Thank you for sharing!

Your article was successfully shared with the contacts you provided.
office buildings drawing Photo: istock.com

Section 1031 of the Internal Revenue Code is an important tool that allows real estate investors and property owners to exchange one business or investment property for another without immediately incurring taxes. This transaction, often referred to as a “1031 exchange” or “like-kind” exchange, allows an investor to reinvest the full amount of net sale proceeds into new investments while deferring capital gain taxes until the investor eventually cashes out. In recent years, Delaware statutory trusts (DSTs) have grown in popularity as replacement properties for real estate owners seeking to reinvest sale proceeds into net-leased properties producing a steady stream of income. The DST’s structure also permits investors to engage in a subsequent 1031 exchange if they decide to sell their beneficial interest in the trust or when the trust terminates. However, in order to receive such tax-deferred treatment, DST investors should be aware of several important restrictions and limitations.

This content has been archived. It is available exclusively through our partner LexisNexis®.

To view this content, please continue to Lexis Advance®.

Not a Lexis Advance® Subscriber? Subscribe Now

Why am I seeing this?

LexisNexis® is now the exclusive third party online distributor of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® customers will be able to access and use ALM's content by subscribing to the LexisNexis® services via Lexis Advance®. This includes content from the National Law Journal®, The American Lawyer®, Law Technology News®, The New York Law Journal® and Corporate Counsel®, as well as ALM's other newspapers, directories, legal treatises, published and unpublished court opinions, and other sources of legal information.

ALM's content plays a significant role in your work and research, and now through this alliance LexisNexis® will bring you access to an even more comprehensive collection of legal content.

For questions call 1-877-256-2472 or contact us at customercare@alm.com

Lean Adviser Legal

Think Lean Daily Message

"Nothing gets the hungry lawyer s juices flowing like a big new project, but the temptation to dive in and start lawyering must be resisted. Planning comes before execution. And it is incumbent on the lawyer, not the client, to initiate that planning."

Learn More


ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2018 ALM Media Properties, LLC. All Rights Reserved.