Sponsor profile
Black Creek Exchange was the Delaware statutory trust (DST) §1031 exchange program sponsored by Black Creek Exchange LLC, a wholly owned subsidiary of the taxable REIT subsidiary of Black Creek Diversified Property Fund Inc. Beneficial interests in its DST offerings were brokered through Black Creek Capital Markets, LLC. On July 1, 2021, Ares Management Corporation completed its acquisition of Black Creek Group's U.S. real estate investment advisory and distribution business, including the DST program. Ares identifies Ares Real Estate Exchange (AREX) as the successor to the legacy Black Creek Exchange program. Top1031 tracks 17 programs associated with the sponsor.
Identity and structure
Black Creek Exchange LLC ("BC Exchange") served as sponsor of a Delaware statutory trust (DST) program and was a wholly owned subsidiary of the taxable REIT subsidiary of Black Creek Diversified Property Fund Inc. 1 Beneficial interests in the DST offerings were brokered through Black Creek Capital Markets, LLC, the broker-dealer of record for the program. 2
Tracked program history
Top1031 associates 17 tracked programs with the sponsor, with first filings spanning 2016 through 2021. The earliest tracked entity is DCX Springdale DST (first filed 2016), followed by the BC Exchange and BC Industrial Exchange named series filed through 2021. 3
Ownership change
On July 1, 2021, a subsidiary of Ares Management Corporation completed its acquisition of 100% of Black Creek Group's U.S. real estate investment advisory and distribution business, including the Black Creek Exchange DST program. According to the transaction announcement, the acquired business had approximately $11.6 billion in assets under management and about 300 professionals across eight U.S. offices at closing, with leadership joining the Ares Real Estate Group. 4
Successor program
Ares identifies Ares Real Estate Exchange (AREX) as its DST/§1031 program and the successor to the legacy Black Creek Exchange program, structured to let owners of appreciated real estate exchange into institutional-quality commercial real estate and potentially transition into a REIT via a §721 exchange. 5