looking for a syndication for my 1031

[Jeff Weaver]

Hello all!

I’m looking for a syndication that will provide a monthly cash flow, Allow for the use of my 1031 proceeds, And at the end (2-10 years?) Allow me to 1031 into another investment.

Any syndicators out there?

I'm looking to invest up to $450k and would like to be a passive investor (1 of many) in a large project, I would need the project to be ready to move soon.  

If you are aware of any syndicators with experience in this area who are currently working on raising capital for a project, Please pass on my information.

Thank you

Jeff Weaver

I had previously posted this in the wrong forum and it was deleted :-(  My apologies....

[Dave Foster]

@Jeff Weaver, There are several excellent syndicators on this site with long track records and the kind of staying power to take you successfully into the next market cycle.  But You may have some difficulty finding a syndication that can accommodate your 1031.  The parameters of the 1031 exchange require you to sell investment real estate and take title to actual deeded investment real estate.  Most syndications are set up as LPs or LLCs for financing purposes with the financing to those entities.  When you purchase a membership interest in those entities you are not actually buying real estate but an interest in an entity that owns real estate.  That won't work for 1031.  But the lenders will usually be loath to allow any dissolution of the ownership of the property to accommodate a stand alone tenant in common like the 1031 would require.

There are some other options that can accommodate your 1031 and provide the passivity that you're looking for. Returns have to be looked at one off but Delaware Statutory Trusts, Tenants In Common projects and of course stand alone NNN properties or even small partnerships set up as tenants in common all can work.

You'll want to do some comparison with the returns you can get by moving into one of these vehicles but staying with your 1031.  Versus selling without the 1031, paying the tax and then investing after tax dollars in a syndication.  That's going to come down to your desires and reasonable expectations of the syndication.