1031 refers to the number assigned to the Internal Revenue Code Section that provides for the tax-deferred exchange of real and personal property.
To qualify for tax-deferred treatment, the relinquished property must be exchanged for replacement property that is like kind. Like-kind means similar in nature and character notwithstanding differences in grade or quality.
The fact that any real estate involved is improved or unimproved is not material, as this fact relates only to the grade or quality of the property and not it’s kind or class. Thus, as an example, raw land held for investment may be exchanged for single-family rentals used for a trade or business.
Foreign national participation is allowed.