One cannot buy into a REIT for their 1031 exchange as the ownership of the REIT is typically in the form of shares rather than direct ownership of real estate as required by the like-kind exchange tax law. Intermediary/Accommodators will not wire funds into REIT for this reason. If a client desires to be invested in REIT, they first need to invest in a DST – per the IRC Revenue Ruling 2004-86 – where the DST is likely to be acquired by the REIT in the future utilizing section 721 and therefore maintaining full tax deferral as long as all requirements are met.