I've done one with Behringer Harvard and one with Wells.  Both were a pain, but worth it.

Pro's...client gets access to great portfolio of commercial real estate by either company (BH or Wells), and can get steady income monthly, nice compensation (similar to an VA).

Downside...complicated, hard to understand for the client who has never invested in real estate they couldn't touch, smell, feel, etc, must be set up well in advance.  Tough liquidity requirements.

Any more specific questions? 

Are the clients satisfied so far?

Any unforseen problems?

Thanks

What BankFC said.  A pain and complicated but worth it.

Has to be set up well in advance and hope that the client's sale of qualified property dovetails with an offering.  Must use a qualified intermediary.  If it isn't done correctly could negate the whole deal so I went with a very savy and qualified CPA to help. Minimum amount is usually 500K or better.

I have used Wells and Inland.

Triple Net Properties.

Large portfolio.

Good internal and external wholesalers.

Nice powerpoint presentation package.

Pros:

The pros are that you are able to work the real estate market.  Additionally, those that initially do a 10-31 exchange will usually continue to do 10-31 exchanges.  Essentially, the continue their deferral of capital gains taxes many times over.  Similar to how CD owners roll from on CD to the next.  Finally, tennants-in-common securities are the back end of the 10-31 exchange. 

Instead of swapping one $1,000,000 property for another $1,000,000 you are able to take your equity and purchase tennants-in-common securities.  These are basically fractional shares of ownership in a property or a "real estate limited partnership".

Cons: 

Finding the potential clients.  Explaining the concept to somebody that has never done a 10-31 exchange.