NewStar Exchange Launches DST Offering Tied to Atlanta Multifamily Asset
NewStar Exchange, a subsidiary of NEWSTAR, has acquired Sweetwater Springs, a newly constructed Class A townhome apartment community in Atlanta. The property is owned by NewStar 17 Sweetwater Springs, DST, a Delaware statutory trust offering launched by the company for accredited investors seeking to complete like-kind exchanges under Internal Revenue Code Section 1031.
“We look forward to a successful offering to accredited investors seeking tax deferral with the opportunity for passive income and appreciation in an attractive institutional real estate asset,” said Boone DuPree, chief executive officer of NEWSTAR.
The property features 95 two-, three-, and four-bedroom homes averaging 1,803 square feet. All units include attached garages and private balconies or patios. Construction was completed in 2025, and the property was 94% leased as of closing.
According to the company, community amenities include a resort-style pool, a cabana with restrooms and showers; an on-site maintenance and leasing office; a playground; and a dog park. Interior finishes feature luxury vinyl plank flooring, granite countertops, and stainless-steel appliances.
“We have evaluated more than 200 acquisition opportunities in our NewStar Exchange business since launching in 2022, closing on just four properties through the end of 2025,” added DuPree. “We have been selective in waiting for opportunities to invest in high quality communities in high quality locations, at the right price and with the right financing, and Sweetwater Springs meets those objectives fully.”
According to NewStar, the DST offering is financed with a first mortgage through the Federal Home Loan Mortgage Corporation, i.e., Freddie Mac, arranged by Newpoint Real Estate Capital. The offering is being distributed by Preferred Capital Securities in accordance with Rule 506(c) of Regulation D under the Securities Act of 1933.
In September 2025, AltsWire reported that NewStar 14 Hadley Crossing, DST had been fully subscribed. The offering, launched in December 2024, raised $13.6 million in aggregate equity from Section 1031 exchange investors.
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