Kay Properties announces that another Custom multifamily offering has gone full cycle to post solid returns for Kay Properties clients as the Delaware Statutory Trust offering in Orange Park, FL has sold for $41.3 Million to a private real estate investment firm* Key Highlights: Kay Properties & Investments takes custom multifamily DST property full-cycle Kay Properties & Investments concluded Alexander Pointe presented investors a stable, value-add investment that had good core real estate value Investment … Read More
As Seen on Kiplinger.com: Once the Pandemic Recedes, Where Will the Real Estate Investment Opportunities Be?
Some sectors of real estate are emerging from the pandemic in much better shape than others. Investors thinking about real estate need to know where to look. By: Dwight Kay, Founder & CEO of Kay Properties & Investments The COVID-19 pandemic has been kinder to some real estate asset classes than others. Proactive investors can take advantage of opportunities with the potential to build wealth and generate income from investment real estate, particularly tax-advantaged investments. … Read More
How Real Estate Investors Can Use Delaware Statutory Trust (DST) Properties to Replace Debt in a 1031 Exchange
By Alex Madden, Vice President, Kay Properties and Investments, LLC Savvy real estate investors understand the primary reason for selling and buying real estate via 1031 exchange is to defer capital gains tax that would otherwise be due on the sale. By “exchanging” one or more pieces of property for one or more like-kind pieces of equal or great value helps the investor defer capital gains taxes. However, one of the critical requirements that must … Read More
As seen on WealthManagement.com: Real Estate DSTs — A Haven in a 1031 Tax-Change Storm?
By Chay Lapin, President of Kay Properties & Investments, LLC In the face of the tax policy uncertainty, the question is how to think about current real estate investments and future investment plans. Washington-watchers including many of us in the real estate industry are waiting to see if and how federal policymakers change the tax treatment of capital gains and 1031 like-kind exchanges this year. The capital gains tax rate affects the flow of capital … Read More
Thoughts on Senior Care
At Kay Properties we are very focused on reducing risk wherever possible. We all know that all real estate investments contain the risk of a loss of investment capital and that cash flow and appreciation are not guaranteed. One of the ways that we can help to reduce risk for our clients is by rejecting the higher risk asset classes in the DST marketplace; asset classes like student housing, oil and gas, hotels and senior … Read More
As Seen on Kiplinger.com: How Biden’s Tax Plan Could Affect Your Real Estate Investments
Should you sell your real estate investments before any changes to capital gains taxes or 1031 exchanges get made? That’s what many people are asking. But before you do anything, understand that there’s no telling what will come of President Biden’s tax proposals with a divided Congress, and you do have some interesting options in the meantime. By: Dwight Kay I’ve been a professional real estate investor since prior to the Great Financial Crisis and … Read More
Custom Kay Properties Delaware Statutory Trust Offering Goes Full Cycle
Kay Properties and Investments, LLC today announced that one of their custom Kay Properties Delaware Statutory Trust offerings successfully went full cycle on behalf of multiple 1031 exchange and direct cash investors. The DST investment that was sold was the Maple Springs Apartments in Richmond, VA which was a 268-unit multifamily community. For those investors that closed simultaneously on the DST investment the same day that the property was purchased, the total returns were approximately … Read More
As Seen on Kiplinger.com: Retirement Planning? Don’t Forget About Investment Real Estate
Investment properties have the potential to generate monthly income and appreciation as part of a diversified* portfolio. But you don’t have to be a hands-on landlord. You can make passive real estate investments and avoid the 3 a.m. calls about clogged toilets! by: Dwight Kay You’re planning ahead for retirement and determined to invest in a diversified basket of stocks, bonds, and alternative investments. Maybe you have no exposure to income properties now, or maybe … Read More
Six reasons to sell the income property you love…And how to avoid taxes when you do
Many investors recoil at the thought of selling a piece of investment property. And they usually have a good reason, whether it’s missing out on future appreciation, having to pay a massive tax bill, or some other factor. Yet it can often make good sense to sell your property, thanks to a real estate investment alternative that simplifies your life and lets you defer the taxes via a 1031 exchange. Let’s take a look at … Read More
Cove Multifamily Income Fund 28 – Video
Multifamily Income Fund 28, LLC OverviewThe Multifamily Income Fund 28, LLC is a private placement real estate investment Fund that is targeting unleveraged/debt-free multifamily assets for accredited investors. In addition, the Fund has targeted monthly distribution potential with an 8% preferred return.* Investment Strategy To acquire and actively manage a diversified portfolio of debt-free multifamily assets across multiple U.S. markets that have value-add potential through physical renovations and/or operational improvements. Sample Target Markets Georgia Atlanta … Read More
What Do DST 1031 Sponsors Say About Kay Properties And Investments?
Kay Properties and Investments is known throughout the alternative investment industry as a leader in the DST 1031 marketplace as a national Delaware Statutory Trust (DST) investment firm that specializes in connecting investors with the DST 1031 investment market and the many different sponsors and DST investments available. Here is what DST Sponsors are saying about Kay Properties and the Kay Properties Team. These testimonials may not be representative of the experience of others. Past … Read More
The Case Study of a 1031 DST Specialist
By: Kay Properties and Investments, LLC There are various strategies when using DSTs (Delaware Statutory Trusts) in a 1031 exchange. Some investments are as easy as a simple exchange from one property into a single DST. Other times DST’s are used to invest leftover equity from an exchange so the investor is not taxed on leftover funds, called “boot”. Investors will routinely use DSTs as a backup ID in case their target replacement property doesn’t … Read More
Potential Pitfalls of NNN Properties and a Savvy Alternative
NNN properties seem like passive investments but actually require regular management. Overconcentration is a key risk when it comes to investing in NNN properties. DSTs (Delaware Statutory Trusts) provide an alternative way to invest in NNN properties. *Diversification* and true passivity are unique advantages of DST investments. Frequently investors are seeking out reduced management and or passive real estate investments. Real estate owners are simply tired of the three T’s (Tenants, Trash, Toilets) and are … Read More
Kay Properties and Investments Successfully Completes a $13.68M Exchange on Behalf of Midwest Family
By Matt McFarland, Vice President, and Thomas Wall, Associate, Kay Properties & Investments Kay Properties announces the completion of a 1031 DST exchange for a family that has owned and operated various businesses and real estate for many years. The group was excited to move away from active, hands-on management into a more passive, diversified* investment vehicle while taking advantage of the tax deferral offered through the 1031 exchange. They utilized the Kay Properties 1031 … Read More
As Seen on Kiplinger.com: A Risk-Averse Approach to Real Estate Investing
You can invest in income property in a decidedly defensive way. Here are four conservative strategies to minimize risk while you pursue income and appreciation from investment real estate. By Dwight Kay, CEO & Founder, Kay Properties & Investments, LLC The highest profile professional real estate developers and investors are typically those who have won big or lost big — they made their names taking oversized risks that in some cases paid off handsomely and … Read More
What is a DST 1031 Property?
By: Dwight Kay, Founder – Kay Properties and Investments, LLC What Does DST Stand For? DST stands for Delaware Statutory Trust and is an entity that is used to hold title to investment real estate. What is 1031 Exchange? A 1031 tax-deferred exchange is a way to temporarily avoid capital gains taxes on the sale of an investment property or commercial property. Capital gains taxes can be hefty, running as high as 15-30% when you … Read More
Back to the Basics: How to Invest In Uncertain Times
All investors know and understand that the economy goes through periods of expansion and contraction. The real estate markets behave and exist in cycles – years of growth followed by years of regression. Over the last 10 years, the United States has experienced phenomenal growth when it comes to real estate. We now find ourselves in a very interesting time in the cycle, asking the same question that we have asked the entire time along … Read More
The State of Multifamily Real Estate, 2021
The State of Multifamily Real Estate, 2021 By: Benjamin Sedaghat, Associate and Thomas Wall, Associate at Kay Properties and Investments, LLC The pandemic has taken its toll on the US economy over the past year rendering millions of Americans out of work. Renters across the country are not able to keep up with their rent payments due to pandemic related unemployment. “According to the Census Bureau’s Household Pulse Survey, as of late December, more than … Read More
How do I use a DST for replacing the debt in a 1031 Exchange
Fractional Ownership of DSTs Creates more Options What happens if I don’t replace the full sale price? By: Dwight Kay, CEO and Founder of Kay Properties and Investments and the Kay Properties team When doing your calculation on replacement value for a 1031 Exchange, don’t leave out an important part of the equation – replacement debt. One of the basic 1031 Exchange requirements necessary to qualify for a full tax deferral on capital gains taxes … Read More
As Seen on GlobeSt.com: Kay Properties Closes Record Deal Volume in 2020, Up 77%
View the article here. Kay Properties closed 2020 with a substantial increase in deal volume. Last year, the firm, which operates a 1031 exchange marketplace, completed $408 million in deals, a 77% increase from 2019 when deal volume totaled $230 million. While high net worth investors drove the activity, the firm also saw new investors from a wide range of disciplines. “New investors who have discovered our marketplace, more specifically highly sophisticated real estate developers, institutions, … Read More
Alternative Investments for High-Net-Worth Investors
By: The Kay Properties Team High-net-worth investors sometimes seek alternatives to investing in traditional asset classes like stocks and bonds. Real estate, in general, has historically been a good way for investors to diversify* their holdings with hard assets. Delaware Statutory Trusts (DSTs), Qualified Opportunity Zone Funds, and Real Estate Funds can provide investors with access to real estate investments that can potentially provide monthly distributions, zero management responsibility, diversification and tax benefits not always … Read More
How to guard against the pitfalls of financing used in DSTs
Investors going into a DST investment are often laser focused on the property they are buying. Where is their money going – perhaps it’s an apartment complex in Dallas or a portfolio of dollar stores in the Midwest? Investors often “kick the tires” so to speak looking at factors such as the location, occupancy, rental income and credit quality of the tenants. One question that often gets pushed lower on that checklist is what type … Read More
As Seen on WeathManagement.com: An Alternative to Dividend Stocks? Real Estate Investments with Monthly Income Potential
View the press release here. Dividend-paying stocks and interest-bearing bonds aren’t the only ways to generate potential investment income. Real estate has the potential to meet that objective as well. In fact, income generation is a key reason why many people diversify* their investment portfolios to include different types of real estate assets, be they commercial, net lease, self-storage, medical or multifamily. Many real estate investments are predictable and durable in their ability to generate … Read More
As Seen on Yahoo Finance: Kay Properties, the DST Investment Firm that Operates a 1031 Exchange Property and Real Estate Investment Marketplace, Reports Record Year for 2020 Despite the Pandemic
Please view press release on Yahoo Finance here. $408 million in equity investments from high-net-worth investors in 2020 DSTs, Real Estate Funds and other investments demonstrate their attractiveness to investors seeking to potentially minimize tax consequences, generate income and build wealth LOS ANGELES, Jan. 27, 2021 (GLOBE NEWSWIRE) — Kay Properties, which operates an online 1031 exchange property and real estate investment marketplace, topped $408 million in investments from high-net-worth investors in 2020, the firm … Read More
Do DSTs work for a 1033 exchange due to eminent domain or involuntary conversion?
By Dwight Kay, CEO of Kay Properties and Investments and the Kay Properties Team Understanding the rules of a 1033 Exchange aka Involuntary Conversion DSTs provide replacement options for a property sold under eminent domain. Property owners initiating a 1031 Exchange often end up in that situation by choice after deciding to sell an investment property or business. However, a 1033 Exchange is used when the government steps in to acquire a property by exercising … Read More
Do your 1031 and get Tax Free Cash Out: Kay Properties offers a way to do a 1031 Exchange and also potential to receive tax free cash back
By: Betty Friant, Senior Vice President of Kay Properties and Investments and the Kay Properties Team How to get tax free cash out of a 1031 Exchange The main driver behind any 1031 Exchange is the ability to defer the capital gains tax on the sale of a property by rolling proceeds into an eligible “like kind” replacement property. What if you could also get tax free cash out of that replacement property? You can … Read More
The Tax Advantages of Zero Coupon DSTs
By Betty Friant, Senior Vice President, Matt McFarland, Vice President and the Kay Properties Team Investing in a Zero Coupon DST, frankly, sounds a little crazy. Why would anyone want to buy into a DST with no cash flow? The simple answer is for the tax advantages. How does a Zero Coupon DST work? In a Zero Coupon DST, all of the cash flow goes to the lender to service the debt on a property. … Read More
As Seen on Kiplinger.com: 4 Ways to Invest in Real Estate for Monthly Income
Owning your own home can be a good investment for a number of reasons, but it’s not the same as owning income properties, which have the potential to produce cash income on a regular monthly basis. Consider the range of potential ways to invest in real estate for income. Please view Kiplinger article here. By Dwight Kay, CEO & Founder, Kay Properties & Investments, LLC Earlier this year, the homeownership rate in the U.S. hit … Read More
How To Create a Diversified DST Portfolio
By Jason Salmon, Senior Vice President and the Kay Properties & Investments Team Diversification* is one of the basic building blocks to any investment portfolio strategy. It’s the simple concept of not wanting to put all of your eggs in one basket. Diversification across asset types helps to avoid concentration risk – and potentially a basket full of broken eggs. Diversification also has the potential to create other positives, such as achieving a potentially higher overall … Read More
Kay Properties Helps Family Complete $36 Million 1031 Exchange Amid COVID Pandemic
By: Kay Properties and Investments, LLC Kay Properties is proud to announce the successful completion of a family’s 36-million-dollar 1031 exchange diversified* into 15 Delaware Statutory Trusts. Chay Lapin commented, “At Kay Properties we have specialized in providing a far higher level of DST investing services than found at typical providers of DSTs. We specialize in DST investments thereby allowing us to provide full-service resources for our clients as they are going through their 1031 … Read More
Generational Assets: Leveraging DSTs to Transfer Wealth
By Jason Salmon, Senior Vice President and the Kay Properties Team at Kay Properties & Investments, LLC Real estate has long been a popular asset used to build generational family wealth. One of the key tax advantages to passing real estate property to heirs is that those recipients benefit from a step-up in basis. That step-up is much like hitting the reset button on a property’s current market value. That step-up in value alone can … Read More
Five Steps to Construct a Diverse Real Estate Investment Portfolio
Dwight Kay Founder of Kay Properties recently published in National Real Estate Investor Magazine. Here are some guidelines on maximizing returns and minimizing risks when building your commercial real estate portfolio. Please view the article on NREI here. Millions of Americans invest in alternative assets, including real estate. It’s an important step to diversify* a portfolio with investments that don’t necessarily correlate with the stock or bond markets. Here are five tips to help construct a … Read More
How to Identify a 1031 Exchange with the 200% Rule
By Dwight Kay, Founder & CEO; Betty Friant, Senior Vice President and The Kay Properties Team “Is that your final answer?” You may recognize the question made famous by the popular TV game show Who Wants to Be a Millionaire? Choosing the right answer in this game gives you a shot at winning big money, while the wrong answer leaves you with nothing. Investors conducting a 1031 Exchange face a similar make or break decision … Read More
Successful 1031 DST Investment Completed
By Matt McFarland, Vice President, and Thomas Wall, Associate, Kay Properties & Investments Please view article here. Kay Properties today announced the completion of a 1031 DST investment for a mother-daughter duo. The pair sold a vacation rental property they owned for many years. They were eager to exit the highly management-intensive environment of operating vacation rentals and enter into a more passive, diversified* investment structure such as the DST. They utilized the Kay Properties … Read More
How to Build a Diversified Real Estate Investment Portfolio
As Seen on Kiplinger Having a diversified* commercial and multifamily real estate portfolio is important to potentially reduce risk and create multiple opportunities for potential income and appreciation. Diversification is even more important in tumultuous times like these. Here’s a look at how to build a diverse real estate investment portfolio. Please view Kiplinger article here. By Dwight Kay, CEO & Founder, Kay Properties & Investments, LLC Recent survey research by National Real Estate Investor magazine indicates … Read More
1031 Exchange Coming Up? Know the Options Before You Reinvest
By Dwight Kay, Founder and CEO at Kay Properties & Investments, LLC Please view article here. If you have a 1031 exchange coming up, you have multiple choices to reinvest the proceeds from your sale. That’s a good thing, because coming out of your prior investment, maybe you’re tired of the three Ts — tenants, toilets and trash — and you’d rather leave the day-to-day property management to others. A 1031 exchange (also known as … Read More
As Seen on Kiplinger.com: Considering Real Estate? Know the ABCs of DSTs, TICs and 1031s
Having commercial and multifamily real estate in your investment portfolio provides diversification*, and can potentially generate income and help you build wealth. Before diving in, consider the range of ownership structures and the potential tax advantages of real estate investing. Please view Kiplinger article here. By Dwight Kay, CEO & Founder, Kay Properties & Investments, LLC Investment real estate is the largest asset class in the U.S. behind the equity and bond markets. Millions of … Read More
Kay Properties Featured on Globest.com Regarding 1031 Exchanges
1031 Exchanges Are Driving Transaction Volumes Most recent CRE investment demand is from investors looking to complete a 1031 exchange during the pandemic. By Kelsi Maree Borland from GlobeSt.com Please view article here. 1031 exchange demand is driving the majority of transaction volumes during the pandemic. While some new opportunistic capital has entered the market, the majority of investment demand for CRE assets is coming from 1031 exchange buyers. The activity has not only helped to … Read More
Can I Cash-Out a Portion of my 1031 Exchange Proceeds? The Ins-and-Outs of A Partial 1031 Exchange
Many investors that come to Kay Properties are looking for a full tax deferment utilizing a like kind exchange. A full tax deferment under IRC Section 1031 consists of buying a replacement property for equal or greater value than that of your relinquished value of the property. For example, if an investor sells their property for a net sales price of $1,000,000 in order to have full tax deferment under Section 1031, the investor has … Read More
Kay Properties Custom 1031 Exchange DST Investment Offering Goes Full Cycle on Behalf of 1031 Exchange Investors
View Press Release here. Kay Properties and Investments today announced that one of their custom 1031 exchange Delaware Statutory Trust – DST offerings has gone full cycle and was sold on behalf of investors. The offering was a multi-tenant office property located in the Tampa, FL MSA and was made available exclusively to Kay Properties clients in 2017. The offering generated a total return of 131.42% for the 1031 exchange and direct cash investors*. This … Read More
Before You Do a 1031 Exchange, Consider These 4 Alternative Investment Options
As Seen on Kiplinger 1031 exchange investors have multiple choices – not just direct ownership of an income property. By Dwight Kay, Founder and CEO, Kay Properties & Investments, LLC One of the most attractive real estate tax benefits available in the U.S. is the like-kind exchange, which is governed by Section 1031 of the Internal Revenue Code. About one-third of all commercial and multifamily property sales in the U.S. involve a like-kind exchange, … Read More
Good to Have a 1031 Exchange Backup When You Need One: Kay Properties Helps DST Investors Avoid a Potentially Significant Tax Consequence
By: Alex Madden, Vice President, Kay Properties and Investments, LLC Kay Properties and Investments is pleased to announce a completed exchange for an investor who did not originally intend to invest into Delaware Statutory Trust (DST) properties. Vice President Alex Madden explained: “After discussing the client’s background in real estate investing, he expressed his first choice was to continue with active management for a few more years before he began moving his substantial real estate … Read More
“There is No Cash Flow in Raw Land” – Family with long time land holding 1031 exchanges $2.5M of equity into potentially income producing DSTs
Please view press release here. Kay Properties investors, a family who inherited land on the outskirts of a city, tried for years to sell the land all the while learning about 1031 DST offerings as a possible option for their investment. When the property finally sold, the family wanted to lower their risk potential and so invested the entire $2.5M into all cash, debt free DST properties. Betty Friant, Senior Vice President, explained, “The family … Read More
Questions to Ask Your 1031 Exchange Qualified Intermediary
By: Kay Properties & Investments When checking off the boxes for your 1031 exchange “to do” checklist, choosing a qualified intermediary should be on top of that list. The IRS requires exchangers to employ a qualified intermediary (aka “QI, “accommodator,” or “facilitator”) to receive the funds upon sale of the exchanger’s property. Section 1031 of the Department of the Treasury Regulations authorizes the QI to receive and hold the funds, advise on compliance matters, and … Read More
Using 1031 Exchange Delaware Statutory Trust Properties to Give Back – How a Kay Properties Client Gave Back
Please view press release here. Real Estate investors come in all types and many want to invest in a way that aligns with their values. Alex Madden, Vice President with Kay Properties and Investments explained: “When one of our Clients reached out and explained she wanted to invest in 1031 exchange Real Estate which offered a potential ‘Social Good’ Kay Properties and Investments leapt at the opportunity to help. We helped evaluate properties that provided … Read More
Kay Properties and Investments Helps Clients 1031 Exchange their Property Empire into DST 1031 Exchanges
Our Successful Completion of DST 1031 Exchange Properties Kay Properties and Investments today announced the completion of multiple 1031 DST exchanges for owner-operators of real estate who are currently in the winding down phase of their investment career. The 1031 exchange clients utilized the Kay Properties 1031 DST marketplace at www.kpi1031.com for a number of months to educate themselves on how DST 1031 properties for sale would potentially fit within their portfolio. It was just the beginning … Read More
Grateful to be Debt-Free: Kay Properties Helps Client Stay Debt-Free in their $1-Million 1031 Exchange into DST Properties for Sale
Kay Properties is proud to announce the successful completion of five debt-free DST purchases for a couple selling a single-family home in Southern California. They were excited to be able to defer the accumulated capital gains and depreciation recapture taxes that they have accumulated over the many years of owning and managing the property by utilizing Internal Revenue Code, Section 1031. In addition to deferring the taxes by successfully utilizing the 1031 exchange, the clients … Read More
Three 1031 Exchange Alternatives
By: Jason Salmon, Senior Vice President; Managing Director of Real Estate Analytics, Kay Properties and Investments, LLC Are you considering a 1031 exchange? There’s no doubt that in cases of like-kind exchanges, the Section 1031 offers tax gains that may amount to a substantial figure. It helps explain the popularity of the exchange option in the U. S. However, in many cases, in order to take advantage of the reduced and deferred taxes, the 1031 … Read More
July 15th 1031 Exchange Deadline Approaching! How Fast Can I Close on DSTs?
By: Orrin Barrow, Vice President – Kay Properties and Investments, LLC Many investors were granted an extension on their 1031 exchanges so that they would not have to identify their replacement property until July 15th, 2020. However, we are quickly approaching this deadline for investors to properly identify and select their replacement property. Given the very unsure nature of the economy and how Covid-19 will continue to affect us, many investors have been reaching out … Read More