Kay Properties Announces Custom Logistics/Distribution Delaware Statutory Trust Investment Offering Goes Full-Cycle to Deliver a 121.08% Total Return* for Investors

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Jun 16, 2022, 08:15 ET

The Kay Properties' Airport Distribution 21 DST went full cycle delivering uninterrupted distributions and solid total returns for Kay Properties accredited investors

Key Highlights:

Kay Properties & Investments takes custom logistics/distribution DST property full-cycle
Kay Properties & Investments correctly anticipated the O'Hare Airport adjacent location combined with the lack of quality warehouse space nationwide created a favorable investment environment.
The debt free DST offering realized a 12.37% annualized return for investors.*
Kay Properties & Investments is on track to have another record-breaking year of successfully completing DST 1031 investments after completing $610 million of equity placed in 2021

TORRANCE, Calif., June 16, 2022 /PRNewswire/ -- Kay Properties & Investments, a nationally recognized Delaware Statutory Trust 1031 Exchange investment firm, announced it successfully brought one of its custom Kay Properties DST offerings full cycle on behalf of multiple 1031 exchange and cash investors. Kay Properties operates its best-in-class www.kpi1031.com marketplace for DST investments from over 25 DST well-recognized sponsor companies.

This is an illustration of a “Full Cycle” event. Full-Cycle is the name used to describe a Delaware Statutory Trust property that is purchased and then sold on behalf of a group of accredited investors after a period of time.

"Full Cycle" is the name used to describe a Delaware Statutory Trust property that is purchased and then sold on behalf of a group of accredited investors after a period of time.

According to Dwight Kay, founder and CEO of Kay Properties & Investments, the property, Airport Distribution 21 DST located in Elk Grove Village, IL sold on behalf of a group of DST accredited investors who, for those investors that closed simultaneously on the DST investment the same day that the property was purchased, realized a 121.08% total return on their investments, or a 12.37% annualized return from their DST 1031 investment*.

"The property was offered to investors as an all-cash/debt-free investment in order to create a lower-risk profile for both 1031 Exchange and direct cash investors. We are very pleased to have provided another successful custom DST investment opportunity for our clients that resulted in a full-cycle liquidity event," said Kay.

In addition, Kay noted that Kay Properties was able to provide its investors uninterrupted monthly distributions throughout the hold period and during the entire COVID-19 pandemic, a significant accomplishment considering the challenges that many real estate operators experienced with tenants and rent collections during the pandemic.

"While past performance does not guarantee or indicate the likelihood of future results, this particular DST investment is a solid example of how Kay Properties clients have access to Custom DST offerings that are only available to investors working with Kay Properties. It was made available to Kay Properties clients on kpi1031.com as a Custom all-cash/debt-free DST and successfully sold for an attractive total return for our investors. The positive return marks a significant victory for our investors and another successful outcome for the entire Kay Properties team during this record-breaking year*," said Kay.

Kay explained that this custom logistics DST asset consisted of a 36,395 square foot distribution facility located in the Elk Grove Village submarket of greater Chicago. The facility had been consistently occupied by an investment grade tenant for many years, and was located just eight miles from the O'Hare International Airport in the heart of one of the nation's most active logistics centers.

"Our investment team identified this logistics facility as a potentially high-quality asset that was in high demand and located in a dense urban area. Furthermore, the booming e-commerce industry and a stable investment-grade tenant created what we believed to be a favorable investment scenario," said Kay.

Chay Lapin, President and DST specialist with Kay Properties & Investments, explained that because there is a limited supply of quality logistics facilities currently available across the country, the combination of a solid location and a high-quality logistics and distribution tenant made the Airport Distribution 21 DST a particularly attractive investment for Kay Properties.

"We originally acquired the property because we saw there was a great opportunity for a logistics facility that was 100% occupied by a Fortune 500 distribution tenant. Like all of our Delaware Statutory Trust investments found on www.kpi1031.com, this DST was carefully vetted by the Kay Properties team of due diligence and analytics experts before we made it available as a custom DST to our Kay Properties investment family. Although the past performance of any investment doesn't ever guarantee future results or returns, the offering's monthly distributions performed exactly as we had anticipated in the Private Placement Memorandum (PPM)*," said Lapin.

About Kay Properties and www.kpi1031.com

Kay Properties & Investments is a national Delaware Statutory Trust (DST) investment firm. The www.kpi1031.com platform provides access to the marketplace of DSTs from over 25 different sponsor companies, custom DSTs only available to Kay clients, independent advice on DST sponsor companies, full due diligence and vetting on each DST (typically 20-40 DSTs) and a DST secondary market. Kay Properties team members collectively have over 150 years of real estate experience, are licensed in all 50 states, and have participated in over $30 Billion of DST 1031 investments.

* Past performance does not guarantee or indicate the likelihood of future results.

* No representation is made that any DST investment will or is likely to achieve profits or losses similar to those achieved in the past or that losses will not be incurred on future offerings.

Diversification does not guarantee profits or protect against losses. All real estate investments provide no guarantees for cash flow, distributions or appreciation as well as could result in a full loss of invested principal. Please read the entire Private Placement Memorandum (PPM) prior to making an investment. This case study may not be representative of the outcome of past or future offerings. Please speak with your attorney and CPA before considering an investment.

There are material risks associated with investing in real estate, Delaware Statutory Trust (DST) properties and real estate securities including illiquidity, tenant vacancies, general market conditions and competition, lack of operating history, interest rate risks, the risk of new supply coming to market and softening rental rates, general risks of owning/operating commercial and multifamily properties, short term leases associated with multifamily properties, financing risks, potential adverse tax consequences, general economic risks, development risks and long hold periods. All offerings discussed are Regulation D, Rule 506c offerings. There is a risk of loss of the entire investment principal. Past performance is not a guarantee of future results. Potential distributions, potential returns and potential appreciation are not guaranteed. For an investor to qualify for any type of investment, there are both financial requirements and suitability requirements that must match specific objectives, goals, and risk tolerances. Securities offered through FNEX Capital, member FINRA, SIPC.

SOURCE Kay Properties and Investments