Real Estate Advisor
Showing 81–96 of 303 results
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Understanding the ins and outs of defeasance
January / February 2018
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 471
Abstract: Prices for commercial real estate are trending up in many parts of the country, and interest rates may soon follow, although at a slower pace. In such an environment, some property owners are starting to think about exiting their loans early through defeasance. This article explains the basics of defeasance.
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Time to get “real” – Qualifying for the real estate professional exception to the PAL rules
January / February 2018
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 552
Abstract: Passive activity loss rules can prevent a taxpayer from claiming passive losses from real estate if the taxpayer’s only other income is nonpassive. Exceptions exist, though, including the real estate professional exception. This article reviews a recent case addressing whether a mortgage broker/lender could take advantage of the exception. It provides a useful refresher on what it takes to qualify as a real estate pro. Hickam v. Commissioner, U.S. Tax Ct., Summary Opinion 2017-66, Aug. 17, 2017
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When an LLC doesn’t protect personal assets
January / February 2018
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 667
Abstract: Limited liability companies (LLCs) are a common way for real estate owners and developers to hold title to property. Their popularity is due, in part, to the fact that LLCs limit members’ personal liability. However, this doesn’t mean personal liability never exists for the LLC’s debts and liabilities. This article highlights some of the exceptions that may jeopardize an owner’s or developer’s personal finances.
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Are you ready for the new revenue recognition rules?
January / February 2018
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 874
Abstract: New rules are poised to take effect that could fundamentally change how many in the real estate industry will account for their revenue. Public companies must apply Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, in 2018, while compliance for private companies that follow U.S. Generally Accepted Accounting Principles (GAAP) begins in 2019. This article summarizes guidance covering the five steps a company must follow to determine when to properly recognize revenue on its financial statements. A sidebar provides some helpful examples of how developers can assess whether a performance obligation is satisfied at a point in time or over a period of time.
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U.S. Tax Court finds donative intent for conservation easement
November / December 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 423
Abstract: Environmentally minded property owners can sometimes satisfy both charitable and tax planning goals by granting conservation easements on their property to tax-exempt entities. However, a recent case serves as a good reminder that the IRS may challenge such transactions. McGrady v. Commissioner, T.C. Memo. 2016-233, U.S. Tax Ct., Dec. 22, 2016.
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Don’t delay – What you need to know about delay damages
November / December 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 646
Abstract: It’s bound to happen occasionally: A perfectly timed construction project hits an unexpected snag, leading to major financial repercussions. When an owner causes the delay, the parties may wind up in court to determine how to allocate damages — no easy task when a contractor’s costs span multiple projects. This article reviews two ways to determine overhead allocations and discusses other damages contractors may seek.
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Who can appeal tax assessments in commercial property?
November / December 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 552
Abstract: When paying the property tax bill, it usually makes sense for the tenant to be responsible for appealing a property tax assessment. But that’s not always a smart move. This article examines when a landlord should consider stepping in and taking control of the appeal process.
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Sustainable property appraisals – Getting the most green from your investment
November / December 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 787
Abstract: Sustainable and energy-efficient commercial properties continue to be trendy, but not every so-called “green” investment will necessarily pay off for owners and developers. The Appraisal Institute has published an optional form that provides some helpful clues about the green components that qualified appraisers are most likely to consider when valuing a property. This article reviews this form and helps real estate professionals understand how they can operate these types of properties to maximize value. A sidebar emphasizes that environmental and energy-efficient features should no longer be considered just a fad.
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Not just a trend: Market analysis in property valuation
September / October 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 450
Abstract: Appraisers are increasingly incorporating trend analysis when valuing real estate. This brief article explains why property owners, as well as potential buyers, need to understand the role trend analysis (also known as market analysis) can play when determining value.
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Exercise caution with joint venture financing
September / October 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 599
Abstract: With the real estate market on the rise in many parts of the country, developers may have more opportunities to obtain financing through joint ventures. Such arrangements can certainly pay off, but developers must take care before jumping in. This article takes a look at several issues the prospective partners should address early on.
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Crossing that bridge – Understand the pros and cons of bridge loans
September / October 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 632
Abstract: Investors and developers generally use bridge loans until they can secure long-term financing. As with any form of financing, there are advantages and disadvantages. This article summarizes what exactly bridge loans entail, and then delves in to the pros and cons of this type of financing.
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Is a prospective commercial tenant creditworthy?
September / October 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 787
Abstract: Smart landlords evaluate credit before entering a lease agreement with a new tenant — even those backed by well-known, longstanding corporations. This article discusses why financially stable, creditworthy tenants are essential for successful commercial real estate investments; which factors to consider when assessing creditworthiness; and how credit enhancements can make up for weak credit assessments. A sidebar discusses the use of third-party loan guarantees to bridge credit gaps.
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Are you ready for inclusionary zoning?
July / August 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 498
Abstract: In 2016, the U.S. Supreme Court declined to review a California case challenging inclusionary zoning, thereby opening the door for more municipalities to adopt such restrictions. This article reviews what inclusionary zoning is and how real estate investors and developers can balance their financial goals with the needs of the communities they serve.
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Lack of profit objective dooms deductions for real estate activities
July / August 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 583
Abstract: Some people are drawn into the real estate game largely for the potential tax benefits — such as leveraging any real estate losses into deductions for business expenses. There’s a catch, though: If the IRS finds a lack of profit motive, the IRS will limit and perhaps disallow the deductions altogether. This article summarizes the case of one taxpayer who recently learned this the hard way. Long v. Comm’r, T.C. Summ. Opin. 2016-88, Dec. 20, 2016 (Tax Ct.)
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Finding the right QI for your Section 1031 exchange
July / August 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 591
Abstract: When participating in an Internal Revenue Code (IRC) Section 1031 exchange, choosing the right qualified intermediary (QI) can make or break the deal. This article explains how a QI works and what to look for in one when performing due diligence.
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IRS targets syndicated conservation easements
July / August 2017
Newsletter: Real Estate Advisor
Price: $225.00, Subscriber Price: $157.50
Word count: 868
Abstract: The IRS has issued a notice warning taxpayers that it considers certain syndicated conservation easement transactions that offer investors significant charitable deductions to be “tax avoidance transactions,” otherwise known as unlawful tax shelters. Taxpayers involved in such a transaction — or a “substantially similar” transaction — may be at risk for an audit, the denial of charitable deductions and the imposition of substantial underpayment penalties. This article summarizes IRS Notice 2017-10. RP Golf, LLC v. Comm’r, No. 2016-80, April 28, 2016 (Tax Ct.)