Many people own rental properties in vacation locations. With proper planning, a tax-deferred exchange may help them enjoy their vacation property to a limited extent, while still having the tax benefits available from a tax-deferred exchange.
Internal Revenue Code (IRC) Section 1031 allows a property owner, who holds property for “The productive use in a trade or business or for investment,” to defer paying any capital gains taxes if the property owner sells such property, identifies “like kind” property
With all of the development and new construction happening throughout New England, many real estate investors are interested in taking advantage of opportunities to purchase new construction directly for investment or as replacement property in a 1031 exchange.
Earlier this year we wrote about the growing market for 1031 exchanges using Delaware Statutory Trust (DST) investments as replacement property. Since then, interest in DST solutions for 1031 exchanges has continued to grow.
Exchanges may be fully tax-deferred or partially tax-deferred and partially taxable. An exchange will be partially taxable if the taxpayer receives net non-like kind property, (boot) in the exchange. Cash boot is received, and therefore taxable, when the taxpayer receives cash
Boston, MA Sidney Spiegel of Spiegel Associates has arranged a $8.28 million loan for a property at 1759-1769 Washington St. in the South End. The property was constructed in 1875 as the Alexandra Hotel. The loan was funded by a regional bank that saw the value of the property
Mansfield, MA Fantini & Gorga arranged a $20.5 million financing package for the development of 300 North Main, a transit-oriented, mixed-use development. Casimir Groblewski, senior managing director, and Lindsay Feig, director, arranged both the debt and the equity portions of the capital stack for the project.
Cambridge, MA Rockland Trust has provided $17.7 million in financing to local developers Capstone Communities LLC and Hope Real Estate Enterprises LLC. The financial package includes an $8.7 million construction loan and $9 million in low income housing tax credit equity.
East Cambridge, MA Urban Spaces has finalized a $71 million construction loan with People’s United Bank for Kendall East, a mixed-use, two-building property comprised of 120 market-rate and 16 affordable apartments and 15,000 s/f of retail located in the First St.
Canton, MA Eastern Bank places $11 million construction loan to Thorndike Development for ground-up construction of the Copperworks Condominiums. With first occupancies planned for this December, Copperworks is a three-story boutique condominium community
