1031 Exchange Explained

Internal Revenue Code provides that no gain or loss shall be recognized on the exchange of commercial real estate is held for productive use in a trade or business, or for investment. A tax-deferred exchange is a method by which a real estate owners trades one or more relinquished commercial real estate for one or more replacement commercial real estate of like-kind. Such an exchange allows the issuer to defer the payment of federal income taxes and some state taxes on the transaction.

The theory behind internal revenue code is to allow the real estate owners to reinvest the sale proceeds into another commercial real estate, foregoing any economic gains that may have been realized from the sale. If you have recently sold, or are thinking of selling commercial real estate, we can assist in matching you with a qualified 1031 realtor. A 1031 realtor can help you explore your 1031 exchange options. Contact us today for a free consultation.

Tenants In Common Triple Net Lease

A more popular alternative to sole triple net lease ownership is an investment in a single triple net lease commercial commercial real estate by multiple real estate owners as individual real estate owners. This type of ownership is otherwise known as a tenants in common ownership.

Triple Net Lease-tenants in common commercial real estate can be either single tenant triple net lease or multi-tenant triple net lease commercial real estate, and are commonly converted into such through a master lease. This type of lease is structured in such a way that they lease the commercial real estate back from the real estate owner on a triple net lease basis.



Tenants In Common-triple net lease advantages include:

1. Freedom from the hassles of day-to-day management

2. Readily available commercial real estate

3. The opportunity to invest in higher-quality institutional commercial real estate

4. Assistance with the entire exchange process

5. Flexible investment sizes based on commercial real estate type and locationThe benefits of investing in a tenants in common structured commercial real estate are definitely worth investigating. You have the ability to:

Invest in larger, institutional grade properties.

Diversify Your commercial real estate Portfolio

Tenants In Common Benefits

Diversify across different types and sizes of commercial real estates as well as geographic markets, potentially increasing both the value and safety of your commercial real estates.

Completing a 1031 exchange with a tenants in common interest ownership in a commercial real estate allows real estate owners not only to defer their capital gains taxes, but also to upgrade their commercial real estate into larger, institutional-grade commercial real estate.

If you are interested in learning more about tenants in common exchanges available to you, contact us today.

Tenants In Common Benefits

The benefits of investing in a tenants in common structured commercial real estate are definitely worth investigating. You have the ability to:

Tenants In Common Benefits

Invest in larger, institutional grade commercial real estate

Tenants In Common Benefits

Choose the extent of your investment (invest in larger, institutional-grade commercial real estate or in a single tenant commercial real estate )

Tenants In Common Benefits

Diversify your overall portfolio across different types and sizes of commercial real estates as well as geographic markets.

Access to higher grade commercial real estate

Tenants In Common Benefits

Substantial tax write-offs

Tenants In Common Benefits

Extensive due diligence