1031 Exchange Alternatives For Building?

[Jeremy Williams]

Hello Everyone,

I have a property i purchased way back in 2012 that is in Florida. It's had a decent run for me with good cash flows but I'm looking at making some moves here in California where I own the rest of my real estate and live. A recent change here has allowed me to build a 3rd stand alone unit on a lot my duplex is on. I was looking for a way to get the equity from the property in Florida into my new build without a tax consequence but it looks like the 1031 exchange would only be for the purchase or build of a property on a newly purchased parcel, not one I own.

Anyone have any ideas on good ways to reduce the tax burden for the $90-100k I'll be receiving on my Florida sale?