The Virus Economy: It Now May Be a Good Time to Diversify Real Estate Holdings

By Chay Lapin, Senior Vice President – Kay Properties and Investments The entire country is experiencing a national lockdown and businesses have been stopped in their tracks.  This has caused many commercial and residential tenants to struggle with the ability to pay rent resulting in a very unknown and difficult time for landlords.  According to the U.S. Department of Labor, over 20,500,000 people are unemployed as of May 8,2020. Also, many publications have noted that … Read More

Buyer Beware: Are Oil and Gas Investments a Good Idea

By: Matt McFarland, Associate at Kay Properties & Investments With any and every investment comes risk. Investors everywhere are continually trying to balance the risks of an investment against the potential rewards.  As a national leader in DST 1031 Exchange and real estate investments, Kay Properties is constantly presented various investment opportunities to offer our clients.  We do not and will not participate in an oil and gas investment, as the inherent risks greatly outweigh … Read More

Cash Investments in DSTs – An Alternative to Investing in the Stock Market

By: The Kay Properties Team Delaware Statutory Trusts are potentially a great investment vehicle for those accredited investors doing a 1031 exchange, but what some investors don’t realize, is that you can also invest in DSTs on a cash basis. Why invest cash in a DST? DSTs offer many benefits to those doing a 1031 exchange, for example, the ability to defer their capital gains from the sale of their investment real estate as well … Read More

Being Defensive Pays Off: Kay Properties’ Clients Avoid Potential Hospitality & Senior Care Crash and Burn – Why Avoiding Hospitality and Senior Care is the Kay Properties Way

By Alex Madden, Vice President at Kay Properties and Investments For many years Kay Properties has taken the position that we will not offer three asset classes to Investors because they carry too high of risk to investors equity: Hospitality, Senior Care, and Oil & Gas. While other groups have gleefully entered into some of these sectors searching for higher potential returns, Kay Properties has maintained the position that they are much too volatile, and … Read More

DST Investing Across Market Cycles

One of the common topics that frequently pops up in investment conversations these days is discussion about what stage of the “cycle” the market is in. Why does cycle matter, and what does the current cycle mean for DST investment opportunities?  Simply put, market cycles refer to the periodic ebbs and flows that occur in the economy and across individual sectors, such as tech, energy and commercial real estate. Markets rise and fall across four … Read More

Acronyms to Know in the Investment World

By Betty Friant, Senior Vice President at Kay Properties & Investments and The Kay Properties Team Becoming a serious investor involves a significant learning curve. There are many acronyms used in the investment world that you will need to know and understand to find success as an investor. Here are some common acronyms to file away in your long-term memory. DST Delaware Statutory Trust or DST is an entity used to hold title to investment … Read More

Why Real Estate is a Powerful Estate Planning Tool

By Matthew McFarland, Associate at Kay Properties & Investments and The Kay Properties Team Real Estate has been and remains one of the most powerful estate planning tools.  There are numerous reasons real estate is positioned to be one of the most tax-efficient investment tools that exist— here are just a few: 1) Step-up in Basis: To many investors and tax professionals, this is where the majority of the tax efficiency comes.  A “step-up in … Read More

4 Reasons Estate Attorneys Utilize DSTs for Legacy Planning

By Steve Haskell, Vice President at Kay Properties & Investments and The Kay Properties Team Advisors at Kay Properties & Investments have worked closely with Estate Attorney’s to assist with their client’s legacy planning.  The Delaware Statutory Trust can offer many potential benefits to investors. Below are four reasons estate attorneys incorporate DSTs in their client’s estate planning. Everyone’s situation is unique. All investors should speak with their tax/legal advisor when conducting their own estate … Read More

1031 Exchange Debt Rules: What Does it Mean to “Replace Debt” in a 1031 Exchange?

A large commercial building governed by 1031 exchange debt rules

By Alex Madden, Vice President, Kay Properties & Investments Facts About 1031 Exchanges If you are an investor and you sell a property whose value has increased, you will have to pay certain types of taxes. For instance, you will have to pay federal and state capital gain taxes. If the original seller of the property had claimed depreciation expenses, you will be required to pay depreciation recapture taxes. You can defer these taxes if … Read More

Qualified Opportunity Zone Funds – A Tax Efficient Investment Vehicle for Those Selling Appreciated Assets

By Steve Haskell, Vice President – Kay Properties and Investments, LLC What is a Qualified Opportunity Zone (QOZ)? A QOZs as described under the 2017 Tax Cuts and Jobs Act is a social program with the intent of redeveloping impoverished districts throughout the country by driving private capital to over 8,700 underserved communities and 35M Americans throughout by offering tax incentives to investors¹. What is a Qualified Opportunity Zone Fund (QOF)? A QOF is a … Read More