Capital Square 1031 has acquired a 2.69 million-square-foot distribution facility, located in Bondurant, Iowa, on a long-term absolute net lease to Amazon.com. The facility was acquired on behalf of CS1031 Zero Coupon Fulfillment Center, DST, which seeks to raise $52.2 million in equity from accredited investors.
The financial terms were not disclosed; however, the seller was Mesirow Realty Sale-Leaseback.
“This significant offering is designed for Section 1031 exchange investors who need additional debt because their replacement property has lower leverage than their relinquished property," said Louis Rogers, founder and CEO. “Section 1031 requires equal or greater debt to qualify for 100 percent tax deferral, but leverage today is much lower than in the past, making high LTV offerings very desirable. In addition to exchangers, other owners of real estate want to invest in real estate like this that generates excess passive losses from a combination of depreciatio
