RICHMOND, VA – Capital Square, a leading sponsor of tax-deferred real estate investments, and its building partners broke ground for Scott & # 39; s Collection III, a luxury 72-unit apartment building in Scott & # 39; s Addition Qualifying Opportunity Zone in Richmond , Virginia.
"Scott & # 39; s Addition has become the most popular nightspot in Richmond," said Louis Rogers, Founder and CEO of Capital Square. "With luxury homes currently under construction, Scott & # 39; s Addition is soon becoming one of the most desirable places to live. No need to move, you can have it all – live, work and play, right here in Richmond, Virginia."
Scott & # 39; s Collection III, located at 3001 W. Leigh St., is a base development that will include a five-story, luxury multi-family property with 72 units, private balconies and a lobby area. Scott & # 39; s Collection III sits on 0.5 acres of land and will include a 3,000 square foot elevated courtyard, 2,500 square feet of ground floor space, and 61 on-site parking spaces.
"This groundbreaking is the culmination of three years of work, fundraising, educating our investor base about opportunity zones and countless hours of planning, design, project management, loan procurement and contracting," said Adam Stifel, Executive Vice President of Development. “Our goal was to offer a first-class boutique apartment product in three buildings, each of which benefits from the combined equipment package. Each of the buildings has different offers and different personalities. We are very excited that with this groundbreaking the entire collection has sprung up and the culmination of our endeavors is in sight. "
Scott & # 39; s Collection III is the third in a trio of developments that will form "Scott & # 39; s Collection" in Scott & # 39; s addition. The development of Scotts Collection III is the direct result of CSRA Opportunity Zone Fund III, LLC, a project-specific Opportunity Zone Fund launched by Capital Square in December 2019.
510 Architects, the architecture firm, helped develop Scott & # 39; s Collection III; Urbancore Construction, the general contractor; Fulton Bank, which provided the home loan finance; and Greystar, the property manager.
Established in 1901, Scott & # 39; s Addition is a historic neighborhood that is now the fastest growing neighborhood in the City of Richmond and the second highest performing market with a 95.5% occupancy rate as of March 2021, according to the Yardi Matrix . Scott & # 39; s Addition is a designated opportunity zone with a census district that spans Virginia Commonwealth University and the Carver neighborhood. Yardi Matrix also reports that rental prices for apartments in the neighborhood are expected to increase 3% to 4% annually for three years.
Opportunity zones have been created to encourage long-term private investment in low-income urban and rural communities across the country. Conceived as part of the Tax Cuts and Jobs Act of 2017, Opportunity Zone Funds are designed to help fuel economic growth by providing tax breaks to encourage private investment in designated opportunity zones.