Separating Co-Owners Interests
A distinguishing expertise of
Marin 1031
We are experts in assisting taxpayers in separating their interests in real property held by partnerships, LLCs, or in trust, so that each co-owner can exchange separately or cash out their investment. We frequently assist in the structuring of the following transactions:
Partnership Redemptions & Liquidations
Commonly referred to as a “drop and swap,” This type of transaction involves redeeming certain partners interests in partnerships or certain members interests in LLCs in exchange for a direct interest in real property. Generally, a drop and swap must be completed before signing a purchase and sale agreement to sell your relinquished property.
Partnership
Divisions
Divisions are an alternative to drop and swap transactions that can be used after signing a purchase and sale agreement to allow co-owners to separate.
"Swap and Drop" Transactions
Where a redemption, liquidation, or division are not possible, we often help exchangers complete “swap and drop” transactions, in which the entity holding title completes and exchange, and the partnership, LLC or trust later liquidates certain members in exchange for interests in real property.
Contact
Like what you see? Get in touch to learn more.
