The Realized Team’s Picks
Some Opportunity Zone Funds Get Extra 24 Months to Deploy Their Funds
Eligible qualified opportunity funds (QOFs) got a boost from the federal government with a 24-month extension for deploying working capital. This is on top of the 31-month working capital safe harbor (WCSH) that is included in the program regulations. To better understand how and where the 24-month extension applies, let’s first go over the 31-month WCSH.
The Impacts Of A Recession On Real Estate: Part 1
COVID-19 (more commonly known as Coronavirus) has ushered us in a full-fledged health crisis and an economic crisis. The immediate impact has been quick and easily recognizable. However, second and third order effects are harder to anticipate and not yet fully realized. All markets will be impacted by indirect effects, though to what degree is harder to predict.
Petition To Partition: When Co-Tenants Just Can't Agree
Imagine the following. You decide to buy an office building with three other acquaintances through a tenant-in-common (TIC) agreement. The four of you like the idea that the TIC structure will allow you to choose a beneficiary to which your share can pass to, if you die.
The IRS Extended The 1031 Deadline, But Should You Wait?
Late in the week of April 6th, the Internal Revenue Service (IRS) extended the deadline for 1031 like-kind exchanges for those falling between April 1 and July 15, 2020. This was in response to the COVID-19 virus and the difficulty that the “shelter in place” order caused for 1031 investors who were in the process of buying and securing financing for a replacement property. While this extension is great news, and takes unnecessary pressure off of those in a 1031 exchange, it might not be the best solution for everyone. Let’s consider the options below.
What Happens If My 1031 Exchange Falls Through?
A 1031 exchange has a stringent timeline and set of rules to follow. This leaves little room for error. Even the best-prepared investor can get caught off guard. When that happens, what will you do for a backup?
What Is The Difference Between A Double And Triple Net Lease?
The term ‘net lease’ encompasses a group of different lease types. Each net lease type has a specific lease arrangement, which determines whether the landlord or tenant pays for certain expenses. Many people mistakenly group these different net leases together as just “net leased.” The two most common types of net leases are double net (NN) and triple net leases (NNN). They are often mistaken as the same kind of lease. In this article, we’ll look at what makes these two lease types different.
IRS Extends 1031 Exchange Deadline To July 15, 2020
On Wednesday, March 25, 2020, we issued a letter to the United States Secretary of the Treasury Steven Mnuchin, urging the Treasury Department and Internal Revenue Service to delay the deadline for like-kind (IRC §1031) exchanges. Within the letter, we implored Secretary Mnuchin to extend the deadlines to identify replacement properties and complete like-kind exchanges for 120 days or to the last day of the general disaster extension period in light of the unfolding COVID-19 crisis and the resulting delays and hardships that taxpayers and real estate investors will be forced to burden as a consequence.
Delaware Statutory Trusts And Risk Diversification
Not putting all your eggs in one basket is an adage dating back to the 17th century. At the time, it alluded to the issue of putting a hen’s eggs in one basket. The danger was that, if the basket fell and the eggs broke, everything was lost.
LinkedIn: 1031 Exchanges and COVID-19
Our Chief Executive Officer, David Wieland, just published a piece on LinkedIn, entitled "1031 Exchanges and COVID-19." The piece is an extended explanation of our recent letter to the United States Secretary of the Treasury Steven Mnuchin urging the Treasury Department and Internal Revenue Service to delay the deadline for like-kind (IRC §1031) exchanges.
What Is A Double Net Lease?
Lease arrangements can be complex, but there is a specific group of well-known lease types that provide a few options for tenants without too much complexity. These are called net leases. In this article, we’ll discuss what a double net lease is and how it compares to other net lease types.
