Alternative Investment Strategies for Property Owners

After a tumultuous year of tax law proposals, investors and property owners may want to reevaluate their strategy and seek protection against future tax law changes.

To be clear, we are not accountants and this article does not offer tax advice.

Many people who own property have apprehension about the tax implications of selling their property.  The proposed tax law changes– although ultimately not enacted – earlier this year prompted many investors and property owners to evaluate their strategy to minimize their tax burden.  Core Development offers alternative strategies for property owners to avoid significant tax implications while realizing attractive economic returns.

One alternative strategy involves a seller participation partnership. A seller participation partnership is where a property owner contributes their property to a new, single purpose entity.  Core Development then develops the land and/or building in partnership with the current property owner. 

These partnerships can be structured in a such a way as to defer the tax burden for the property owner, as well as allow them to realize short-term, tax-free cash flow from the development.  Property owners can benefit from such partnerships in various ways, including obtaining additional cash out, lowering their development risk, or simply maximizing tax savings.

Learn more about ways we can collaborate on smart investment strategies, or better yet, contact us directly to discuss.