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Turbulence in the Air |
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By Jim Shaw, President and
CEO, CapHarbor
While many observers are
wondering about the direction of the nation?s
commercial and residential real estate markets,
one thing is very clear: the air is turbulent and
very unsettled. How we, the economy and external
influences act over the next few quarters will
largely determine whether we have a soft landing,
or whether we come crashing down.
I am very fortunate to belong to
a real estate roundtable consisting of some of the
top leaders and greatest minds in the real estate
industry (clearly, I am there for comic relief).
We recently met for a very informative session,
hosted by the much admired Mr. Marty Stolzoff and
sponsored by the always engaging Mr. Frank Jansen,
where I was able to learn from the insights of
this much esteemed group. Michael Lowinger of
Hanover Financial neatly summed up the attitude of
the participants: cap rate compression is over and
investors will have to ?Earn their return?.
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The #1 Challenge with 1031 Exchanges
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By D. Richard Dance, CPA
& President 1031 Exchange Coordinators
As we look back over the past few
years, it is very clear that the #1 challenge with
1031 exchanges is not being able to identify
appropriate replacement property within the 45 day
time deadline.
Clients enter into an exchange
with the expectation of completing it and
deferring their capital gain taxes, but end up
receiving all their exchange proceeds back on the
46th day with the prospects of paying full taxes
for the year. It is not uncommon to see exchange
credits returned of $100,000 to $10 million
dollars due to not meeting this requirement.
(A) What identification deadline
did they miss? (B) What does identification mean?
(C) What caused the difficulty? (D) What can you
control? (E) What can?t you control? (F) What can
we do about this? These are the 6 questions we?d
like to respond to in this article with special
emphasis on the last one.
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Net Leased Market Update |
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By Aaron Leff, Associate,
CapHarbor
Due to the positive response that
we received from last month?s newsletter regarding
the Net Leased overview, we have decided to make
it a permanent addition to our newsletter. We hope
that this overview will help you gain a front row
view of the net leased market. We have attached
our latest summary of representative available
single- tenant properties. We will be pleased to
provide a more detailed, and/or expanded summary
upon request.
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