While 1031 exchange activity slowed last year, a key trend is emerging: investors are shifting their focus beyond just passive income to high-growth markets.
Matthew Mousavi, Senior Managing Principal and Co-head of SRS Capital Markets, highlights how aging Baby Boomers are shifting out of management-intensive properties and into passive net lease investments in tax-friendly, high-demand areas like Texas and Florida. With economic expansion fueling these markets, 1031 buyers are prioritizing long-term stability and upside potential in their reinvestment strategies.