Let’s say you own a small business in an area that used to be industrial but has since become gentrified over the past several decades (for example, near the Wedge Co-Op in Minneapolis). Your business may not fit that neighborhood any longer. The structure may also be too small for your growing business. Many such businesses (light industrial, semi-manufacturing businesses) are moving out of Minneapolis proper and going to northern suburbs like Ramsey, St. Cloud and the like.
These businesses are buying land in these areas and building new facilities that are more expansive and built to allow them to do more business. They’re selling high in Minneapolis, taking their tax-deferred dollars to an area where their buying power is better, and building new facilities that allow them to be more productive.
A build-to-suit is a great tool to have at your disposal if you want to defer the capital gains tax on the sale and also build the replacement property to your specifications.
1031 Exchange Help
At CPEC1031, LLC we offer assistance to taxpayers conducting like-kind exchanges of real estate under section 1031 of the Internal Revenue Code. We can help you make informed decisions about your 1031 exchange and make sure you are able to defer 100% of your capital gains tax burden. With over two decades of experience, our qualified intermediaries are well-equipped to handle all aspects of your like-kind exchange from start to finish. Reach out today to set up a time to chat with one of our team members and get started with your next 1031 exchange.
Start Your 1031 Exchange: If you have questions about 1031 exchanges, feel free to call me at 612-643-1031.
Defer the tax. Maximize your gain.
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