There is no single “best” DST company for every 1031 investor. The right fit depends on what you are trying to solve for: income vs growth, leverage level, property type, hold period, tenant concentration, and how the sponsor has handled full cycle exits in different markets.
That said, most investors start with a short list of established DST sponsors that have a long operating history, repeat programs, and broad distribution through broker dealers and advisers. Commonly seen names in the DST marketplace include Inland Private Capital, ExchangeRight, Passco, Capital Square, Cantor Fitzgerald, and Carter Exchange.
How to compare DST companies the right way
When you are evaluating “best,” focus less on branding and more on sponsor discipline and deal structure:
- Track record and full cycle outcomes: How many programs have gone full cycle, and how did exits and distributions compare to projections?
- Asset selection and underwriting: Favor conservative rent and expense assumptions, realistic cap rates, and clear downside scenarios.
- Fee transparency: Upfront and ongoing fees should be clearly disclosed and reasonable for the strategy.
- Debt profile: Fixed vs floating, loan maturity vs projected hold, interest rate caps, and DSCR breathing room.
- Exit options: Know whether the plan is a sale, refinance, or a REIT-style conversion, and whether any conversion is optional or forced.
- Reporting and investor communication: You want clean reporting, timely updates, and a sponsor that explains issues early.
How 1031 Exchange Place helps
At 1031 Exchange Place, we help you narrow the field and compare current offerings across multiple sponsors based on your exchange timing, risk tolerance, income needs, and diversification goals, then walk you through due diligence so you can choose with clarity.