By: Dwight Kay, Founder – Kay Properties and Investments, LLC
A DST stands for Delaware Statutory Trust and is an entity that is used to hold title to investment real estate. In some ways this is similar to how a limited liability company or an LLC can hold title to real estate however, unlike an LLC, a property structured DST property will qualify as like kind exchange property for a 1031 exchange according to the IRS revenue ruling 2004-86.
The typical minimum investment for a DST 1031 Property is $100,000 allowing an investor to diversify his or her exchange proceeds among multiple properties. DST 1031 properties also have various leverage ratios to potentially satisfy an investors exchange requirements of taking on equal or greater debt.
The typical loan to value of a DST 1031 property is 50% however, some DST properties are offered all cash/no debt in order to eliminate all financing risks. Kay properties and investments is a real estate wealth advisory firm that specializes in DST 1031 properties. Call us today to receive a free list of our current DST 1031 properties.
Kay Properties is a national Delaware Statutory Trust (DST) investment firm. The www.kpi1031.com platform provides access to the marketplace of DSTs from over 25 different sponsor companies, custom DSTs only available to Kay clients, independent advice on DST sponsor companies, full due diligence and vetting on each DST (typically 20-40 DSTs) and an active DST secondary market. Kay Properties team members collectively have over 115 years of real estate experience, are licensed in all 50 states, and have participated in over 15 Billion of DST 1031 investments.
This material does not constitute an offer to sell nor a solicitation of an offer to buy any security. Such offers can be made only by the confidential Private Placement Memorandum (the “Memorandum”). Please read the entire Memorandum paying special attention to the risk section prior investing. IRC Section 1031, IRC Section 1033 and IRC Section 721 are complex tax codes therefore you should consult your tax or legal professional for details regarding your situation. There are material risks associated with investing in real estate securities including illiquidity, vacancies, general market conditions and competition, lack of operating history, interest rate risks, general risks of owning/operating commercial and multifamily properties, financing risks, potential adverse tax consequences, general economic risks, development risks and long hold periods. There is a risk of loss of the entire investment principal. Past performance is not a guarantee of future results. Potential cash flow, potential returns and potential appreciation are not guaranteed.
Securities offered through WealthForge Securities, LLC. Member FINRA / SIPC. Kay Properties and Investments, LLC and WealthForge Securities, LLC are separate entities.