Turning Rock Partners has provided $10 million in financing to Capital Square 1031, a real estate investment sponsor and asset management firm. The capital will be used for growth.
PR Newswire — Turning Rock Partners (“TRP” or “Turning Rock”), a private investment firm based in New York, on Friday May 18, 2018, announced the closing of $10 million in preferred financing to Capital Square 1031, tied to long-term contractual fee streams generated by a diversified portfolio of real assets. Capital Square 1031 is a high-growth, privately-held real estate investment sponsor and asset management firm that provides recurring services to its clients. Among the highlights of the Turning Rock Partners financing:
· Advantaged entry driven by significant subordinated capital
· Definable cash flow tied to contractual fee base
· Downside coverage underpinned by long-term real asset value
· Path to exit provided by short term duration of financing
“Our partnership with the Capital Square team will serve as a growth catalyst for the company. The transaction gives Capital Square continued access to capital that will allow them to deliver superior service to their customers, while also providing a springboard into new markets,” said David Markus, a partner at Turning Rock. “We believe the team is poised for further growth. Additionally, the expanded demand for yielding real assets and a high degree of alignment of interests by management makes this a compelling investment,” Markus added.
Capital Square 1031 is a national real estate investment and management company that sponsors real estate exchange programs that qualify for tax deferral under Section 1031 of the Internal Revenue Code.
The firm uses the Delaware Statutory Trust (DST) structure to make quality real estate available to a larger number of investors. Capital Square provides a range of services, including due diligence, acquisition, loan sourcing, property management/asset management, and disposition, for a growing number of high net worth investors, private equity firms, family offices and institutional investors.
The close of this $10 million preferred financing project marks Turning Rock’s fourth transaction in the past three quarters. Turning Rock Partners was advised by Matt Harris, Partner at Arnall Golden Gregory LLP.
Turning Rock targets debt, equity and hybrid investments in underserved or capital constrained lower-middle market businesses in North America. The firm structures bespoke financing solutions for companies across the private market landscape. Turning Rock is a women-owned business headquartered in New York, NY. For more information, please visit our website: www.turningrockpartners.com. For Turning Rock investor relations, please contact firstname.lastname@example.org.