Business Wire

Capital Square Fully Subscribes DST Offering of Active-Adult Communities in Texas

Business Wire

WACO, Texas, October 20, 2026--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."