CF Fleetwood Multifamily DST Overview
CF Fleetwood Multifamily DST is a Delaware statutory trust sponsored by Cantor Fitzgerald Investors, LLC in a joint venture with Aker Holdings LLC (together through CFAK Fleetwood, LLC), offering accredited investors 100% of the beneficial interests in a trust that owns 42 Broad, a 249-unit, Class A multifamily community at 42 Broad Street West in the Fleetwood neighborhood of Mount Vernon, New York. Built in 2023, the property is a 16-story high-rise on 1.37 acres comprising approximately 204,389 net rentable square feet of residential space across a mix of studio, one-, two-, and three-bedroom apartments, plus roughly 11,650 square feet of ground-level retail and a 580-space on-site parking garage. As of May 25, 2026 the community was 93.2% occupied at an average monthly rent of $3,351, with recent lease trade-outs averaging 5.1% above prior leases. The property sits in Westchester County roughly 16 miles north of Manhattan, a four-minute walk from the Fleetwood Metro-North station that reaches Midtown in under 30 minutes. The total offering price is $150,849,000, funded with $74,900,000 of offered equity and a $75,949,000 Freddie Mac loan (approximately 50.3% loan-to-offering-price). The structure follows the standard DST master-lease model: the property is leased to a Sponsor-affiliated master tenant, with day-to-day management by Aker's Alta Collective PM (subcontracted to Rose Property Management). Offered under Rule 506(b) of Regulation D with a $100,000 minimum, the investment is designed for accredited 1031-exchange investors seeking passive, professionally managed replacement property with potential capital-gains deferral, current income, and estate-planning flexibility, who can accept the illiquidity and loss of day-to-day control inherent to the DST format.
Highlights
The property is located in the Fleetwood neighborhood of Mount Vernon within Westchester County, one of the most affluent and supply-constrained suburban markets in the New York metro, approximately 16 miles north of Manhattan. It sits a four-minute walk from the Fleetwood Metro-North station, providing direct access to Midtown Manhattan in under 30 minutes, with additional regional connectivity via the Bronx River and Cross County Parkways and I-95 and I-87. Per the memorandum, the Yonkers/Mount Vernon/New Rochelle submarket was 95.2% occupied as of Q1 2026, with effective market rent forecast to grow an average of 2.5% annually through 2027. The population within three miles is 342,896 and the average household income within three miles is $134,581. The area is anchored by major Westchester employers and hospital systems including Montefiore, New York-Presbyterian, and White Plains Hospital, and strict local zoning constrains competing multifamily development on this infill, transit-oriented site.
Constructed in 2023, 42 Broad is a Class A, 16-story high-rise of 249 units averaging 821 square feet. The unit mix is 32 studios (12.9%), 130 one-bedrooms (52.2%), 79 two-bedrooms (31.7%), and 8 three-bedrooms (3.2%). Interiors feature stainless-steel appliances, quartz countertops, modern white cabinetry, in-unit washer/dryers, nine-foot ceilings with seven-foot panoramic windows, smart-home technology, and select kitchen islands and walk-in closets. The institutional-quality amenity package includes a concierge desk, two resident lounges, a business center, a library with fireplace, a fitness center, an outdoor swimming pool, an outdoor kitchen and grilling area, a landscaped courtyard, a parking garage with valet, a pet grooming station, bike storage, and a rooftop deck with views of Westchester, New York City, and the Long Island Sound. A 580-space garage, well above the resident count, adds a differentiated amenity and ancillary parking income. As of May 25, 2026 the property was 93.2% occupied at an average monthly rent of $3,351, with lease trade-outs running 5.1% above prior leases.
The trust financed the acquisition with a single first-mortgage loan of $75,949,000 originated by Arbor Agency Lending under the Freddie Mac Capital Markets Execution program, with Freddie Mac as successor lender. The loan carries a fixed interest rate of 5.09% per annum and is interest-only for its entire ten-year term, maturing July 1, 2036, which supports distributable cash flow by avoiding principal amortization during the hold. Against the $150,849,000 total offering price, the resulting loan-to-offering-price ratio is approximately 50.3%, a moderate level of leverage for a stabilized multifamily asset. The loan is non-recourse to investors, subject to customary non-recourse carve-out (bad-boy) and environmental indemnities. Each $100,000 interest carries an allocated share of the loan of approximately $101,401, which matters to 1031 exchangers who must replace debt as well as equity. The fixed rate removes near-term interest-rate reset risk during the projected hold, though the interest-only structure means the full principal balance remains outstanding at maturity and must be repaid through a sale or refinancing.
The offering pairs two experienced operators. The Sponsor, Cantor Fitzgerald Investors, LLC, is part of Cantor Fitzgerald, a global financial-services firm founded in 1945 with more than 160 offices in 22 countries, over 16,000 employees, an investment-grade credit rating from Standard & Poor's and Fitch, and status as one of the 26 primary dealers authorized to transact with the Federal Reserve Bank of New York; its real-estate platform reported roughly $141 billion in real estate-related transactions in 2025. The operating partner, Aker Holdings LLC, founded in 2020, is a vertically integrated multifamily owner-operator focused on supply-constrained Northeast markets, with an in-house platform spanning acquisitions, asset and property management, revenue management, marketing, design, and construction. Aker manages 21 apartment communities totaling 4,981 units, including 1,198 units in the New York MSA, and its principals have closed over $2.0 billion in multifamily acquisitions and bring more than 100 combined years of experience. Aker's Alta Collective PM subsidiary manages the property, subcontracting to Rose Property Management Group.
The interests are structured as qualified replacement property for Section 1031 exchanges under IRS Revenue Ruling 2004-86, allowing accredited investors to defer federal and state capital-gains taxes by exchanging relinquished real property into the trust. Tax counsel has provided an opinion that an investor's acquisition of an interest should be treated as a direct acquisition of the property for Section 1031 purposes, though no IRS ruling has been requested and the opinion is limited in scope. Because DSTs can typically close well within the 45-day identification and 180-day exchange windows, the vehicle offers a streamlined path to completing an exchange, along with passive ownership, simplified tax reporting, a low $100,000 minimum, and estate-planning flexibility through a step-up in basis at death. The trust's stated exit objective is to sell the property before the July 1, 2036 loan maturity. Investors should note that the memorandum's Section 721 references relate to a potential conversion of the trust to a springing LLC in a workout scenario, not an UPREIT roll-up, and such a conversion would terminate future Section 1031 eligibility for the interests.
Analysis of CF Fleetwood Multifamily DST
Insights
For a 1031 exchanger, CF Fleetwood fits the classic profile of a core-plus DST: a recently built, well-located, moderately leveraged multifamily asset from a brand-name sponsor, priced for income and tax deferral rather than outsized appreciation. The underwriting rests on a $130,600,000 acquisition recapitalized at a $150,849,000 total offering price, so a meaningful portion of the offering covers loan-proceeds spread, reserves, fees, and the acquisition markup rather than bricks and mortar. That load spread is the single most important number to internalize: only about $92,500 of every $100,000 reaches the trust before offering, closing, financing, reserve, and acquisition costs, and the roughly $3.27 million acquisition fee plus ongoing asset-, property-, and disposition-fee layers mean the asset must appreciate and perform simply for an investor to return to par on a pre-tax basis. The tax deferral is the offsetting benefit, and for an exchanger facing a large embedded gain, deferral plus a potential step-up at death can justify accepting a thinner going-in real-estate return.
On risk and return, the fixed 5.09%, interest-only, roughly 50.3% LTV loan is a genuine strength - it locks financing cost for the whole hold and maximizes current distributions - but it is also a bullet. Nothing amortizes, so the entire balance is refinanced or repaid at sale by July 1, 2036, concentrating outcome risk in the exit cap rate and the debt market a decade out. The variables to watch are: occupancy and rent trajectory versus the memorandum's assumptions (in-place 93.2% occupancy and $3,351 average rent against a 95.2% submarket, with modeled roughly 3% annual rent growth after year one); real-estate-tax and expense growth in a high-tax New York jurisdiction (expenses are modeled to grow faster than rents); and the eventual exit cap rate, since even modest cap-rate expansion on an interest-only deal can erase equity given no principal paydown. NOI is targeted to build from roughly $7.6 million in the first full calendar year toward $9.2 million by 2035, but these are Sponsor 'Targeted Results,' explicitly speculative and not a prediction.
Structurally, this is a Sponsor-affiliated master-lease DST, so distributions depend on a thinly capitalized affiliate master tenant continuing to pay rent, and investors have no ability to intervene if operations disappoint. The memorandum's own track record table is instructive due diligence: several prior Cantor-affiliated programs suspended or reduced distributions after tenant-credit or loan-covenant stress, a reminder that 'targeted' is not 'guaranteed' and that DSTs can convert to springing LLCs in a workout, forfeiting further 1031 eligibility. Compared with a triple-net single-tenant DST, this multifamily deal offers more granular, diversified tenancy - 249 residential leases rather than one corporate credit - and inflation-linked rent resets, at the cost of greater operational intensity and expense exposure. It suits an accredited investor with a real 1031 need who values passivity and Cantor/Aker execution, can lock capital for the full roughly ten-year hold, and accepts that fees and leverage make current income and tax deferral - rather than aggressive total return - the core of the thesis. Investors should review Exhibit A's full assumptions and the complete Risk Factors (beginning on page 55) with their own tax and legal advisors before subscribing.
Advantages
- Newer Class A asset: built in 2023, the 249-unit high-rise is fully amenitized and should require little near-term capital expenditure relative to older-vintage product.
- Strong, high-income location: Fleetwood/Mount Vernon sits in supply-constrained Westchester County, a four-minute walk to Metro-North with sub-30-minute access to Midtown Manhattan; three-mile average household income is $134,581 and the submarket was 95.2% occupied as of Q1 2026.
- Demonstrated leasing momentum: the property was 93.2% occupied at a $3,351 average monthly rent, with recent lease trade-outs 5.1% above prior leases.
- Moderate, fixed-rate leverage: the Freddie Mac loan is approximately 50.3% loan-to-offering-price, fixed at 5.09%, and interest-only for its full ten-year term, removing interest-rate reset risk and supporting distributable cash flow during the hold.
- Institutional sponsorship: Cantor Fitzgerald brings an investment-grade balance sheet, deep real-estate capital-markets reach, and roughly $141 billion of 2025 real estate-related transactions, paired with Aker, a vertically integrated Northeast multifamily operator managing 4,981 units.
- Genuine 1031 utility: the DST is structured as like-kind replacement property with a supporting tax opinion, a $100,000 minimum, passive management, simplified reporting, and estate-planning benefits.
- Reserves: the trust was capitalized with a $5,000,000 trust reserve plus lender-mandated replacement and tax/insurance reserves, providing a cushion for capital needs.
- Differentiated parking: a 580-space garage, far more than the resident count, supplies a rare amenity and ancillary income.
Concerns
- Illiquidity and no secondary market: there is no public market for the interests, transfer is restricted, and investors may not realize a return for years, if at all.
- No control: investors cannot participate in management, cannot direct a sale, and can remove the trustees only for cause; the Delaware Statutory Trust Act waives most fiduciary duties beyond good faith and fair dealing.
- Single asset, undiversified: the entire investment depends on one property in one submarket and is expressly not a diversified investment, so a local downturn, tenant softness, or a casualty could impair the whole position.
- Master-lease and affiliate reliance: revenue flows through a Sponsor-affiliated master tenant with limited capital that could fail to pay rent; the master tenant, administrative trustee, asset managers, and property manager are all affiliated, creating conflicts of interest not negotiated at arm's length.
- Leverage and balloon risk: the interest-only loan amortizes nothing, leaving the full $75,949,000 balance due at the July 1, 2036 maturity; if the trust cannot sell or refinance, it may default, and prepayment/defeasance provisions can constrain the exit.
- Fees and load: up to 7.5% of the offering is consumed by selling commissions and expenses (only $92,500 of a $100,000 subscription reaches the trust before other costs), plus a $3,265,000 acquisition fee, asset-management fees, a 2.0%-plus property-management fee, and a disposition fee of up to 3.5%.
- Distributions not guaranteed and reserve-dependent: targeted distributions can be reduced if reserves must be replenished, and the Sponsor's own prior-program track record in the memorandum shows multiple DSTs that suspended or cut distributions.
- Tax risk: 1031 qualification rests on a limited tax opinion with no IRS ruling; a springing-LLC conversion would forfeit future 1031 treatment and could trigger tax; the property was acquired without audited historical operating statements.
CF Fleetwood Multifamily DST — Complete Offering Data
Offering & Structure
Investment NameCF Fleetwood Multifamily DST
SponsorCantor Fitzgerald
StructureDelaware Statutory Trust (DST)
Offering Type506(b)
StatusAvailable
Last Updated2026-07-31
Size & Availability
Total Offering$150,849,000
Equity$74,900,000
Debt$75,949,000
Available Equity$70,000,000 (93.5% of equity)
Minimum Investment$100,000
Total Load12.56%
Initial Reserves7.75%
Property
Property TypeMultifamily
StrategyCore-Plus
LocationNY
Market TierTier 1
Income & Projections
Average Yield5.01%
Projected Yields (Y1–Y10)Y1 4.25% · Y2 4.25% · Y3 4.31% · Y4 4.57% · Y5 4.82% · Y6 5.08% · Y7 5.36% · Y8 5.60% · Y9 5.88% · Y10 6.01%
Tax-Adjusted Yield11.09%
Cap Rate Equivalent8.35%
Year 1 NOI$7,166,707
Y1 Payout Ratio1.04
Financing
In-Place LTV50.30% LTV
LenderFreddie Mac (original lender: Arbor Agency Lending)
Loan TypeFixed
Interest Rate5.09% (Fixed)
Loan Term10 years
I/O Period10 years
AmortizationN/A (interest-only)
Y1 DSCR1.93x
Exit
Estimated Hold Period10 years
721 Exchange ExitNone
Benchmarks (vs sector median)
Avg. Income5.01% vs 4.85% market — Meets Average
Growth41.41% vs 24.76% market — Above Average
Peak6.01% vs 5.55% market — Meets Average
Every data point Baker 1031 tracks for this offering, in one place. Figures are drawn from the offering’s private placement memorandum and sponsor materials unless noted, are summaries for convenience only, and are qualified in their entirety by the PPM. Tap the ⓘ icon next to any label for what it means and how it is calculated.
