Specific Strategies on How Investors Can Use Delaware Statutory Trust Properties to Replace Debt in a 1031 Exchange
Tuesday, October 22 @ 11:00 am - 12:00 pm
| Free for AAGLA MembersSpecific Strategies on How Investors Can Use Delaware Statutory Trust Properties to Replace Debt in a 1031 Exchange
Presented by Kay Properties and Investments LLC
When: Tuesday, October 22, 2024, from 11:00 A.M. – 12:00 P.M. (Noon)
How to Attend: Exclusively for AAGLA Members, Please Login to Register.
Navigating the nuances of 1031 exchanges can be confusing for real estate investors, especially when it comes to understanding the concept of debt replacement. Many investors mistakenly believe that they must replace the exact amount of debt from their relinquished property to qualify for the tax deferral benefits of a 1031 exchange. However, the IRS regulations primarily focus on the value replacement, not necessarily the debt itself. This is where Delaware Statutory Trusts (DSTs) can provide investors a compelling solution.
A Delaware Statutory Trust or “DST” is a legal entity sanctioned by the Internal Revenue Service that allows you to hold title in real estate - DSTs are considered “like-kind” property that allows you to defer capital gains taxes in a Section 1031 Exchange. DSTs provide a streamlined, efficient alternative that can simplify the process of meeting the exchange requirements while also potentially removing the burden of having to qualify for financing.
Kay Properties’ President, Chay Lapin, considered one of the nation’s experts on 1031 exchange and DST investment strategies, will explain specific strategies investors can explore when looking to replace debt in their 1031 exchanges, including some practical benefits and ease of use that DSTs can bring to the table.
During this webinar, we will cover:
• What are the 1031 Exchange Requirements for Replacing Debt?
• How can real estate investors avoid a “Boot” in a 1031 Exchange transaction?
• The value of Pre-Arranged Debt in Delaware Statutory Trusts.
• Types of Leverage (Loan-to-Value) in DST Properties.
• What are Some Specific Hypothetical Examples of Debt-Replacement Strategies?
• And, much more! Q&A to follow.
For some investors, a diversified portfolio is often equated with the stock market. However, more and more investors are turning to real estate as an alternative investment strategy to avoid Wall Street’s volatility while also achieving passive income potential, appreciation, and diversification. If you are planning to consider a 1031 Exchange transaction, often choosing a Delawar Statutory Trust or “DST” is the way to go as these real property investments can often provide solid and hassle-free returns, and in some cases, rescue your tax-free, 1031 Exchange while at the same time defer hundreds of thousands of dollars in capital gains taxes.
WARNING: THE INFORMATION PROVIDED DURING THIS WEBINAR IS FOR GENERAL INFORMATION PURPOSES ONLY. ABSOLUTELY NO LEGAL OR TAX ADVICE IS BEING GIVEN DURING THIS WEBINAR. BEAR IN MIND THAT EVERY SITUATION IS UNIQUE, AND THE LAWS, RULES AND REGULATIONS ARE SUBJECT TO CHANGE AT ANY TIME. SO, BEFORE ACTING, BE SURE TO OBTAIN TAX AND/OR LEGAL ADVICE FROM A LICENSED PROFESSIONAL.
Presenter:
Chay Lapin, President, Kay Properties and Investments LLC
Chay Lapin is the President of Kay Properties & Investments. With an extensive knowledge of Delaware Statutory Trusts, he continues to guide the firm’s success, helping complete over $30 billion in investments. Mr. Lapin’s insights are often in top industry publications, including Yahoo Finance, The Commercial Observer, and BizNow. He was a top-ranked U.S. water polo athlete and represented the USA in the 2012 London Olympic Games as part of the U.S. Men’s National Water Polo Team.
Moderator:
Daniel Yukelson, AAGLA Executive Director
Daniel Yukelson is currently the Executive Director of The Apartment Association of Greater Los Angeles (AAGLA). As Certified Public Accountant, Yukelson began his career at Ernst & Young, the global accounting firm, and since then had served in senior financial roles principally as Chief Financial Officer for various public, private and start-up companies. Prior to joining AAGLA, Yukelson served for 12 years as Chief Financial Officer for Premiere Radio Networks, now a subsidiary of I-Heart Media, and then 3 years as Chief Financial Officer for Oasis West Realty, the owner of the Beverly Hilton and Waldorf Astoria Beverly Hills where he was involved with the development and construction of the Waldorf. Yukelson also served for 6 years as a Planning Commissioner and for 3 years as a Public Works Commissioner for the City of Beverly Hills.
A Featured Presentation By:
Kay Properties and Investments LLC
Kay Properties is a national Delaware Statutory Trust (DST) investment firm. The www.kpi1031.com platform provides access to the marketplace of typically 20-40 DSTs from over 25 different sponsor companies. Kay Properties team members collectively have over 340 years of real estate experience, have participated in over $39 Billion of DST 1031 investments, and have helped over 2,270 investors purchase more than 9,100 DST investments nationwide. For more information, go to www.KPI1031.com or give them a call at (855) 852-5515.
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.
Potential cash flow, potential returns and potential appreciation are not guaranteed. 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. By receiving this correspondence, you are opting for communications on behalf of Kay Properties and Investments, or its affiliated companies. If you have received this communication in error, please immediately notify the sender and permanently delete all copies that you may have. Please read our form CRS. Securities offered through FNEX Capital, LLC, member FINRA / SIPC.
