Sponsor profile
SEC filings + cited sources
NewStar Exchange is the 1031 investment-management arm of NEWSTAR, a vertically integrated housing company operating across the Southeastern United States. It sponsors Delaware Statutory Trusts that let accredited investors complete IRC Section 1031 exchanges into Class A residential and built-to-rent communities, in partnership with managing broker-dealer Preferred Capital Securities. In its February 9, 2026 announcement the sponsor reported more than $350 million of residential real estate under management and four properties acquired through 2025. Its current offering, NewStar 17 Sweetwater Springs, DST, holds a 95-unit Atlanta townhome community and remained open to accredited investors as of July 2026.
Platform and structure
NewStar Exchange is the 1031 investment-management arm of NEWSTAR, a vertically integrated housing company that acquires, develops, owns, and operates residential communities across the Southeastern United States 1. It operates as a subsidiary of NEWSTAR and sponsors its Delaware Statutory Trusts in partnership with managing broker-dealer Preferred Capital Securities, LLC (Member FINRA/SIPC) 2.
Track record
Sponsor-reported closed and built offerings include The Villages, Florida (39 single-family rental homes, built 2021), Oakwood Commons, Georgia (23 homes, built 2022), Hadley Crossing, North Carolina (44 homes, built 2024), and Tranquil Gardens in Woodstock, Georgia (73 homes) 3. In December 2024 the sponsor acquired Hadley Crossing, a 44-home built-to-rent community in the Charlotte MSA, and launched NewStar 14 Hadley Crossing, DST seeking about $14 million in equity 4.
Current activity
On February 9, 2026, NewStar Exchange acquired Sweetwater Springs, a 95-unit Class A townhome community in Atlanta, Georgia reported 94% leased, and launched the NewStar 17 Sweetwater Springs, DST offering of about $21.8 million at 45% leverage; the release cited more than $350 million of residential real estate under management and four properties acquired through the end of 2025 5. As of July 2026 the sponsor presents Sweetwater Springs as its current 1031-eligible offering accepting accredited investors 6.