The 1031 exchange would allow you to indefinitely defer all of the capital gains taxes and use it to purchase multiple newer properties with lower capital expenditures, in a better market. 

The transaction allows investors to increase the liquidity and diversification of their real estate investments while deferring costly capital gains and depreciation recapture taxes that may result from the sale of a property.Benefits: REITs also can provide the same ongoing benefits of real estate ownership including income, depreciation tax shelter, principal pay down, and appreciation.

Nashville Yards is set to open in the Spring and the new Pinnacle tower is gaining office tenants like crazy - much to my surprise. 

Selling an investment property can result in significant capital gains taxes.

The transition is going to be key... the less confused the tenants are, the better of a start you will have in gaining their trust moving forward. 

Networking with other investors and attending local meetups can help you gain advice and opportunities.

I have suspended Passive Activity loss that would reduce the gain, but not eliminate the gain from tax POV.

I have seen instances where a 1031 exchange was not required such as1) The overall gain from the sale of the investment property was very small or even negative2) The taxpayer had enough passive loss carryforwards to offset the gain.A 1031 exchange is a very powerful tool put it has to make sense before going forward.

I don't know much more specifically so ask your CPA about gift taxes (I think she could give you $17k of gift money a year without taxes) or capital gains taxes if/when you want to sell. 

Although they can't leverage the losses to offset non-passive income, like someone with REPs, there's still the opportunity to use the Suspended Passive Activity Losses to offset cap gains on sale or offset other passive income.