Kingsbarn Capital and Development, the development affiliate of Kingsbarn Realty Capital (“Company” or “Kingsbarn”), announced the acquisition of 6.12 acres of entitled land located at Little Lane and Janas Way in Carson City, Nevada (the “Property”). Kingsbarn intends to break ground in July on the multifamily development site on which it will construct 140 garden-style apartment units to the currently supply-constrained Carson City market. Kingsbarn anticipates the lease-up to begin one year later with 95% occupancy expected by the spring of 2023.
The Property is in a federally declared Opportunity Zone, providing investors with a unique opportunity to benefit from the Tax Cuts and Jobs Act enacted Dec. 22, 2017. Investors who qualify for these tax benefits could defer up to 100% of their capital gain from this investment should the investment be held for at least 10 years.
“This is a well-positioned multifamily development in a rapidly growing community where housing is in short supply. The property has great frontage along Little Lane and is only a few blocks from the Nevada State Capitol. We expect this Property to provide stable cash flow to our investors for years to come,” said Kingsbarn CEO Jeff Pori.
The Company will offer the investment interests in the Property through a newly formed Qualified Opportunity Zone Fund. There will be approximately $10 million of investment equity offered in this Q-Zone Fund. Kingsbarn, as the sponsor, will provide approximately 40% of the equity required for the project.