3 seperate buildings, parceled as 3 seperate addresses so investor can get single family financing on this, is that correct?  

If I read the story correctly, your client did not report rental income.

If I understand correctly your siblings goals are to sell their rental properties, use the funds to purchase a primary residence they'll eventually move into, and limit their tax liability correct?

Is that correct?

What type of properties are you looking to add to your portfolio, I'm assuming SFRs, is that correct?

Though many investors bend the rules and possibly don't get caught, you have the financial situation to do it correctly.

Perhaps that's the correct option if you are selling a SFH to a home owner that has unique design characteristics but not in the context of what you are facing.

Based on your description, it sounds as if you're asking about the City's housing authority, is that correct?

Please let me know if this sounds correct.

And that’s just one property you are inquiring about 10 rentals, 10 exchanges, minimum 10 DSTs (unless you can sell a few properties at the same time).I’m not sure DSTs would be the correct route.