offset of property sale gains with passive RE losses

[Buddy Holmes]

I have a tax question about passive RE losses and LTCG's from sale of passive RE investments.

Specifically this year I have a small cash out of a 1031 exchange of DST'S (Delaware Statutory Trust).

I have net passive losses from other passive RE investments of DSTs.

I have net losses from rental properties which the IRS seems to treat as passive losses but separately from those above.

HOWEVER, neither of these categories of losses offset the smaller long term capital gain from the 1031 exchange?

This seems counter to what I have read and heard in various sources.

I am using Turbo Tax Premier.  No TURBO TAX BASHING PLEASE.

Cheers.