When executing a 1031 tax deferred exchange an investment property owner may find it challenging in today's market to locate suitable replacement property or may be in their investment life-cycle where they no longer want the day-to-day responsibilities of property management.
A Delaware Statutory Trust (DST) property ownership structure permits individuals to own a fractional interest in large, institutional quality and professionally managed commercial property along with other investors, not as limited partners, but as individual owners within a Trust. A DST takes all decision-making out of the hands of investors and places it into the hands of an experienced sponsor-affiliated trustee.