Capital Square, a leading sponsor of tax-advantaged real estate investments and a national developer and manager of housing communities, today announced that its Regulation D private placement offering, CS1031 Texas Active Living Portfolio I, DST, has been fully subscribed. Capital Square raised equity from investors participating in the offering of two boutique single-family-style active adult communities located in McKinney, a suburb of Dallas, and Waco, Texas. Structured as an all-cash acquisition with no mortgage debt, the portfolio eliminates interest rate and foreclosure risk for investors. The properties were acquired in March 2026, and the offering was fully subscribed in less than four months.

“With the aging of America, Capital Square is focused on providing housing for active adults in Texas and elsewhere,” said Louis Rogers, founder and co-chief executive officer of Capital Square. “The properties were acquired on an all cash, no debt basis for investors who seek dependable income without interest rate and refinancing risk. All cash DST offerings have become very popular lately with the run up in interest rates impacting cash flow on leveraged programs.”

Located at 2551 Alma Road in McKinney, Emerald Cottages of Stonebridge includes 44 single-story active-adult cottage homes with attached oversized garages and a community clubhouse. Interior finishes include upgraded flooring, granite countertops, custom cabinetry, stainless steel appliances, large walk-in closets and ample storage. Residents also benefit from proximity to McKinney’s historic downtown district, which features more than 120 shops, restaurants and wineries.

Emerald Cottages of Waco, located at 2412 Marketplace Drive, in Waco, includes 32 active-adult, single-story homes with attached garages. The cottage-style homes feature private entrances, a zero-maintenance lifestyle and luxury interior finishes consistent with the McKinney community. Waco is located along the I-35 corridor, approximately halfway between Dallas–Fort Worth and Austin, providing residents access to major metropolitan amenities and healthcare while maintaining a more relaxed lifestyle environment.

“The full subscription of Emerald Cottages of Stonebridge and Waco demonstrates strong investor demand for single-family-style communities serving the active-adult demographic,” said Whitson Huffman, co-chief executive officer and chief investment officer of Capital Square. “As the nation’s 55-plus population continues to expand, purpose-built rental communities of this quality remain in limited supply in Texas’ high-growth corridors. The offering provided 1031 exchange investors with a compelling replacement property solution backed by durable demographic tailwinds, reflecting the standard of quality Capital Square delivers to its investors.”

McKinney is one of the fastest-growing communities in North Texas, according to McKinney Development Services, with a city population of approximately 224,000 and a Collin County population of roughly 1.2 million and growing. McKinney Economic Development Corporation reports long-term population growth in the city of approximately 379% between 1999 and 2019.

Waco is located in McLennan County, which has a population of approximately 268,000, according to Heart of Texas Council of Governments, with the City of Waco comprising roughly 144,000 residents. Waco Economic Development Group reports that population growth in the region averages approximately 1.5% annually, and approximately 26.8% of the population is aged 55 and older, supporting sustained demand for age-restricted housing options.

Since its founding in 2012, Capital Square has acquired more than 175 real estate assets on behalf of over 6,500 investors seeking quality replacement properties that qualify for tax deferral under Section 1031 of the Internal Revenue Code, along with others seeking stable cash flow and capital appreciation.

About Capital Square

Capital Square is a vertically integrated, 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, development funds and a real estate investment trust (REIT). The company is also an active developer and manager of multifamily communities. Since 2012, Capital Square has completed more than $9.1 billion in transaction volume. Its mixed-use development projects total over 2,700 housing units with an aggregate development value in excess of $1 billion, and Capital Square Living, the firm’s property management division, oversees nearly 14,000 apartments across eight states. 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. The company has been recognized by Inc. 5000 as one of the fastest-growing private companies in the nation for nine consecutive years. Learn more at CapitalSq.com.

Disclosure

Securities offered through WealthForge Securities, LLC, Member FINRA/SIPC. Capital Square and WealthForge Securities, LLC are separate entities. There are material risks associated with investing in DST properties and real estate securities including illiquidity, tenant vacancies, general market conditions and competition, lack of operating history, interest rate risks, the risk of new supply coming to market and softening rental rates, general risks of owning/operating commercial and multifamily properties, short-term leases associated with multifamily properties, financing risks, potential adverse tax consequences, general economic risks, development risks, long hold periods, and potential loss of the entire investment principal. Past performance is not a guarantee of future results. Potential cash flow, returns and appreciation are not guaranteed. IRC Section 1031 is a complex tax concept; consult your legal or tax professional regarding the specifics of your particular situation. This is not a solicitation or an offer to sell any securities. Please read the Private Placement Memorandum (PPM) in its entirety, paying careful attention to the risk section prior to investing. Private placements are speculative and illiquid. Diversification does not guarantee profits or protect against losses. FINRA Broker Check link: https://brokercheck.finra.org/.

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