Why transition from a DST to an UPREIT?

Investors may choose to transition from a DST to an UPREIT for several strategic reasons:

• Further Tax Deferral: Continue deferring capital gains taxes beyond the DST lifecycle.
• Diversification: Move from a single-property DST to a broader portfolio managed by an UPREIT.
• Liquidity Potential: OP Units may eventually be converted to REIT shares, and then sold via the REIT’s share repurchase program.
• Estate Planning: Potential step-up in basis at death, reducing tax liability for heirs.