What I "literally" said was that, in my opinion, it's only a problem when the value exchange is in one direction

I personally would wait for a correction before exchanging the money.Furthermore, if your real estate investments perform slightly more than real estate(1% to 5%), you can make up for the deferred return + penalties over a couple of years. 

Another way to invest is by investing in an LLC or special purpose vehicle as a limited partner (silent partner) and partnering with the managing person of that LLC in exchange for an equity stake.

Might be worth talking rather then a written exchange with the PM.

They have a good exchange rate and English is the primary language.

The BiggerPockets community is full of knowledgable and friendly investors, new and seasoned, eager to exchange knowledge. 

@Bryce Nerland, I second the request to share this exchange of secondary syndication positions.  

Offer your skills and knowledge in exchange for theirs. 

I've probably done 100 1031 exchanges and never failed at the timing- what was the problem? 

And  if we did a 1031 exchange later, I think I'm correct that having this cost basis established at today's market value vs 2001's cost + improvements would serve me better in the 1031.- The depreciation amount for my rental house would be maximized bc would be set at the selling price / current market value vs 2001 cost basis + improvements.