Exchange Explained

Internal Revenue Code provides that no gain or loss shall be recognized on the exchange of commercial property is held for productive use in a trade or business, or for investment. A tax-deferred exchange is a method by which a property investors trades one or more relinquished commercial properties for one or more replacement commercial properties 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 property investors to reinvest the sale proceeds into another commercial property, foregoing any economic gains that may have been realized from the sale. If you have recently sold, or are thinking of selling commercial property, we can assist in matching you with a qualified 1031 broker. A 1031 broker can help you explore your exchange options. Contact us today for a free consultation.

The benefits of investing in a TIC structured commercial property are definitely worth investigating. You have the ability to:

Invest in larger, institutional grade properties.

Diversify Your commercial property Portfolio

TIC Benefits

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

Completing an exchange with a TIC interest ownership in a commercial property allows property investors not only to defer their capital gains taxes, but also to upgrade their commercial property into larger, institutional-grade commercial property.

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

TIC Benefits

The benefits of investing in a TIC structured commercial property are definitely worth investigating. You have the ability to:

TIC Benefits

Invest in larger, institutional grade commercial properties

TIC Benefits

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

TIC Benefits

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

Access to higher grade commercial properties

TIC Benefits

Substantial tax write-offs

TIC Benefits

Extensive due diligence

Find A 1031 Broker

Very often 1031 exchanges can be riddled with a myriad of potential tax and legal pitfalls. For this reason, it is strongly suggested that each property investor elect a licensed 1031 broker to oversee their transaction. This 1031 broker (read registered representative) will be able to facilitate the exchange in a timely manner while watching out for the property investor’s best interests and investment objectives.

A 1031 broker will work with you throughout the exchange process to do all of the following:

1. Develop your investment strategy
2. Determine viable like kind replacement commercial property for the exchange
3. Answer any questions you may have regarding the exchange process
4. Manage the exchange from start to finish