Capital Square Zero-Coupon DFW Hospitality DST

TX

Property Type

Hospitality

Assumable Loan

77.78% LTV

Current Yield

Zero-Coupon

Distributions

Zero-Coupon

Estimated Hold Period

10 Years

721 Exchange (UPREIT)

Optional

Capital Square Zero-Coupon DFW Hospitality DST

Investment Highlights

  • CS1031 Zero-Coupon DFW Hospitality DST is an investment in an approximately 0.92-acre, 99-year ground lease site located in Fort Worth, Texas.

  • Location: heart of downtown Fort Worth, steps from Sundance Square. Only 0.2 miles from Fort Worth Transit Center and 25 miles from DFW International Airport.

  • Property: newly constructed in 2024, 14-story Class A hotel with 188 rooms.

  • The 36-year loan term provides the trust with flexibility to exit the investment in ideal market conditions without risks imposed by a pending loan maturity.

  • Fully amortizing loan with zero residual loan balance to pay off upon maturity.

  • The sponsor believes that the loan's sub-6% interest rate is highly attractive compared to 30-year corporate bonds with investment-grade A-AAA ratings. This rate supports higher leverage and a larger loan amount.