Capital Square, one of the nation’s leading sponsors of tax-advantaged real estate investments and an active developer and manager of housing communities, announced today the opening of The Nickel Hotel in Charleston, South Carolina. The name of the hotel is derived from the French expression “C’est Nickel,” which means “it’s impeccable.”
Development of The Nickel Hotel was funded by Capital Square’s fourth qualified opportunity zone fund, CSRA Opportunity Zone Fund IV, LLC, as well as proceeds from Method Co., the project’s co-developer and operator.
“Charleston’s blend of historic charm and coastal beauty make it an ideal setting for a project as thoughtfully designed as The Nickel Hotel,” said Whitson Huffman, co-chief executive officer and chief investment officer of Capital Square. “Capital Square is proud to partner with nationally recognized hospitality company Method Co., as well as renowned New York-based architect Morris Adjmi Architects, to deliver a boutique hospitality experience that draws inspiration from the city’s roots while offering modern luxury. The Nickel Hotel reflects our broader mission to invest in exceptional properties that honor their surroundings and provide lasting value for both guests and investors.”
Completed spring 2025, The Nickel Hotel takes design cues from the ornate ironwork that embellishes the gates, passageways, historic homes and many churches found in Charleston, also known as “The Holy City.” The five-story project features 50 units, including two penthouse suites. Each unit features a full-size kitchen, custom wood vanities, marble countertops and a washer and dryer. Select rooms present arched, floor-to-ceiling windows, while many others include double French doors that open to private balconies. A lush, interior courtyard; a private guest lounge; and gourmet rooftop bar and lounge, Rosemary Rose, additionally complement the total guest experience. The street-level retail space on historic King Street is leased to Greyson Clothiers, a premier lifestyle apparel brand.
Conceived as part of the Tax Cuts and Jobs Act of 2017, qualified opportunity zone funds are intended to help foster economic growth by providing tax benefits to incentivize private investments in designated opportunity zones.
“Capital Square is thrilled to deliver The Nickel Hotel in Charleston, the home of Senator Tim Scott, a co-author of the opportunity zone legislation,” said Louis Rogers, founder and co-chief executive officer of Capital Square. “This revitalization of North King Street supports the legislative intent of driving economic growth in a qualified opportunity zone. Capital Square is pleased to be a part of this exciting revitalizion of what had been a lagging neighborhood.”
Capital Square’s opportunity zone developments provide real benefits to the communities where they are built, according to an economic impact report by FTI Consulting, an independent business consulting firm and global management advisory. Their “Executive Summary” estimates that Capital Square’s first nine opportunity zone developments have supported over 7,500 jobs and generated over $1.2 billion in economic output during the construction phases. In addition, these projects are estimated to support over $760 million in regional gross domestic product and over $160 million in federal, state and local taxes during construction. On an annual basis, these projects are expected to support over 340 jobs and generate combined tax revenues of nearly $17 million during operations.
FTI Consulting’s analysis reports that The Nickel Hotel supported an estimated average of 250 jobs annually during construction, generated $1.6 million in state and local tax revenue during construction and is projected to contribute $1.9 million to GDP through building operations in 2025 alone.
