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Updated 5 days ago, 12/25/2024
Problems w/ Allegiancy DST's? Alorica DST in Texas. RE Gain Fund LLC REIT 721.
The DST I purchased with Allegiancy (Alorica DST in Ft Worth, TX) did not do good due diligence (in my opinion) regarding the structural quality of the buildings they purchased for this DST in 2022. The DST is losing $ due to upkeep costs (foundation, HVAC, normal repairs, etc.). (Unfortunately not an NNN property) - learned my lesson). Now they want to put the properties into RE Gain Fund, LLC UpREIT (which appears to have been established in 2023). Sounds like they are dumping a bad 1031 property into a REIT and spreading the financial burden upon existing REIT members. (I would be floored if I was a current upREIT investor in the RE Gain Fund.) I am wondering if the other properties in this REIT are in the same boat and am looking for feedback.
Does anyone else here own the Alorica DST? Did anyone do business with Allegiancy's other DST offerings, and if so, how are they performing? Is anyone an investor in the RE Gain Fund LLC upREIT, and how is that performing, and under what circumstances did you get into that REIT?
I am not sure what my next move is (stay with the DST and lose $ or move to the REIT and eventually have to pay cap gains tax if performance isn't good). Neither seems to be a good option. TY in advance.