After deciding to retire and step away from actively managing a $10 million real estate portfolio, successful medical professional turns to Kay Properties to help evaluate DST properties for his 1031 exchanges.
TORRANCE, Calif., March 31, 2022 /PRNewswire/ — Kay Properties & Investments, a national leader in Delaware Statutory Trust investments recently helped a retiring physician complete a series of DST 1031 exchanges totaling more than $10 million in order to achieve passive management and greater potential diversification. *
According to Dwight Kay, Kay Properties founder and CEO, the investor was introduced to Kay Properties through his Certified Public Accountant (CPA) who recommended the firm because of their extensive marketplace of DST 1031 property options, their reputation of putting integrity and clients' interests first, and their nationally recognized expertise in DST 1031 exchange investments.
“After the client contacted us, we spent the next year introducing him to and educating him and his family on DST 1031 exchange investments. We provided him educational material, spent many hours on phone calls with him, and conducted multiple in-person meetings to help him understand how DST 1031 exchanges could potentially help him achieve his investment objectives. As is our practice with all investors, it was important for us to also emphasize the potential risks associated with DST 1031 exchange investments. In the end, our team of DST experts worked with him to create a diversified portfolio of all-cash/debt-free DST properties that potentially met his needs and investment objectives,” explained Kay.
In addition, Kay explained that because of the amount of time his team of hyper-specialized DST experts spent with the client over the course of a year, the client and Kay Properties were able to identify and reserve the exact exchange properties he wanted ahead of time, and successfully completed the exchange within just 5 days of closing on the relinquished property.
According to Kay Properties Vice President and DST 1031 exchange expert, Steve Haskell, the client had spent the past 25 years successfully assembling a multimillion-dollar real estate portfolio of multifamily buildings and single-family homes that he actively managed. However, when he decided to retire to spend more time with his grandchildren and travel the world, he wanted to shift from the day-to-day activities of toilets, trash, and tenants, and enter a passive real estate management structure that would allow him access institutional grade investments while also achieving the potential for regular monthly distributions. In addition, his entire portfolio was heavily concentrated in one submarket, so he also wanted to achieve greater geographic diversification** as well.
“This gentleman was not only a successful physician, he was also a successful part-time real estate professional who had made his wealth locally by doing his own deals and performing his own property management tasks. When it was time for him to retire, he decided to liquidate his portfolio and pursue DST 1031 investments. Plus, from an investment standpoint, he was concentrated in both multifamily and single-family types of assets in a single local submarket. So, we worked closely with him to help create a blended portfolio that included higher quality real estate assets across seven markets nationwide to help him achieve the potential of greater diversification**. And instead of being in a single asset class, we helped him invest into five different asset classes, that included self-storage, medical, industrial, Class B multifamily and manufactured housing,” said Haskell.
However, Haskell feels that as important as the actual transactions, this investor valued the educational process that Kay Properties provided him leading up to his multiple 1031 DST exchanges.
“It really is important that our clients completely understand the DST 1031 structure and the potential risks associated with any real estate or DST investment. In this case, because of the amount of time and education we were able to provide him, this investor was very pleased and appreciative of the Kay Properties business model. We spent the necessary time with him to understand their objectives, goals and risk tolerances and worked tirelessly with him and his CPA to build a 1031 exchange DST solution that would potentially achieve those objectives,” said Haskell.
*Diversification does not guarantee profits or protect against losses.
About Kay Properties and www.kpi1031.com
Kay Properties & Investments is a national Delaware Statutory Trust (DST) investment firm. The www.kpi1031.com platform provides access to the marketplace of DSTs from over 25 different sponsor companies, custom DSTs only available to Kay clients, independent advice on DST sponsor companies, full due diligence and vetting on each DST (typically 20-40 DSTs) and a 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.
*NOTE: Past performance does not guarantee future results and DST investments may result in a complete loss of investor principal. This is an example of the experience of one of our clients and may not be representative of the experience of other clients. These clients were not compensated for their testimonials. Please speak with your attorney and CPA before considering an investment
All real estate investments provide no guarantees for cash flow, distributions or appreciation as well as could result in a full loss of invested principal. Please read the entire Private Placement Memorandum (PPM) prior to making an investment. This case study may not be representative of the outcome of past or future offerings. Please speak with your attorney and CPA before considering an investment.
There is a risk of loss of the entire investment principal. Past performance is not a guarantee of future results. Potential distributions, potential returns and potential appreciation are not guaranteed. For an investor to qualify for any type of investment, there are both financial requirements and suitability requirements that must match specific objectives, goals, and risk tolerances. Securities offered through FNEX Capital, member FINRA, SIPC.
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SOURCE Kay Properties and Investments