Peachtree launches 1031 Exchange DST program
August 22, 2022 | Hotel Business
Peachtree Group has named Tim Witt as president of the company’s newly launched 1031 Exchange Delaware Statutory Trust (DST) program.
As former chief investment officer of DAI Securities, he has more than 25 years of experience with a focus on alternative investments.
“As we expand our array of high-quality, diversified investment strategies, we wanted to create 1031 Exchange DSTs to provide tax deferral strategies in the hospitality sector,” said Greg Friedman, CEO/managing principal, Peachtree. “To strengthen our vertically integrated investment platform that will benefit our stakeholders, we knew Tim’s experience building out alternative investment platforms would be the perfect fit to launch our program.”
Before joining DAI, Witt served as CIO of Concorde Investment Services and, before that, was a legislative director at the U.S. House of Representatives during the 113th Congress. He began his career as a Wall Street equity analyst. He holds Series 7, 24, 86, 87, 16, 79, 63 and 65 licenses and is a member of the Alternative & Direct Investment Securities Association (ADISA) and the Institute for Portfolio Alternatives (IPA).
“I am very excited to be joining Peachtree,” he said. “They have a strong history of excellence and have built an outstanding integrated real estate investment platform. I aim to build on these achievements by creating an industry-leading 1031 exchange DST program.”
A DST is a single-purpose entity qualified for Section 1031 real estate exchanges. DST investment vehicles provide investors with an opportunity to:
• 1031 exchange into replacement properties without recognizing taxable gain on the sale of previously owned assets;
• own high-quality assets that are professionally managed; and
• generate income and premium appreciation.
Peachtree’s 1031 Exchange DST program will invest in high-quality, institutional-grade hotels in the U.S., according to the company. Peachtree Hospitality Management, a division of Peachtree, is expected to operate any properties acquired as part of the 1031 Exchange DST.
“We anticipate significant growth and appreciation in the hospitality sector, driving values above pre-pandemic levels,” said Friedman. “Also, real estate offers an excellent alternative investment channel for those seeking an inflation hedge. We strongly believe hospitality is the most investable asset in the market today, and we anticipate being able to achieve outsized returns.”
