DST Placement Coordination
Delaware Statutory Trust introduction and placement coordination
DST placement coordination services help investors identify and acquire Delaware Statutory Trust interests as replacement properties in 1031 exchanges. DSTs allow fractional ownership of large commercial properties, providing diversification and passive management benefits. Our Columbus, OH team coordinates DST identification, due diligence, acquisition, and Qualified Intermediary coordination. We work within the 45-day identification deadline and ensure DST acquisitions meet the 180-day closing requirement. DST placements require understanding of DST structures, minimum investment requirements, and compliance with IRS regulations for fractional ownership interests.
What's Included
- DST offering identification and evaluation
- Due diligence coordination for DST investments
- Minimum investment requirement analysis
- Qualified Intermediary coordination for DST acquisitions
- Identification letter preparation for DST interests
- Deadline tracking for 45-day identification and 180-day closing
- Compliance verification for DST eligibility
Common Situations
Investor in Columbus, OH wants to diversify into multiple DST offerings instead of direct property ownership
Portfolio owner seeks passive management through DST fractional ownership
Investor needs to identify replacement properties quickly and prefers DST liquidity
Frequently Asked Questions
What is a DST and how does it work in a 1031 exchange in Columbus, OH?
A Delaware Statutory Trust in Columbus, OH is a legal structure that allows fractional ownership of large commercial real estate properties. DST interests qualify as like-kind replacement properties for 1031 exchanges, allowing investors to defer capital gains tax while gaining exposure to institutional-quality properties. We help identify qualifying DST offerings and coordinate acquisition within exchange deadlines.
What identification rules apply to DST placements in Columbus, OH?
DST placements in Columbus, OH follow standard identification rules: the three-property rule, 200 percent rule, or 95 percent rule. Investors can identify specific DST offerings within the 45-day identification period. We help evaluate DST offerings and structure identification strategies that meet IRS requirements.
How is boot calculated in a DST placement exchange in Columbus, OH?
Boot in a DST placement exchange in Columbus, OH is calculated as non-like-kind value received minus non-like-kind value given up. If the DST interest acquired is worth less than the relinquished property value, or if cash is received, boot may result. We help structure DST placements to minimize boot exposure and ensure full tax deferral.
What due diligence is needed for DST placements in Columbus, OH?
Due diligence for DST placements in Columbus, OH should include review of DST offering documents, property financials and operating history, sponsor track record and credit, minimum investment requirements, and compliance with IRS regulations. We coordinate due diligence reviews within exchange timelines to ensure informed investment decisions.
Can I combine DST placements with direct property acquisitions in Columbus, OH?
Yes, investors in Columbus, OH can combine DST placements with direct property acquisitions in the same exchange, as long as identification rules are followed. This allows diversification across multiple DST offerings and direct properties. We help structure mixed identification strategies that meet IRS requirements.
Example Engagement
Example of the type of engagement we can handle
Client Situation:
Investor selling a commercial property in Columbus, OH wants to identify and acquire DST interests as replacement properties for passive management and diversification
Our Approach:
We identified qualifying DST offerings within the 45-day deadline, coordinated due diligence reviews, prepared identification letters, and worked with Qualified Intermediary to structure DST acquisitions within the 180-day closing requirement
Expected Outcome:
Client identified and acquired DST interests meeting exchange requirements, completed acquisition within deadlines, and successfully deferred capital gains tax while gaining fractional ownership in institutional-quality properties
Educational content only. Not tax, legal, or investment advice. Not tax, legal, or investment advice. Consult a qualified intermediary and tax advisor before making decisions.
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