1031 exchange between 2 LLCs I manage.

[Harry Perrette]

I searched the forms but didn't find the info that I am searching for.

We are selling a piece of property for 850,000. We currently own a building that has a loan of 325,000, with a recent appraisal of 400,000. Both of these properties are held in their own LLC. Once the property closes, can company A (owns the property) sell the property to company B (owns the building) and use a 1031 exchange to deffer some of the capital gains taxes? Myself and my father are both managers on both properties and LLCs. We are closing in 2 weeks.