1031 Exchange into Mixed-Use Property?

[Tim Turner]

We will receive a net gain of $250,000 from the sale of a relinquished investment property and the funds will be held by a QI. We want to purchase a mixed-use replacement property for $750,000--a home with a detached apartment to rent out alongside a primary residence we'll move into as owners. The value of the replacement property is apportioned using a ratio of 66% residential to 33% investment—or $500,000 residential value to $250,000 investment value. Can we finance the purchase of the replacement property using the $250,000 in exchange funds as the down payment for the loan on the new property? Does this satisfy the requirement that the investment portion of the property (33% or $250,000) be paid for with exchange funds while the residential portion of the property (66% or $500,000) be paid for with only non-exchange funds—in this case, the funds borrowed from the lender? (I've set aside closing costs for the moment--let's say that the seller of the replacement property has agreed to pay all closing costs).