How Investors Use Delaware Statutory Trust Properties to Replace Debt in a 1031 Exchange

How Investors Use Delaware Statutory Trust Properties to Replace Debt in a 1031 Exchange

Presented by Kay Properties and Investments LLC

When:        

Thursday, February 27, 2025, from 11:00 A.M. – 12:00 P.M. (Noon)

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) offer a compelling solution. DSTs provide a streamlined, efficient alternative that can simplify the process of meeting the exchange requirements while potentially alleviating the burden of personal guarantees and extensive financial disclosures. during this important new webinar, you will learn from one of the nation’s Delaware Statutory Trust experts on how DSTs can serve as a strategic tool for investors looking to replace debt in their 1031 exchanges, highlighting the practical benefits and ease of use that DSTs bring to the table.

• What is a 1031 Exchange and the 1031 Exchange Value Replacement Rule?How can Delaware Statutory Trusts be used to replace debt in a 1031 Exchange?
• What are the types of leverage available in DST properties?
• DST investment and investor scenario examples.
• 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.

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:

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.  

Presenter:  

Chay Lapin, President, Kay Properties and Investments LLC
  
Kay Properties & Investments’ President, Chay Lapin has played a critical part of the firm’s success in achieving year-over-year gains in equity placements while also guiding the real estate investment firm’s strategic direction as one of the most successful real estate investment firms specializing in Delaware Statutory Trusts. To date, Chay has helped the firm complete more than $30 Billion of 1031 investments totaling approximately 50 million square feet of multifamily, manufactured housing, single tenant net lease, industrial, self-storage and medical properties nationwide.

As an executive of Kay Properties, Chay is considered by many to be one of the most experienced real estate investment professionals specializing in Delaware Statutory Trusts in the nation. On a daily basis, Chay provides insight to clients nationwide concerning multifamily and commercial real estate, DST, TIC, and fractional NNN Properties. Chay has also helped establish Kay Properties as one of the nation’s leading real estate investment firms offering debt-free real estate offerings for accredited investors, while personally sponsoring more than two million square feet of DST properties in the multifamily, net lease, industrial and office sectors as well as invested in and operated multiple net lease assets and residential properties throughout the United States. Chay is regularly featured in industry publications including BizNow, The Commercial Observer, Yahoo Finance, among others.

A graduate of the University of California at Los Angeles, Chay was a four-time Academic All-American water polo athlete and recipient of the prestigious UCLA Athletic Department Most Courageous and Character Award. Chay was a top-ranked United States performer and represented the USA in the 2012 London Olympic Games on 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 helps investors choose 1031 exchange investments that help them focus on what they truly love in life, whether that be their children, grandkids, travel, hobbies, or other endeavors (NO MORE 3 T’s - Tenants, Toilets and Trash!).  We have helped 1031 exchange investors for nearly two decades exchange into over 9,100 - 1031 exchange investments.  Please visit www.kpi1031.com for access to our team’s experience, educational library and our full 1031 exchange investment menu.

Make sure you watch this short video of actual Kay Properties 1031 exchange clients sharing their experience. For more information, go to www.KPI1031.com or give them a call at (855) 852-5515.