Video – Delaware Statutory Trusts & 1031 Exchanges

Delaware Statutory Trust investments are not typically sold by real estate agents or brokers. These products are typically marketed and sold through financial services firms. DSTs are also regulated as securities, which means they can’t be sold to just anyone. The purchaser has to be an “accredited investor” – which means they need to do some due diligence to make sure they have enough net worth to be considered accredited. One of the advantages of buying a DST is that it is truly a passive investment. It’s under management from your financial services firm and it’s more akin to buying a stock or a mutual fund than any other real estate product.

1031 Exchange Specialists in Minnesota

At CPEC1031, LLC we do everything possible to simplify the like-kind exchange process. With decades of experience in the industry, you can rest easy knowing your 1031 exchange is in good hands. Our team can handle the long list of details needed during a 1031 exchange and make sure you have all the information and documentation you need for the closing table and beyond. Contact CPEC1031, LLC today to learn more about the benefits of section 1031, the services we offer, and how we can help you defer capital gains taxes on your next 1031 exchange of real estate.

• Start Your 1031 Exchange: If you have questions about 1031 exchanges, feel free to call me at 612-643-1031.

Defer the tax. Maximize your gain.

© 2025 Copyright Jeffrey R. Peterson All Rights Reserved

Video - Common Structures for 1031 Exchange

In a forward 1031 exchange, the relinquished property sells first and you acquire the replacement property after that.

A build-to-suit exchange is a variation of a forward exchange. In a build-to-suit exchange the relinquished property is sold, and the monies are used by an intermediary to form an LLC and acquire the property on behalf of the taxpayer. The LLC owns the property while the construction occurs and then the intermediary transfers that property within the 180 day period to complete the exchange. That way you get the benefits of the newly constructed improvements plus the cost of the acquisition of the dirt.

In a reverse exchange, typically the intermediary is acquiring the replacement property and holding it as a surrogate for the taxpayer because they haven’t yet sold the relinquished property. Perhaps you have a problem with the buyer of your relinquished property and you’re forced to acquire your replacement property first.

Work with a 1031 Exchange Company Near You

CPEC1031, LLC offers all the resources you need to complete a successful 1031 exchange of real estate. Our team is here to help you through all the details of the 1031 exchange process. We can help ensure that you hit all the required deadlines and benchmarks so that you are able to defer 100% of your capital gains tax burden on the sale of your relinquished property. With over twenty years of experience, we are here to help. Contact us at our downtown Minneapolis offices today to get started with your next 1031 exchange of investment real estate.

• Start Your 1031 Exchange: If you have questions about 1031 exchanges, feel free to call me at 612-643-1031.

Defer the tax. Maximize your gain.

© 2025 Copyright Jeffrey R. Peterson All Rights Reserved

Video – Finding the Strike Zone for 1031 Exchanges

Since it’s baseball season, we should talk about the 1031 exchange “strike zone” – the ideal place you want your property to be in order to set yourself up for success.

The strike zone is property that’s held for investment or business purposes. That’s where you want the “ball” to be. Outside of the strike zone (stuff that doesn’t qualify for 1031 exchange) is inventory, property held primarily for resale, and personal use property (i.e. property that’s used as your second home, your recreational property, or anything that’s not used primarily for investment or business). Those properties are generally outside of the strike zone and cannot be used in a 1031 exchange transaction.

Take the First Step in Your 1031 Exchange Journey

If you’re ready to take the first step in your 1031 exchange journey and defer your capital gains taxes when selling investment real estate, contact the team at CPEC1031, LLC today. Our qualified intermediaries can help you through your entire 1031 exchange journey – from beginning to end. We have decades of experience in the 1031 exchange industry and can help make sure you are following all the 1031 exchange rules and guidelines so that you can ultimately defer your capital gains taxes. Reach our team today at our Minneapolis office to learn more!

• Start Your 1031 Exchange: If you have questions about 1031 exchanges, feel free to call me at 612-643-1031.

Defer the tax. Maximize your gain.

© 2025 Copyright Jeffrey R. Peterson All Rights Reserved

Video - Questions to Ask When Vetting a Qualified Intermediary

When conducting a 1031 exchange, it’s important to properly vet your qualified intermediary. Here are some questions to ask about your qualified intermediary before you make the decision to hire them for your like-kind exchange:

• Do they have a professional license? Are they an attorney licensed to practice law? Are they a CPA who’s gone through that rigorous examination?

• Do they have an A+ rating with the BBB? Do they have a lot of good reviews on Google?

• Have they been in business for decades or are they new to the industry?

• Are they actually authorized to do business in your state?

• Do they use separate, segregated bank accounts or do they put all their client monies into one bucket?

CPEC1031, LLC – Your 1031 Exchange Resource

CPEC1031, LLC is your resource for all things related to 1031 exchanges. For the past several decades, we have been helping taxpayers just like you defer taxes under section 1031 of the Internal Revenue Code. We can help you keep your money working in a continued investment. Contact us today to learn more about the 1031 exchange process, its benefits, and how we can help facilitate your next like-kind exchange. Our team operates out of our primary office in downtown Minneapolis but we work with clients across the United States.

• Start Your 1031 Exchange: If you have questions about 1031 exchanges, feel free to call me at 612-643-1031.

Defer the tax. Maximize your gain.

© 2025 Copyright Jeffrey R. Peterson All Rights Reserved

Video - Don’t Cash Out: A History Lesson for 1031 Exchanges

Let’s do a little 1031 exchange history lesson.

If you go back in the tax code, we had a hodgepodge of laws with very little rhyme or reason. Congress would pass a law and stick it in the book. In 1921, the first iteration of the 1031 exchange was put in the code. However, it wasn’t called a “1031 exchange” yet because the Internal Revenue Code as we know it now didn’t even exist.

That first version allowed for the deferral of tax when there was a swap (of real estate or other assets). The contemplated modality was that you trade someone your farm and the other party trades you their farm in a simple swap. The thinking was that people in that situation shouldn’t be penalized with taxes if they’re just continuing their investment in a different but equivalent property. That rationale continues to this day in the realm of 1031 exchanges – don’t cash out!

Reinvest Your Sales Proceeds and Defer Your Capital Gains Taxes in a Like-Kind Exchange

With a 1031 exchange, you can defer your capital gains taxes by reinvesting the net proceeds from the sale of investment real estate. The benefits of doing so are numerous. You get to keep your money compounding and building over time in a continued investment rather than simply paying a big tax bill. Like-kind exchanges can be conducted by any US taxpayer – provided your property meets certain benchmarks. Contact the intermediaries at CPEC1031, LLC today to get help with your next 1031 exchange of investment real estate.

• Start Your 1031 Exchange: If you have questions about 1031 exchanges, feel free to call me at 612-643-1031.

Defer the tax. Maximize your gain.

© 2025 Copyright Jeffrey R. Peterson All Rights Reserved