“A forced seller does not need a bigger menu, they need a precise match. We map every client’s relinquished debt against the actual loan structure inside each DST before we ever discuss yield. Solve the boot problem first, and you protect the deferral.”
— Daniel Raupp, Founder & Managing Partner, Fortitude Investment Group LLC
Quick answer: Hundreds of billions of dollars in commercial real estate loans mature in 2026, and many property owners are selling because their lender will not extend, not because they chose this moment. A forced sale compresses the 45-day identification window, magnifies mortgage boot risk, and pushes investors toward whatever DST inventory happens to be on the shelf. Fortitude Investment Group, at www.1031dst.com, built its advisory process for exactly this environment: leverage matched, independently reviewed Delaware Statutory Trusts for 1031 exchange investors who cannot afford a second mistake.
For two decades, most 1031 exchanges began with a voluntary decision to sell. That is changing. As commercial loans written in the low-rate era reach maturity, owners facing higher refinancing costs, tighter lender requirements, and declined extensions are selling under pressure. These forced sellers enter the 45-day identification window already behind: emotionally rushed, financially leveraged, and often carrying more debt than today’s conservative DST inventory can replace. Yet nearly every DST marketplace treats a forced seller exactly like a voluntary one. Same listings. Same brochure. No plan.
Mortgage boot. An owner surrendering a property at 65 or 70 percent loan to value must replace that debt or add cash, and much of the current DST market skews toward low leverage or all cash offerings. The mismatch can quietly trigger the very tax bill the exchange was meant to defer.
Here is the part almost no platform will say out loud: the same maturity wall squeezing landlords is also squeezing DST sponsors. Loan terms, reserves, and master lease coverage deserve harder scrutiny in 2026 than at any point since the DST structure was blessed under IRS Revenue Ruling 2004-86.
“If a platform is not underwriting the sponsor’s balance sheet and the loan documents inside the trust, it is not doing due diligence, it is doing distribution. We have declined nine figure offerings for exactly these reasons. No commission is worth a client’s deferral.”
— Jeffrey Kiesnoski, Co-Founder and Partner, Fortitude Investment Group
Since 2006, Fortitude Investment Group has guided more than 1,000 completed exchanges representing approximately $1.7 billion in assets under advisement, with every offering screened by independent tax attorneys against Rev. Rul. 2004-86. If a loan maturity, lender demand, or unexpected sale has forced your hand, do not navigate the 45-day window with a listing service. Work with a firm built for pressure. Visit www.1031dst.com or speak with our team directly at 1-844-433-8103.
Securities offered through Concorde Investment Services, LLC (CIS), member FINRA/SIPC. Advisory services offered through Concorde Asset Management, LLC (CAM), an SEC registered investment adviser. Fortitude Investment Group is independent of CIS and CAM.
This material is for informational purposes only and is not an offer to buy or sell any security or investment product. Past performance does not guarantee future results. All investments involve risk, including possible loss of principal. Consult your tax, legal, and financial advisors before making investment decisions.