Circle Squared Alternative Investments is quickly approaching a significant milestone of $1 billion in total project capitalizations that we have been a part of. We are truly grateful for your trust and partnership, which has made this milestone possible. We remain committed to our continued relationship.
Here is a recap of the year as well as a glimpse into the future.
2018 marked a very productive and successful year for Circle Squared Alternative Investments and our partners.
A few of our highlights include:
- Involvement in 13 real estate projects with a total projected value exceeding $250 million.
- Participated in our third hotel investment, a value-add project in Lake Placid, NY. Among other upgrades, the substantial renovation involves a proposed rooftop bar with sweeping views of Mirror Lake and its surrounding mountains.
- Commenced construction on a pre-leased Medical Office Building in partnership with Hackensack Meridian Mountainside Hospital, as part of their Montclair Campus.
- Additionally, we continued to expand our Self Storage portfolio, adding six new Self Storage facilities located in NJ, NY, and RI. These assets are in various stages of development.
A major area of focus for us is to leverage new tax legislation. From a macro perspective, with the recent changes in Tax Policy and the increasing demand for Class-A Multi-Family assets, CSQ continues to uncover and acquire well located residential projects with traditionally high barriers to entry. In 2018 alone, we acquired or started development on over 600 Class -A units in NJ, NY and Texas. We remain committed to executing on our transit-oriented strategy adding a second project in partnership with NJCU in Jersey City as well as Class-A unit developments in White Plains, NY, and Montclair, NJ.
As for projects commenced before 2018:
- We are happy to report several completions, including the grand opening of “Rivet University Place,” the first of four, market-rate residential buildings in the highly anticipated $400 plus million-dollar master plan on the West Campus of NJCU.
- This project was recognized by the Urban Land Institute as the top Public/Private Partnership of 2018.
- Several other major development projects wrapped up this year including the completion and sale of our 150,000+ square foot, Class-A Industrial building in Carteret.
- Additionally, we completed a self-storage facility in Millburn, NJ and celebrated its grand opening in the fall.
We also successfully exited several development assets this year:
- In addition to the Carteret Industrial facility, the Pembroke Pines Self Storage facility was sold at completion as well as several Single Tenant Net Lease assets including various tire and auto part stores throughout the country.
- Lastly, the Westfield apartment complex, 333 Central was successfully refinanced from a construction loan to a permanent loan.
2019 is off to a fast start!
We have many exciting projects in the pipeline. We are underwriting several well-positioned multi-family projects in what we believe to be markets poised for growth such as Bayonne, Jersey City (West Side) and Newark, as well as some very interesting out of state opportunities. Outside of multifamily, we are working on a potential TJMaxx anchored Shopping Center development in South Jersey.
Part of our growth strategy is to explore and create powerful relationships with other industry experts. We are very excited to announce that we are exploring a partnership that seeks to take advantage of the Opportunity Zone legislation introduced federally last year and the available tax benefits from the law.
As we begin in 2019, we are excited to uncover new opportunities for our partners as well as the completion of some of our existing projects. Most notably, we anticipate the long-awaited opening of our Autograph Marriott Hotel in Montclair (The MC) in the spring followed by the opening of our second residential building on the West Campus of NJCU. We also anticipate the staggered openings of several of our self- storage facilities started in 2018.
We look forward to celebrating these successes with you and truly cherish our ongoing partnership.
Investors should be aware of additional risks associated with alternative investments due to factors such as economic and political instability, regulatory requirements, increased volatility, illiquidity, higher management fees, lack of performance history, currency fluctuation, and differences in auditing and other financial standards and that these risks can be accentuated in alternative investments. Alternative investments may be suitable only to those who understand and are willing to assume the economic, legal and other risks involved.
The foregoing is not a complete list of the risks involved with alternative investments. You should thoroughly review all pertinent offering documents with respect to alternative investments with your financial, legal and tax advisors to determine whether the investment is suitable for you in light of your investment objectives and financial circumstances.
Circle Squared Alternative Investments, LLC (“CSQ”) is an SEC registered investment adviser with its principal place of business in the State of New Jersey. Registration does not imply a certain level of skill or training. CSQ may only transact business in those states in which it is notice filed or qualifies for an exemption or exclusion from notice filing requirements. Any subsequent, direct communication by CSQ with a prospective client shall be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration where the prospective client resides. For information pertaining to the registration status of CSQ, please contact CSQ or refer to the Investment Adviser Public Disclosure web site (www.adviserinfo.sec.gov). For additional information about CSQ, including fees and services, send for our disclosure statement as set forth on Form ADV from CSQ using the contact information herein. Please read the disclosure statement carefully before you invest or send money.