Section 1031 Like-kind Exchanges
1031 Exchanges for DST Investments An Introduction “No Gain or Loss Shall Be Recognized…”
Cornerstone
Introduction to the 1031 Exchange The United States Internal Revenue Code Section 1031(a) reads as follows: I.R.C. § 1031(a) Nonrecognition Of Gain Or Loss From Exchanges Solely In Kind I.R.C. § 1031(a)(1) In General — No gain or loss shall be recognized on the exchange of real property held for productive use in a trade or business or for investment if such real property is exchanged solely for real property of like kind which is to be held either for productive use in a trade or business or for investment. I.R.C. § 1031(a)(2) Exception For Real Property Held For Sale — This subsection shall not apply to any exchange of real property held primarily for sale. I.R.C. § 1031(a)(3) Requirement That Property Be Identified And That Exchange Be Completed Not More Than 180 Days After Transfer Of Exchanged Property — For purposes of this subsection, any property received by the taxpayer shall be treated as property which is not like-kind property if— I.R.C. § 1031(a)(3)(A) — such property is not identified as property to be received in the exchange on or before the day which is 45 days after the date on which the taxpayer transfers the property relinquished in the exchange, or I.R.C. § 1031(a)(3)(B) — such property is received after the earlier of— I.R.C. § 1031(a)(3)(B)(i) — the day which is 180 days after the date on which the taxpayer transfers the property relinquished in the exchange, or I.R.C. § 1031(a)(3)(B)(ii) — the due date (determined with regard to extension) for the transferor's return of the tax imposed by this chapter for the taxable year in which the transfer of the relinquished property occurs.
According to Internal Revenue Code § 1031, an investor can defer capital gains tax and depreciation recapture by reinvesting the proceeds from the sale of real property into replacement property, thus potentially preserving significant wealth in their estate. Section 1031 has been a vital economic stimulant and part of the tax code since 1921. A study of the early tax court cases clearly shows that the two key purposes for the provision were (1) to avoid unfair taxation of ongoing investments in property and (2) to encourage active reinvestment.1 The use and dependence on § 1031 exchanges have grown over the past nearly 100 years to be a major cornerstone of today’s real estate market and national economy. Without the possibility of tax deferral on capital 1
Starker v. United States, 1979, retrieved 2007-07-04 ; Starker v. United States, 602 F. 2d 1341 - Court of Appeals, 9th Circuit 1979. 1031 EXCHANGES
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gains, a buy-and-hold mentality would pervade the real estate industry, resulting in significantly less sales transaction volume and lower values. Furthermore, the ripple effect of fewer real estate transactions would significantly retard the national economy, as businesses associated with real estate such as real estate brokers, appraisers, architects, painters, building contractors, and furniture retailers would all have less revenue. Even public schools and local governments would feel the effect of real estate values not being regularly reassessed. Accordingly, over the decades, Section 1031 has survived multiple tax reforms, including the 2017 Tax Cuts and Jobs Act. Cornerstone, as an associate member of the Federation of Exchange Accommodators (FEA), has lobbed on Capitol Hill to protect and preserve Section 1031 exchanges. Section 1031 Case Study It may be helpful to begin our introduction to the Section 1031 exchange with a sample case study, to quantify this advantage in terms of potential income tax savings, and potentially increased annual income. We will take some average numbers from our experience over the years to provide an average case study tax scenario for our example. In our example, we will use a single taxpayer with ordinary annual wage income of $200,000. The taxpayer originally acquired a multifamily property in 1992 at a price of $900,000. The taxpayer had no prior 1031 exchanges and purchased the property with no debt financing. The taxpayer held the property for 25 years and, after taking the allowable straight-line depreciation over a tax-useful life of 27.5 years, sold the property with only a $81,818 remining tax basis. The property was sold in 2016 to a cash buyer for $4,000,000 representing a pure capital gain of $3,100,000 and a tax gain of $3,918,182 including $818,182 of depreciation recapture. Below, we present the computations for the taxpayer, in accordance with the 2017 Tax Cuts and Jobs Act, with and without a Section 1031 exchange.
(See illustration on next page)
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The amounts highlighted in red in the example demonstrate the tremendous advantage of a Section 1031 exchange. Without an exchange, the taxpayer would have paid $1,148,425 in tax on the gain and depreciation recapture. This amount represents 32% of the investment’s value that would have been lost to federal and state income taxes. Even more advantageous is the income that could be generated from the entire $4,000,000 investment carried over to the DST investment by utilizing the exchange. With an average 5% cash-on-cash return, the taxpayer enjoys an annual income of $200,000, contrasted with only $142,579 on income if the after-tax amount is reinvested. Over a 7-year hold period, the annual income aggregates to $1,400,000 with the exchange, contrasted with only $998,051 without an exchange. Thus, not utilizing a 1031 exchange would have cost the taxpayer $401,949 in income before tax over 7 years. The loss in income divergence would be even greater on an after-tax basis if the after-tax sale proceeds were reinvested in the stock or bond market without the advantage of a tax shelter due to depreciation. It should be noted that this is a hypothetical example and that ones own tax rate, 1031 exchange tax savings, and potential returns may vary and are not guaranteed. A final lesson to be gleaned from the example is the principle of employing built-up equity. If the taxpayer had made an astute real estate investment back in 1992 and was enjoying a 10% cash-on-cash return which escalated to 15% over the years, the original investment would only still represent a 3.4% return-on-equity ($135,000/$4,000,000) with an annual income of $135,000 ($900,000 x 15%). However, by conducting a Section 1031 exchange into a new DST property, the built-up equity of $3,100,000 is now being utilized to produce an income of $200,000 per year. The $200,000 per year cash flow would translate into a cash-on-cash return of 22% from the original investment of $900,000. This principle should be employed every 7 to 10 years in an appreciating market, and DSTs with a 5 to 10-year hold period and accessibility may be a viable vehicle. Swap Until You Drop Section 1031 exchange deferrals can be continued from exchange to exchange, deferring tax liability until sale without a 1031 exchange or until the tax liability passes into that investor's estate. This is often referred to as "swap until you drop". The investor’s heirs are then entitled to a step-up in basis to the fair market value at the date of death, or an alternative election date no more than 6 months later. The heir’s basis would then be the new assessed value or stepped-up basis, and they would only pay capital gains tax from that point forward until an ultimate sale.
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Increasing Cost Basis by Assuming Greater Debt A significant number of investors have owned their relinquished property for many years and have little or no remaining debt. In this case, it is worth considering increasing basis through investment in a higher leveraged property. If an investor assumes greater debt with the replacement property than they had with the relinquished property, the additional amount of debt may be added to the tax basis of the investment. This additional tax basis can then be depreciated over a new useful life on a straight-line basis. This additional basis can provide increased tax shelter due to a larger deduction for depreciation expenses. (Please note that depreciation is an accounting concept and is allowed even if the property is appreciating in value.) The additional depreciation, in many cases, can shelter as much as 50% to 60% of the investor’s rental income cash flow from income taxation. 1031 Exchange Requirements As outlined above, a 1031 tax-deferred exchange can be a potential powerful wealthbuilding tool, allowing an investor to defer capital gains tax by reinvesting the proceeds from the sale of investment property into qualified replacement property. However, a set of strict identification and timeline rules must be followed to the letter. A professional tax advisor should be utilized to ensure that every requirement of § 1031 is met. Failure to do so can result in immediate tax liabilities plus associated penalties. Some of the most important requirements for an IRS-approved 1031 exchange are the following: 1. The replacement property must be of equal or greater value than the relinquished property. 2. The equity of the replacement property must be of equal or greater value than the equity of the relinquished property. 3. The debt held by the replacement property must be of equal or greater value than the debt held by the relinquished property, unless the investor offsets lower debt on the replacement property by adding cash to the exchange. 4. All net profit from the relinquished property must be used in the purchase of the replacement property. If one or multiple of the above requirements are not met, the exchange is not entirely invalidated. However, the amount by which the equity, debt or property value falls short of the stipulated requirement is considered "boot" and subject to taxation. Unfortunately, the boot is first taxed a deprecation recapture at the higher federal tax rate of 25%. Once all prior allowed or allowable deprecation is recaptured, then the long-term federal 1031 EXCHANGES
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capital gain rates would apply. This principle is true for all forms of taxable boot—value, cash or mortgage boot. The Equal or Greater Value Rule It should be noted that the replacement value is not strictly the sales price of the relinquished property. The sales price may be reduced by any and all costs associated with the sale, including the cost of the Qualified Intermediary.2 Accordingly, the value of the replacement property (which is effectively the purchase price between unrelated parties) must be equal to or greater than the net sales price after closing costs of the relinquished property. The dollar amount of any decrease would be considered taxable boot. Any increase in value would be due to adding cash or increasing the amount of leverage, both of which would increase the investor’s tax basis in the property. The Use of All Equity Rule In most cases, the requirement that all the equity in the relinquished property be invested in the replacement property (less any sales and closing costs as outlined above) is automatically met if the investor does not take cash out of the transaction. Any cash taken out of the exchange would always be considered cash boot and is always subject to taxation. The Equal or Greater Debt Rule To avoid mortgage boot, the dollar amount of the debt on the replacement property must be equal to or greater than the debt that was secured by the relinquished property and paid off at the sale closing. Any reduction in debt is considered by the Service as if cash was received by the taxpayer and used to reduce the debt, and thus constitutes constructive receipt. The tax theory behind the rule is that incurred liabilities by the taxpayer in the context of a Section 1031 exchange may offset liability relief of the taxpayer in that tax-deferred exchange.3 The DST to Eliminate Mortgage Boot A DST investment can be a significant advantage when the taxpayer is attempting to match replacement debt with relinquished debt in order to avoid taxable mortgage boot. Cornerstone, through its broker-dealer, typically offers 15 to 25 DST offerings with various levels of debt or loan-to-value (LTV). DST LTVs can range from 0% all cash offerings to a historic maximum of 84% for zero coupon highly leveraged offerings. The taxpayer may either select a single DST offering with an appropriate level of leverage for his exchange, or blend the leverage levels for multiple DSTs to achieve an aggregate level that is equal to or greater than the relinquished debt.
2
Treasury Regulation §1.1031(k)-1(g)(7) Long & Vrbanac, supra. note 2, § 4:06; Treas. Reg. §§ 1.1031(b)-1(c), 1.1031(d)-2, Example (2); Rev. Rul. 7944, 1979-1 CB 265 3
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Cornerstone has a useful DST diversification tool for calculating the blended leverage on multiple DST offerings and calculating additional tax basis.
The zero-coupon DST is often used as a tool if the investor requires higher leverage for his exchange. This tool may be necessary if the relinquished debt is significantly above the level of leverage offered by available DSTs with cash flow. A surprisingly small amount of equity may be allocated to the highly-leveraged zero coupon to reach the required debt level to eliminate mortgage boot. Cornerstone has a DST diversification tool that is very useful for calculating the blended leverage on multiple DST offerings and calculating additional tax basis. The zero-coupon DST offering typically has no cash flow, as the lender will sweep the cash flow in order to hyper-amortize the debt. The lender will lend to such a high LTV (typically as high at 84%) only if the tenant is of institutional credit grade, such as a Walgreens store, with the national company guaranteeing the lease. While these offerings have no cash flow, the amortization can potentially provide an attractive risk adjusted return once the property is sold. These highly leveraged zero-coupon DST investments may help the investor to effectively de-lever the debt level on the reminder of the investor’s real estate portfolio, while reducing the debt on the highly leveraged DST over the hold period due to hyper-amortization. The zerocoupon sponsor will try to mitigate the effects of phantom income on the loan principal paydown with interest expense and depreciation expense. However, there may be some phantom income exposure to the taxpayer each year. The 45 Day, 180 Day and Identification Rules The strict identification and timeline rules for a 1031 exchange must be followed to the letter: 1. The investor must identify, in writing, the exchange properties within 45 days of the closure for the relinquished property in accordance with one of the following rules: o Three-Property Rule: Identification of up to three properties regardless of the total value of property identified; o 200% Rule: Identification of any number of properties wherein the combined FMV (fair market value) does not exceed 200% of the relinquished properties' FMV; o 95% Rule: Identification of any number of properties regardless of the aggregate FMV, as long as at least 95% of the property is ultimately acquired. 2. The investor must also close on the replacement property or properties within 180 days of the closure for the relinquished property.
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Identifying Multiple DST Offerings As discussed in our book, Modern Real Estate Investing, The Delaware Statutory Trust (available on Barns & Noble and Amazon.com), an advantage of the DST offering with lower minimum investment level is the ability to diversify. However, when identifying multiple DST properties, much care must be taken to comply with the identification rules. DST Application of the Three-Property Safe Harbor
The most straightforward identification is one utilizing the three-property rule as a safe harbor. In this scenario, any three single-property DSTs may be identified, and the investor has the option to invest all of the exchange equity into one, two or all three identified DSTs. Please note that some qualified intermediaries will require that the DST properties be identified not only by an address of the DST property but also by either the percentage of ownership or the total value of the DST property to be acquired (Equity and debt). If the investor wishes to diversify into more than three properties, then either the 200% rule or the 95% rule must be used. DST Application of the 200% Rule The 200% rule may be used to identify any number of DST properties as long as the total value of all DST properties identified is not greater than 200% of the value of the property relinquished (sales price less deductible selling expenses). Do not make the mistake of aggregating only the equity to be placed in the DSTs. The number to target is the total value or sales price of the replacement DST properties. This is quite easily achieved if the relinquished property has significant debt, or a debt level in line with the blended leverage of the identified DSTs. However, if the investor is increasing the level of debt from the relinquished property to the replacement properties, then the 200% rule may not be able to be utilized, and the investor must default to the 95% rule. DST Application of the 95% Rule The 95% rule is very rarely used when identifying traditional single-ownership properties. This is due to the fact there are so many variables and contingencies that 1031 EXCHANGES
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could prevent the investor from closing on the acquisition of the identified replacement properties. However, DST properties are, in most every case, already acquired by the sponsor, with very little risk of the investor not being able to close. Sponsors typically have closings on a weekly basis to accommodate all the equity investors for that week. The one case where the 95% rule must be used is in the case of a debt free exchanger who would like to identify and acquire replacement properties which are both more than 3 in number and also whose total acquisition value exceeds 200% of the sale price of their relinquished property. This will be an issue for exchangers with either no debt or low leveraged relinquished property that will be acquiring moderate to higher leveraged properties. This is true as the value of the aggregate replacement properties could easily exceed 200% of the value of the relinquished property. Of course, exchangers should only use the 95% rule when their decisions are firm and when they have near certainty of close on all of the identified properties. As a practical matter, most DST investments will close before the exchanger’s 45-day identification period is over. The closing is a de-facto identification and makes the ID matter moot. If, however, the investor needs to close on the DST investments beyond the 45-day window, this is typically not a problem as long as only DST properties have been identified. Cornerstone recommends the exchanger identify all properties (including DSTs) with their qualified intermediary prior to day 45 even if the replacement properties have already been acquired. Multiple Properties in One DST Offering A trend with DST offerings, particularly with retail offerings, is to offer multiple properties in a single DST. Some sponsors have included as many as 20 single-tenant retail properties in one DST offering, to provide greater diversity over tenant credit and geographic locations. Occasionally, multiple multifamily properties that are not contiguous (i.e. adjoining) are also offered in a single DST offering. It should be noted that these offerings may require an ID for each property in the DST. Accordingly, a single DST with four non-contiguous properties would require 4 IDs and not qualify for the three-property safe-harbor. Consequently, either the 200% rule or the 95% rule would need to be applied. When employing either the 200% rule or the 95% rule, the investor must be careful to identify not only the address of the property, but also the total value of the DST that the investor will be acquiring. Please note that this is the total value, including both debt and equity, that the investor will be assuming or acquiring, and not the total 1031 EXCHANGES
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value of the entire DST. We inviter you to read more in our book, Modern Real Estate investing, The Delaware Statutory Trust – available on Barns & Noble and Amazon.com. DSTs as a Backup ID Some investors chose to use DSTs as a backup ID for their 1031 exchange in the event that the targeted properties are not closed on for various reasons. DSTs are a viable option and well suited for this purpose, as an equity position may be reserved by the investor with no commitment on the investor’s part, and because there is little risk that the property can be closed successfully in a short time period. However, the investor should be careful to satisfy one of the three ID rules if the DST contains multiple noncontiguous properties. The Like-Kind Property Requirement
Paragraph 1031(a)(1) of the code section has the requirement that the exchanged properties must be like-kind. This requirement is liberally construed, and virtually all real estate properties, whether raw land or those with substantial improvements, qualify as like-kind. However, REITs, real estate funds, or other securities do not qualify for 1031 exchange. Types of like-kind properties may include: Raw Land Multi-Family Rentals Single-Family Rentals Retail Shopping Centers Office Buildings Industrial Facilities Storage facilities While the scope of like-kind is quite broad, even to the inclusion of oil and gas and other mineral rights, the tax code restricts like-kind based on geographic location. It is interesting to note that real property located within the United States and its territories is considered like-kind with other real property located in the United States and its territories, while real property located in foreign countries is considered like-kind with real property in other foreign countries. So properties as described above may be freely exchanged with other properties located in the United States, but not with similar properties located in foreign countries. Likewise, foreign properties may not be exchanged for properties in the United States but may be freely exchanged with other properties outside the United States. (For example, a rental apartment in Paris may be
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Cornerstone can work with any authorized QI the client choses, or we can suggest a nationally reputed, bonded QI to the client.
exchanged for a rental villa in Italy but may not be exchanged for a rental home in Los Angeles.) The Role of the Qualified Intermediary The exchange process must be facilitated by a Qualified Intermediary (QI). The QI is the professional executor of the mechanics of an exchange. They hold the proceeds from the relinquished property until they are reinvested in the exchange property. An "exchange agreement" must exist in writing between the QI and the investor in order to prevent the investor from having "constructive receipt" of the funds during the exchange period. The use of a qualified intermediary as an independent party to facilitate a tax-deferred exchange is a safe harbor established by Treasury Regulations. It is very important that the investor select a qualified intermediary before they close on the relinquished property, and notify the escrow company in advance that he or she will be executing a 1031 exchange. Cornerstone can work with any authorized QI the client choses, or we can suggest a nationally reputed, bonded QI to the client. Qualitied intermediary fees are relatively nominal. For more than a decade the flat fee has been around $750 but has increased recently to approximately $1,000 per transaction. Interest on the funds while in the QI account are usually passed through to the investor. Due to the short-term deposit and recent market interest rates, interest income on the funds is typically a nominal benefit. Risks of a 1031 Exchange If the strict timeline and procedural rules are not followed, the 1031 exchange may be disqualified. Also, there is no guarantee that the IRS will approve each individual exchange, nor that tax law will not be altered in the future, nor that the IRS will not change their application of present law to future cases. Finally, the full scope of tax-related risks can only be determined in counsel with the client’s personal tax advisor, taking into account all the facts and circumstances of that client’s tax situation and the specific laws of the state where they reside. At a minimum, a "should level" tax opinion will be provided in the PPM document for each DST offering. The opinion basically reviews the details of the offering in relation to Revenue Ruling 2004-86 and concludes that the DST offering "should" qualify for a Section 1031 exchange. However, each investor’s facts and circumstances are unique to their exchange, and care must be taken that all the applicable rules are followed, including the ones outlined in this
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chapter. A professional tax advisor or CPA familiar with the Section 1031 exchange rules is highly recommended for anyone contemplating an exchange. 1031 Exchange Do’s and Don’ts DO plan in advance. Advance planning is key to success in any exchange. Particular attention must be given to the timing of the sale of the relinquished property, estimating equity and debt replacement objectives to avoid boot, and retaining an expert qualified intermediary. DO NOT be tardy on your deadlines. The IRS will not honor the exchange if either the 45-day identification period is missed, or replacement property is not acquired within the 180-day exchange period. DO make every effort to sell before you purchase. If you identify an ideal replacement property before your relinquished property is sold, then you may have to negotiate a reverse exchange (i.e., buying before selling). The IRS has provided guidance on this type of reverse exchange in Revenue Procedure 2000-37, but a reverse exchange is considered a more aggressive type of exchange, as either the replacement property or the relinquished property must be parked with an Exchange Accommodator Titleholder for 180 days, pending the successful completion of the exchange. DO NOT change how title is held during the exchange. Changing how title to your property is being held, or dissolving partnerships during the exchange, may cause the exchange to be dishonored due to holding-period issues. DO be mindful of the "napkin test" in a balanced exchange. The two components of the napkin test are: If you are trading down in total value, you are potentially taxable to the extent of the trade-down; If you are trading down in equity, you are potentially taxable to the extent of the trade-down.
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The Cornerstone Real Estate Investment Services team has been serving a national clientele since 2001 and has sold over $1 billion in securitized investment value. Through its FINRA member broker-dealer, professional standards of suitability, including due diligence and full disclosure, are applied to each offering. The firm's mission is to be the "cornerstone" in the investment process by bringing to the investor comprehensive information with respect to DST investment offerings and securitized real estate investments. We can offer professional assistance in identifying and closing on DST investments that fulfill your investment objectives. As a result, our mission is to supply independence and integrity to our investor clientele. Again, we invite you to read our book, Modern Real Estate investing, The Delaware Statutory Trust – available on Barns & Noble and Amazon.com – and we look forward to working with you. Please contact us if we can help you in any way.
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Risks A DST investment involves substantial risks including those risks typical of traditional real estate investment including illiquidity and concentration risks associated with local markets. Investors must read and understand all risk disclosures in the applicable full disclosure private placement memorandum (PPM) that would accompany any. Potential risks relating to each investment in a DST are disclosed in a private placement memorandum that must be read by the investor prior to making an investment decision. These risks include but are not limited to: 1. Illiquidity (there is currently no secondary market); 2. Tax status risk which may result in immediate tax liabilities, including penalties; 3. The fact that substantial fees associated with the purchase of the investment may, in certain cases, outweigh the tax benefits; 4. The significant tax risks for acquiring interests as replacement property; 5. The risks of using leverage in real estate; 6. The investment is speculative and involves a high degree of risk; 7. The risks associated with fractionalized ownership in real estate and investment contracts as securities; 8. Property appreciation is not guaranteed; 9. The potential for loss of principal invested; and 10. Other certain risks disclosed in detail within the Private Placement Memorandum that should be reviewed before investing. Disclaimer: Please note that the information above is for informational purposes. An offer to buy or sell or any solicitation can only be made to qualified accredited investors through a prospectus or private placement memorandum, which is always controlling and supersedes the information contained herein in its entirety. All investments have inherent risks. Potential risks relating to each investment are disclosed in a private placement memorandum that must be read by the investor prior to making an investment decision. Diversification does not guarantee profits or protect against losses. An investment in a DST investment involves a high degree of risk. You should purchase only if you can afford a loss of some or all of your investment. You should carefully consider the information set forth in “Risks� above and the corresponding section in the Private Placement Memorandum (PPM) of the particular offering that you are examining. This type of investment is not suitable for all investors. Delaware Statutory Trust (DST) investments are subject to subject to the various requirements and restrictions of Section 1031 of the United States Internal Revenue Code. IRC Section 1031, IRC Section 1033, and IRC Section 721 are complex tax codes; therefore, you should consult your tax and legal professional for details regarding your situation. 1031 EXCHANGES
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There are material risks associated with investing in DST properties and real estate securities including 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 multi-family properties, financing risks, potential adverse tax consequences, general economic risks and development risks. Please also note that this opportunity is being presented to you based on your representation to us that you are an accredited investor. The Security and Exchange Commission defines an accredited investor as an individual with either $1 million in net worth (excluding the equity in your principal residence) or net income for the last two years of $200,000 or greater ($300,000 if spouse has income) with a reasonable expectation of such earnings in the current year. If you do not meet this definition of an accredited investor, please notify us immediately and disregard this message and its contents. This does not constitute an offer to buy or sell any security. Investments in securities are not suitable for all investors. Investment in any security may involve a high degree of risk and investors should review all “Risks� before investing. Investors should perform their own due diligence before considering any investment. Past performance and/or forward-looking statements are never an assurance of future results. Investment products, Insurance, and Annuity products are not FDIC Insured/Not Bank Guaranteed/Not Insured by any Federal Government Agency/May Lose Value. Securities offered through Wealth Forge Securities, LLC 3015 W Moore Street, Suite 102, Richmond, VA 23230 Member FINRA/SIPC. Cornerstone Real Estate Investment Services is not controlled by or a subsidiary of WealthForge Securities LLC.
Cornerstone Offices West Coast Office One City Boulevard West Suite 870 Orange, California 92868 Phone: (800) 781-1031 (714) 939-1031 Fax: (714)939-1032 Email: info@cornerstoneexchange.com Web: www.DSTproperties1031.com
East Coast Office 7051 Heathcote Village Way Suite 200 Gainesville, Virginia 20155 Phone: (800) 781-1031 Fax: (703) 743-1614
Securities offered through Wealth Forge Securities, LLC 3015 W Moore Street, Suite 102, Richmond, VA 23230 Member FINRA/SIPC. Cornerstone Real Estate Investment Services is not controlled by or a subsidiary of WealthForge Securities LLC. 1031 EXCHANGES
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