Capital Square Closes Construction Loan for Project-Specific Opportunity Zone Fund Multifamily Project in Richmond, Virginia

Capital Square Closes Construction Loan for Project-Specific Opportunity Zone Fund Multifamily Project in Richmond, Virginia

RICHMOND, VA - Capital Square, a leading sponsor of tax-advantaged real estate investments, announced today that the firm has secured a loan from M&T Bank to facilitate the construction of Scott's Collection I, a mixed-use multifamily property in the Scott's Addition designated opportunity zone in Richmond, Virginia. 

The development of Scott's Collection I is the direct result of CSRA Opportunity Zone Fund I, LLC, a project-specific opportunity zone fund launched by Capital Square in July 2019. The opportunity zone fund raised equity to begin the development of the project.

"Capital Square's Scott's Collection I is an important part of the transformation of Richmond's Scott's Addition neighborhood," said Louis Rogers, founder and chief executive officer of Capital Square.  "Our partnership with M&T Bank highlights the strength and vitality of the project. Lenders have become increasingly cautious since the outbreak of the coronavirus pandemic. Capital Square's ability to source this loan during the pandemic demonstrates the depth of our lender relationships and the importance of the Scott's Collection development as part of the revitalization of this emerging neighborhood."

Part of a collection of three mixed-use multifamily properties, Scott's Collection is Capital Square's inaugural development project and part of the transformation of Scott's Addition from an industrial part of Greater Richmond into a thriving hip, urban residential and retail destination. 

Rogers noted that Scott's Collection will bring over $50 million in revitalization to the surrounding area.

Located at 3000 – 3008 West Clay St., Scott's Collection I is a single-structure, ground-up development that will include a five-story, Class A multifamily community with 80 units, private balconies and a lobby area. Situated on approximately 0.54 acres of land, Scott's Collection I will feature a 3,700-square-foot, elevated courtyard and 65-70 onsite parking spaces. The corner-lot property has unobstructed views of the Scott's Addition neighborhood and downtown Richmond. 

Capital Square was represented by Jamie Butler, managing director of capital markets at Walker & Dunlop, in securing the construction loan from M&T Bank.

"We are pleased to deliver this modern development to Capital Square's home city and to provide employment opportunities to those in our local community," said Adam Stifel, executive vice president of development.

Source: Capital Square

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