Sapphire at Centerpointe | Midlothian, Virginia

Securities offered through WealthForge Securities, LLC, Member FINRA/SIPC. Capital Square and WealthForge Securities are not affiliated.

Check the background of Capital Square on FINRA’s Broker Check: https://brokercheck.finra.org/.

RISK FACTORS

There are numerous risk factors associated with this offering. See the “Risk Factors” section in the private placement memorandum. These risks include, but are not limited to, the following:

• No public market currently exists for our Shares, and we have no current plans to list our Shares on a national securities exchange.
• We have no operating history, nor do we currently own any properties.
• This is a “best efforts” offering and some or all of our Shares may not be sold.
• We have not yet identified any properties to acquire with the proceeds from this offering.
• We established the offering prices of our Shares, including the early investor discounts, arbitrarily. These prices are unrelated to the book or net value of our assets or to our expected operating income. There is a dilutive effect to investors who purchase our Shares after the termination of any of our early investor discounts. We do not intend to conduct a net asset valuation (“NAV”) or provide an estimated NAV per share.
• We may return a portion of your capital if our Advisor is unable to quickly identify suitable properties or if such properties do not generate sufficient cash to make anticipated distributions.
• If we raise substantially less than the maximum offering, we may not be able to invest in a diversified portfolio of properties and your investment will be more susceptible to fluctuations in the values of specific properties.
• We have no employees and are dependent upon our Advisor, Property Manager and their affiliates.
• Our officers, directors, and the officers and employees of our Advisor and its affiliates may have substantial conflicts of interest because they also serve similar programs sponsored by our Sponsor.
• We will pay substantial fees and expenses to our Advisor and its affiliates, our Dealer Manager, and our Participating Dealers, which may increase the risk that you will not earn a profit on your investment.
• The income from any of our properties will be dependent on the ability of our Property Manager to successfully manage such properties.
• Our rental revenues will be significantly influenced by the conditions of the markets in which we operate and by demand for multifamily housing properties generally.
• If we do not qualify as a REIT, we will be treated as a corporation for federal income tax purposes.
• Our Advisor may face conflicts of interest relating to the purchase of properties, and such conflicts may not be resolved in our favor, which could adversely affect our investment opportunities.
• We may incur substantial debt, which could hinder our ability to pay distributions to our stockholders or could decrease the value of your investment.
• There are limits on the ownership, transferability and redemption of Shares.