Welcome to DST 1031 Essentials with Kay Properties — An in-depth look at the many recurring themes and nuances to the Delaware Statutory Trust (DST) investment process.
Topics will cover 1031 exchanges, ins and outs of the Delaware Statutory Trust structure, timing, cash investing, REITS, funds, real estate, and more.
The kpi1031.com platform not only provides access to these 25+ different sponsor companies, but also custom DSTs only available to Kay clients, full due diligence, and vetting on each DST property on the platform (typically 20-40 DSTs), and an active DST secondary market. Kay Properties team members collectively have over 150 years of real estate experience, are licensed in all 50 states, and have participated in over 30 Billion of DST 1031 investments
In this week's episode, Vice President Matt McFarland and Vice President Steve Haskell continue their exchange from last week about the pros and cons of triple net assets and DSTs. They talk more about the different risks both investments have and which one allows for more flexibility and diversification.
Key Takeaways:
[1:20] Risks and disclosures.
[4:05] About Kay Properties & Investments.
[4:45] Matt introduces Steve and shares that today is part two from last week.
[6:50] Steve shares a quick overview from last week's conversation.
[9:20] Matt describes what a DST is in comparison with a triple net asset.
[10:30] What would be the main reasons why investors would prefer a DST over a triple net?
[11:20] When you buy a triple net property, debt is gonna be expensive as long as the lease is running out. Steve shares further.
[12:40] In DSTs, you can diversify. Steve shares how DSTs can be used as an anchor for your portfolios.
[15:15] Matt highlights that investing in DSTs does not shelter investors from risk but in triple net, the risks can be more concentrated. He shares more insights into these risks.
[18:20] Risks can't be eliminated entirely but DSTs have a flexibility that allows you to control your investment in a way.
[20:40] The DST structure allows all types of investors to buy a piece of asset that they wouldn't normally be able to afford on their own.
[22:00] Triple net lease assets are not truly passive. Steve explains why.
[23:20] Steve shares that most of his clients are looking for truly passive investments with multiple levels of risk mitigation. Therefore, they encourage diversification.
[24:05] Matt shares a story from another representative about the reimbursement part of owning a triple net.
[25:20] These stories are not uncommon. The purpose of Kay Properties educating their investors is for them to make informed decisions about their investments.
[28:36] Matt shares that the most rewarding part of his job is the long term relationship he develops with his clients. Majority of their revenue comes from repeat investments.
Resources
Website: https://www.kpi1031.com/
Call Kay Properties at 855-899-4597
Meet the Kay Properties Team: kpi1031.com/meet-our-team
About Kay Properties and www.kpi1031.com
Securities offered through FNEX Capital member FINRA, SIPC. Potential returns and appreciation are never guaranteed and loss of principal is possible. Please speak with your CPA and attorney for tax and legal advice.
