete deferral under Section 1031 of the Internal Revenue Code. 

CS1031 Kinston MOB, DST acquired a 10,880-square-foot medical office building located at 604 Airport Road in Kinston, North Carolina, a Certificate of Need state. The clinic, which is one of the company’s largest dialysis clinics in North Carolina, is a flagship location for Fresenius.  Capital Square acquired the property in an all-cash (no debt) purchase for exchange investors who do not need debt to obtain deferral under Section 1031. 

“A growing number of exchange investors are seeking an all-cash, no debt, replacement property,” said Rogers.  “An ‘all-cash’ replacement property was almost unheard of five years ago.”

For a complete copy of the company’s news release, please contact:              

Julie Leber                                                                         
Spotlight Marketing Communications                    
949.427.5172, ext. 703                   


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