DST Offering Detail

Inland Epoch Student Housing DST

DST Offering Highlights

Inland Epoch Student Housing DST is a 298-unit (994-bed) student housing community located in Seneca, South Carolina – approximately 3 miles from Clemson University. Built in 2019, Epoch Clemson Student Living is currently 99.8% occupied and 89.1% pre-leased for the upcoming 2024 – 2025 school year. The lake-front property offers a diverse mix of living options, including 1-, 2-, 3-, 4-, 5- and 6-bedroom floor plans ranging from between 609 – 2,598 square feet. Individual units are rented on a per-bedroom basis and come fully furnished. The property also contains an on-site cafe, live event venue, a swimming and fishing dock with 20 boat slips and access to a free private shuttle service to downtown Clemson and the University campus. Epoch is located in Oconee County, offering a variety of outdoor recreational activities, including fishing in 90,000 acres of lakes, hiking and mountain biking on the 500-mile-long Palmetto Trail and kayaking on the Chattooga and Chauga Rivers. Surrounding the property and University, the city of Clemson offers residents a Publix Super Market, ALDI and Food Lion grocery stores, Dollar Tree and Walmart.
Property Status: Closed Offering
Property Type: Student Housing
Property State:  South Carolina
Property City:  Seneca
Properties: 1
Units:  298
Offering Size: $133,567,152
Equity Offering:  $77,167,152
Loan-to-Value: 42.23%
Loan Terms:  10-yr Fixed, 10-yr Interest Only at 5.68%
Cash Flow: Call to Confirm

About Inland Private Capital

Established in 1968, Inland Private Capital Corporation (IPC) is the industry leader in offering replacement properties for Section 1031 exchange transactions, as well as quality, multiple-owner real estate investment solutions. Inland offers a variety of private placement real estate investment solutions to accredited investors as an alternative to traditional stocks and bonds.

Benefits of a Delaware Statutory Trust

Delaware Statutory Trusts are a popular 1031 Exchange replacement property option that allows for fractional ownership of high-quality institutional properties acquired by and managed by large real estate firms, referred to as DST sponsors.  DSTs provide a unique and flexible solution to investment property owners who want to defer tax and continue to own investment property without the management requirements of directly owned property. Below are some of the benefits of investing in DST real estate.

  • Tax Savings: DSTs allow for the deferral of federal capital gains tax, state capital gains tax, net investment income tax, and depreciation recapture tax. The tax savings can be significant, especially in states where the potential tax liability can be as high as 42%.
  • Monthly Income Potential: DSTs are structured with an emphasis on cash flow for investors and typically include high-quality institutional property.
  • Eliminate Active Property Management: Ownership of a DST is entirely management free.
  • Eliminate Tax for Estate Beneficiaries: DSTs allow for a “step-up in basis” upon the passing of an owner (elimination of Capital Gains, Depreciation Recapture, and Net Investment Income Tax).
  • Low-Cost Non-Recourse Debt Matching: Most investors have debt that must be matched in their exchange, therefor many DSTs are structured with debt in place.
  • Low Risk of a Failed 1031 Exchange: Extensive DST property due diligence is prepared in advance and DST closings can occur quickly – in a matter of days.

DST Risks

DSTs offer many benefits however they are not suitable for everyone and come with risks. Therefore, DSTs are only available to accredited investors. Before deciding to invest in DST real estate, carefully consider the following considerations: Lack of liquidity, timing of exit, lack of control, and interest rates can affect financing, leasing, and appreciation. Additionally, loan modifications may not always be possible, cash flow is not guaranteed, and projected appreciation may not occur. There are also management costs and fees associated with owning DSTs which are disclosed in the prospectus. While not a precisely defined term, a high grade, institutional-grade, or institutional-quality property generally refers to a property of sufficient size and stature to merit attention from large national or international investors.