Why we recently bought a 54,000-square-foot commercial property for our 1031 exchange DST clients in North Charleston, South Carolina.

Email this to someoneTweet about this on TwitterShare on Google+Share on FacebookShare on LinkedIn

There are many 1031 DST investment options available to clients in today’s market. One thing to always remember when buying real estate is: LOCATION, LOCATION, LOCATION.

Here are some of the reasons why we believe Charleston to be a great location to buy property:

  • Population Growth – Charleston MSA produced a 33% growth rate between 2000 and 2014.
  • Charleston was ranked the #4 Best Performing U.S. metro for high tech GDP Growth.
  • South Carolina is the #2 Most Moved to State – United Van Lines, January 2015.
  • The Port of Charleston – The most productive port in North America: positioned halfway between New York and Miami with unparalleled access to the world market. It is the only port in the southeast that can efficiently handle post-Panamax vessels up to
  • 9,600 TEUs.
  • Charleston International Airport is the busiest airport in South Carolina, serving more than 3.1 million passengers in 2014. The airport is currently undergoing a $190+ million terminal renovation project.
  • Charleston’s tourist population continues to grow with 4.5 million annual visitors.
  • Charleston was voted the #2 – Greatest Places to Live in America by Outside Magazine, August 2014.
  • “Best City in the United States” 2013, 2014, and 2015 – Travel+Leisure Magazine.
  • South Carolina was ranked #9 for the most pro-business state – Pollina Corporate, July 2014.
  • Committed corporate Growth – Boeing, Daimler and Volvo will collectively create large amounts of jobs in Charleston.
  • In 2011, Boeing opened its North Charleston manufacturing, assembly, and delivery site for Boeing commercial aircraft in the eastern United States. The plant serves as one of two final assembly and delivery points for the Boeing 787 Dreamliner. Boeing directly employs 8,200 people in Charleston and creates another 20,000 jobs regionally through spin-off industries in every sector. Boeing alone accounts for more than $11 billion in economic activity in the local Charleston economy, and the company continues to expand in its North Charleston location. Boeing’s investment in South Carolina was paramount for the city of Charleston and the state of South Carolina, and other manufacturers took notice.
  • Daimler announced in March of 2015 its plans to invest $500 million in a new plant at the North Charleston site. Daimler will add 1,360 jobs to the 140 that already work at the site to manufacture the popular Mercedes-Benz Sprinter vans. Construction of the plant will begin in 2016. Daimler stated training options and location were a key to the decision to invest in Charleston.
  • In May of 2015, the state of South Carolina achieved one of its biggest economic development wins since Boeing, as Volvo announced that it will build its first North American Manufacturing plant off Interstate 26 in Berkeley County. The $500-million investment will employ around 4,000 people. Volvo cited Charleston’s port location to transport vehicles, Clemson University’s International Center for Automotive Research, Trident Technical College in North Charleston where Boeing workers are trained in programs designed specifically for the company, BMW and other manufacturer’s success in the state, and economic incentives as key factors in deciding on the location.

 

Sources: Charleston Metro Chamber of Commerce – 2016 Economic Outlook Forecast, Cushman and Wakefield, Outside Magazine, August 2014, United Van Lines, January 2015, Travel+Leisure Magazine
2013, 2014 and 2015, Pollina Corporate, July 2014, http://www.city-data.com/, http://www.google.com, http://www.charlestoncvb.com/, https://en.wikipedia.org/wiki/Charleston,_South_Carolina

DST properties and private placement real estate offerings are for accredited investors (a net worth of greater than 1 million dollars – exclusive of primary residence) and accredited entities only. If you are unsure if you are an accredited investor or an accredited entity, please do speak with your CPA and attorney for verification prior to considering an investment. There are material risks associated with the ownership of real estate, real estate offerings and Delaware Statutory Trust (DST) properties, including but not limited to, tenant vacancies, loss of entire principal amount invested, and that distributions, potential cash flows, returns, and appreciation are not guaranteed. There are no assurances that diversification will produce profits or guarantees against loss. This material does not constitute tax or legal advice. All investors should speak with their own tax and legal advisors before considering any real estate investments.

Securities products offered through WealthForge Securities, LLC, member FINRA/SIPC. Kay Properties and Investments, LLC is independent of WealthForge Securities, LLC. All information provided is for educational purposes only. The material contained in this invitation does not constitute an offer to sell and is not an offer to buy real estate, real estate offerings, DST properties or securities. Such offers are made only by a sponsor’s memorandum, which is always controlling and available to accredited investors and accredited entities only. There are material risks associated with the ownership of real estate, real estate offerings and DST properties, including but not limited to, tenant vacancies, loss of entire principal amount invested, and that potential distributions, cash flows, returns, and appreciation are not guaranteed.

Email this to someoneTweet about this on TwitterShare on Google+Share on FacebookShare on LinkedIn