JLL REIT Fully Subscribes $120 Million, Two-Property DST
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JLL Income Property Trust – a daily net asset value, non-traded real estate investment trust with nearly $6.6 billion in portfolio equity and debt investments – fully subscribed JLLX Diversified IV, DST. The $120 million program was structured as a Delaware statutory trust designed to provide 1031 exchange investors the opportunity to reinvest proceeds from the sale of appreciated real estate while also deferring taxes.
Having launched in December 2023, JLLX Diversified IV, DST consisted of an apartment community in Coppell, Texas, and a Class A industrial distribution facility located in Taunton, Mass., leased to Williams-Sonoma Direct Inc.
“We are pleased to have fully subscribed JLLX Diversified IV, DST,” said Drew Dornbusch, head of JLL Exchange. “We continue to see strong demand from 1031 exchange investors and their advisers, many seeking an estate planning solution that can facilitate the transfer of generational wealth real estate to their heirs while mitigating the significant tax consequences associated with the sale of appreciated investment real estate.”
In July 2024, investment banking firm Robert A. Stanger & Co., Inc. issued an updated research report, reiterating JLL REIT’s rating as overweight.
In June of this year, the REIT fully subscribed its November 2023-launched JLLX Diversified III, DST, consisting of two healthcare-oriented properties – an outpatient medical property in New Jersey and an industrial property located in North Carolina.
“Investors continue to gravitate to institutional-quality residential and industrial properties, as these property types lead other core real estate sectors in terms of rental growth rates to help fight the impact of inflation,” said Allan Swaringen, president and chief executive officer of JLL Income Property Trust. “Investment solutions like JLLX Diversified IV, DST have proved to be an attractive avenue for wealth management firms and their property owner clients who are seeking to reinvest proceeds from the sales of appreciated investment real estate in a tax efficient manner.”
Since its inception in 2020, JLL Exchange has raised more than $1.3 billion across 22 DST offerings from property owners seeking to maintain a meaningful allocation to real estate in a tax efficient manner. JLL Income Property Trust has completed 13 full cycle UPREIT transactions totaling $900 million to date.
JLL Income Property Trust is an institutionally managed real estate investment trust that owns and manages a diversified portfolio of high quality, income-producing residential, industrial, grocery-anchored retail, healthcare and office properties located in the United States.
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