Multifamily DSTs: Why Apartments Can Be a Strong Foundation in a 1031 Replacement Property Portfolio
Multifamily DSTs are one of the most common and durable replacement property options in a 1031 exchange because apartments tend to provide steady housing-driven demand, recurring income potential, professional management, and diversification away from single-tenant concentration when structured with high-quality sponsors and disciplined underwriting. When investors think about passive replacement property strategies, multifamily is often the first asset class that comes to mind. Apartments are familiar. People understand housing. Demand tends to persist across market cycles because shelter is a basic necessity, not a luxury. That combination of familiarity, resilience, and income potential is why multifamily DSTs have become [...]