Capital Square Taps Richmond's Boom with Active Living DST Offering

RICHMOND, VA – December 29, 2025 – Capital Square, a prominent national real estate investment and development firm, has announced the launch of a new investment offering that pinpoints the intersection of major demographic shifts and regional economic strength. The firm has rolled out CS1031 Richmond Active Adult Living Apartments, DST, a $33.3 million Delaware statutory trust designed for accredited investors. The offering provides fractional ownership in Everleigh Short Pump, a 165-unit, Class A multifamily community specifically for residents age 55 and older, located in a thriving suburb of Richmond, Virginia.

This move signals a deepened focus on the burgeoning active adult housing sector, a market segment that caters to a growing population of older Americans seeking lifestyle-rich, community-oriented living without the need for medical care. With the property already boasting a high occupancy rate of 95.7%, the investment provides immediate stability while tapping into long-term growth trends.

Redefining Retirement: The Active Adult Housing Boom

The investment in Everleigh Short Pump is a strategic bet on a fundamental shift in senior housing. Unlike traditional senior living or assisted care facilities, active adult communities are designed for independent, healthy individuals seeking a vibrant social environment and maintenance-free living. These properties focus on amenities, community engagement, and lifestyle enhancement.

"Active adult communities such as Everleigh Short Pump reflect the convergence of powerful demographic trends, lifestyle-driven housing demand, and durable long-term fundamentals," said Louis Rogers, founder and co-chief executive officer of Capital Square. "As 1031 exchange investors increasingly seek high-quality replacement properties that offer both income potential and long-term growth, Capital Square believes well-located, age-restricted multifamily assets will continue to play an important role in a diversified real estate portfolio."

Everleigh Short Pump exemplifies this model. The community features one-, two-, and three-bedroom apartments with premium finishes and nine-foot ceilings. However, its main draw lies in its extensive amenities, which include a heated swimming pool, a yoga studio, a sun deck, a resident lounge, and a theater room. A full-time activities director is on staff to curate a calendar of engaging experiences, from happy hours and fitness programs to creative and educational classes, fostering a strong sense of community among residents.

The demographic data for the area underscores the demand. Within a five-mile radius of the property, over 30% of the population is age 55 or older, with an additional 12% falling between the ages of 45 and 54. This sizable and growing demographic is the prime market for lifestyle-oriented housing that bridges the gap between traditional homeownership and need-based senior care.

Richmond's Economic Renaissance Fuels Real Estate Confidence

Capital Square's confidence in the project is bolstered by the robust economic fundamentals of the Richmond metropolitan area. The city, one of America's oldest, has transformed into a modern economic hub, attracting significant corporate investment and a steady influx of new residents. This economic vitality creates a stable foundation for real estate investments.

"Richmond continues to stand out as one of the most stable and compelling demographic markets in the Southeast," noted Whitson Huffman, co-chief executive officer and chief investment officer for the firm. "Both statewide and regional unemployment remain below national levels, and the city has experienced meaningful population growth over the past decade. These strong economic fundamentals and steady in-migration support long-term housing demand and reinforce our confidence in the market's continued performance."

As of August 2025, the unemployment rate in both Virginia and the Richmond metro area stood at 3.7%, considerably lower than the national rate of 4.3% for the same period. This low unemployment is supported by massive new investments. Global pharmaceutical giant Eli Lilly is constructing a $5 billion manufacturing facility nearby, a project expected to create 650 permanent jobs and 1,800 construction jobs. In a similar vote of confidence for the region, the LEGO Group has broken ground on a two-million-square-foot distribution center, an investment of over $360 million that will add more than 300 jobs.

These large-scale projects not only create direct employment but also have a significant ripple effect, driving ancillary business growth and increasing the overall demand for high-quality housing across the region. The property's location in the Short Pump suburb provides residents with prime access to this growing economy, situated near 5.5 million square feet of retail and dining and across from a Kroger-anchored shopping center.

The Mechanics of a DST for Tax-Advantaged Investing

The offering is structured as a Delaware Statutory Trust (DST), a legal entity that allows multiple investors to pool their funds to acquire a single, high-value property. Each investor owns a fractional interest in the trust, which in turn holds the title to the real estate. This structure provides access to institutional-grade properties that would typically be out of reach for individual investors.

A primary appeal of the DST structure is its compatibility with Section 1031 of the Internal Revenue Code. A 1031 exchange allows an investor who sells a business or investment property to defer paying capital gains taxes by reinvesting the proceeds into a "like-kind" replacement property. DSTs like the one offered by Capital Square qualify as suitable replacement properties, providing a passive, professionally managed solution for 1031 exchange investors.

Since its founding in 2012, Capital Square has become a leading sponsor of such tax-advantaged real estate investments, having acquired over 175 assets on behalf of more than 6,500 investors. This latest offering continues the firm's strategy of identifying high-quality, income-producing assets in growth markets to meet the steady demand from investors seeking tax deferral, stable cash flow, and potential for long-term capital appreciation.

The firm's vertically integrated model, which includes development, acquisition, and property management through its Capital Square Living division, allows it to oversee the entire lifecycle of an asset. This comprehensive approach provides investors with a layer of professional oversight across a portfolio that now includes more than 13,000 managed apartment units. This combination of a sophisticated investment vehicle, a sought-after property type, and a robust economic backdrop makes the Everleigh Short Pump offering a noteworthy development in the commercial real estate market.