Exploring Replacement Property Options Beyond Traditional Real Estate

I’m curious how other investors approach a 1031 exchange when the goal is to move away from active property management.

Many first-time exchangers naturally look at another rental, commercial property, or a DST. But depending on the facts and circumstances, there may be other real estate-based options worth discussing with a Qualified Intermediary and tax advisor—including producing oil and gas mineral interests.

The appeal is understandable: potential income from existing production without dealing with tenants, repairs, or day-to-day property management. But the details matter—ownership documentation, production history, revenue records, exchange timing, and whether the asset fits the investor’s specific tax and investment objectives.

I’m interested in hearing from investors who have explored less traditional replacement-property options:

• What did you consider?

• What questions mattered most?

• What concerns did your QI or tax advisor raise?

• Did you prioritize income, simplicity, diversification, or future upside?

Not offering tax or legal advice—just interested in learning how others have evaluated their choices.