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Updated 3 months ago,

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2,504
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Jill F.
  • Investor
  • Akron, OH
4,231
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2,504
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1031 Exchange to property owned by 2 LLC's with different but overlapping membership

Jill F.
  • Investor
  • Akron, OH
Posted

I'm hoping some 1031 exchange experts might know if it's possible to defer capital gains in this situation:

I want to sell several properties owned by a 3 member (all family) LLC (LLC-A) and sell one property owned by another LLC with different but overlapping membership (LLC-B).

Buy a much larger property that would be partially owned by LLC-A and partially owned by LLC-B

The new property is one tax parcel with two addresses. Could one LLC own one address and one own the other? The addresses have different numbers of units. Could/Should the 2 LLC's be tenants in common for the new property purchase? Could the parcel be split after the sale without tax consquenses? Other ideas?

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