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DSTs in a 1031 Replacement Strategy

Where securitized real estate may enter the conversation

Delaware Statutory Trust interests are used in some 1031 replacement-property strategies. They can offer passive exposure and fractional ownership, but may also involve securities regulation, sponsor risk, fees, leverage, illiquidity and suitability considerations. Investors evaluating DSTs should work with appropriately licensed securities and tax professionals.

Professional use

Use this resource to frame questions for your qualified intermediary, CPA, attorney, broker and lender. Facts and deadlines should be verified against current law and the circumstances of the transaction.

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Use this intelligently.

This resource is educational. It is not a tax opinion, legal opinion, investment recommendation or determination that a transaction qualifies under Section 1031.