A Delaware Statutory Trust or DST allows buyers to purchase replacement property to complete a 1031 exchange. Key advantages of a DST include passive ownership with no management responsibilities, as the DST is professionally managed. DSTs also typically allow for non-recourse debt and diversification across multiple properties. The 200% rule can deem multiple properties inside a DST to exceed the three property rule. In a DST 1031 exchange, the seller transfers the relinquished property to a qualified intermediary, who then assigns the beneficial interest in the DST to the exchanger in exchange for the relinquished property.