Real Estate Advisor

Showing 209–224 of 303 results

  • Ask the Advisor — How can I ensure my joint venture will be successful?

    September / October 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 511

    Abstract: At a time when securing bank financing is a bit “iffy,” forming a joint real estate venture could be the best answer for getting a project off the ground. But it’s important to prepare for the bumps that may occur along the way. This article explains the concept of a joint venture and how a capital call provision in the operating agreement offers some certainty and can reduce the costs and tensions associated with obtaining additional capital.

    Read More

  • Do your homework before investing

    September / October 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 617

    Abstract: It’s possible to successfully navigate the recent turbulent markets — by doing some homework before investing. This article shows that some of the best market indicators may be in the local market. It explains how to look at real operating figures when purchasing an established rental property and shows what warning signs to look out for when performing due diligence on a prospective property.

    Read More

  • Don’t shoot yourself in the foot — Beware of the self-rental rule

    September / October 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 657

    Abstract: Renting property to a business entity may seem like an innocent action, but that “self-rental” arrangement could have significant — and potentially negative — tax repercussions. To explain why, this article first discusses the passive activity loss rules. It notes that self-rental income is nonpassive, and thus can’t immediately be offset by passive losses.

    Read More

  • Better watch out! — Construction fraud can hurt your bottom line

    September / October 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 1035

    Abstract: In its 2012 Report to the Nations on Occupational Fraud and Abuse, the Association of Certified Fraud Examiners (ACFE) estimated that a typical organization loses 5% of its revenues to occupational fraud each year. When it comes to construction, the ACFE found that the median loss suffered due to fraud schemes was in the neighborhood of $300,000. This article describes some common occupational fraud schemes and how to combat fraud. A sidebar describes the three categories of occupational fraud.

    Read More

  • Ask the Advisor — Should I challenge my property tax assessment?

    July / August 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 485

    Abstract: There are a number of factors that can indicate that a property’s assessed value may be too high: dropping property values, increased assessor workloads, overly long assessment cycles, or overly broad assessment techniques. This article discusses whether it might be advisable to proceed with an appeal for a downward adjustment in a property tax assessment.

    Read More

  • Sec. 1031 exchanges — The ins and outs of depreciating MACRS property

    July / August 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 866

    Abstract: Section 1031 – or like-kind – exchanges in the commercial real estate arena often include property subject to the modified accelerated cost recovery system (MACRS). Those who receive MACRS property in such an exchange must comply with complex tax regulations for determining the amount of annual depreciation allowed. Under the regs, the basis of MACRS replacement property comprises both a depreciable exchanged basis and a depreciable excess basis. This article explains what each is and which depreciation rules apply to each. A sidebar lists types of property that qualify for bonus depreciation.

    Read More

  • It’s time to invest in infrastructure

    July / August 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 662

    Abstract: Recent natural disasters and a mounting backlog of deferred repairs and maintenance point to the need for significant infrastructure upgrades in the United States and elsewhere. With many governments still strapped for cash, the door is wide open for private investors to get involved in financing infrastructure construction and repair. Infrastructure funds can help investors do just that. This article shows that infrastructure funds may offer a safer, more dependable income stream than some other types of investment options. But these opportunities are accompanied by unique challenges. Exchange traded funds may be one answer.

    Read More

  • What’s recoverable when a deal falls apart

    July / August 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 614

    Abstract: Recently, some breach of contract defendants have argued that poor market conditions subsequent to the alleged breach undermine plaintiffs’ claims for lost profits. This article looks at one lost-profits case in which the court didn’t agree, noting that lost profits damages are measured at the time of the breach. Citation: CR-RSC Tower I, LLC v. RSC Tower I, LCC, Nos. 280, 2535, Oct. 26, 2011 (Md. App.)

    Read More

  • Ask the Advisor — Is structured financing right for me?

    May / June 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 488

    Abstract: Even in the tight credit market, many developers continue to seek financing in the form of debt and equity. But in some circumstances, it may be possible to combine different offerings from commercial capital markets, thus maximizing leverage and minimizing cash equity requirements. This article examines the benefits of structured financing, along with some critical considerations.

    Read More

  • C corporation acquisitions: Beware of the tax issues

    May / June 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 701

    Abstract: While most buyers follow the traditional path of directly purchasing real estate, some take a more round-about route: They acquire the stock of the C corporation that holds the property as its primary asset. However, as this article explains, this approach comes with several tax pitfalls and complications — such as double taxation, basis and transfer tax issues.

    Read More

  • LEED-ing the way in green building

    May / June 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 671

    Abstract: Cities, businesses and individuals are increasingly seeking out — and often happily paying a premium for — properties with Leadership in Energy and Environmental Design (LEED) certification. LEED certification offers independent, third-party verification that a building, home or community was designed and built using strategies aimed at achieving high levels of environmental sustainability. This article looks at how the LEED certification program has changed over the years, and what LEED 2012 offers when it takes effect in November.

    Read More

  • Repairs vs. capital improvements — IRS issues long-awaited rules on tax treatment

    May / June 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 943

    Abstract: The IRS has released temporary regulations on the tax treatment of expenditures related to tangible property, such as buildings, machinery, vehicles, furniture and equipment. This article discusses those regs, which directly address how to determine whether an expenditure is to be considered a repair or a capital improvement. This, in turn, affects whether the cost is deductible or is treated as a capital expenditure. The regs also expand the definition of “dispositions” and of “materials and supplies.” A sidebar discusses an exception to capitalization rules for specific acquisitions.

    Read More

  • Ask the Advisor — How can I build a better loan request package?

    March / April 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 492

    Abstract: With financing difficult to obtain, a borrower might have only one shot with a lender. But loan request packages that lack information or are difficult to sort through will likely end up behind the more complete and organized ones. So the most effective way of increasing the odds is to submit a solid package. This article provides a list of documents that a lender is likely to request.

    Read More

  • SMLLCs: The good, the bad and the ugly

    March / April 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 976

    Abstract: Real estate investors are increasingly forming single-member limited liability companies (SMLLCs) to hold properties — or interests in partnerships that hold properties — and protect themselves from certain liabilities. Part of the attraction lies in the fact that SMLLCs can be classified by the IRS as “disregarded entities,” meaning they’re ignored for income tax purposes. But investors should bear in mind that these entities can produce undesirable tax consequences if they hold partnership interests. This article examines the federal tax implications, while a sidebar looks at other taxes that may be involved.

    Read More

  • A loan primer — It pays to know the rules

    March / April 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 720

    Abstract: To help secure a construction loan, it pays to understand the lender’s mindset. This article offers a primer on how to get the job done. It explains the loan process and discusses four ratios that lenders use to scrutinize a loan request: loan-to-value (LTV), loan-to-cost (LTC), debt-service-coverage, and net-worth-to-loan-size.

    Read More

  • Protecting your income with business interruption insurance

    March / April 2012
    Newsletter: Real Estate Advisor

    Price: $225.00, Subscriber Price: $157.50

    Word count: 628

    Abstract: Business interruption (BI) insurance can help commercial real estate owners augment their income stream for the period that tenants can’t fully use their space or business can’t be fully conducted. This type of coverage typically isn’t sold as a standalone policy, but is instead added on to one’s property or comprehensive business insurance policy. It’s especially important for those who count on rental income to service their debts. This article explains how BI insurance works and how lost income is computed.

    Read More