Help With 18-Unit Deal

[Tony S.]

Hi Guys,

I'm in talks with a seller to purchase an 18-unit high quality apartment complex. The only issue stopping the deal is that the seller does not want to pay the tax obligation on their long-term capital gains. If he has to pay them, the deal is no longer worth it for the seller. 

Do you have any ideas on structuring this transaction for a minimum tax hit for the seller? Would a lease-purchase option help? 

Any help would be greatly appreciated.  Thanks!

Tony

[Tony S.]

Hey guys, 

As a follow up, I'm now under contract for the 18-unit deal.  Essentially, the seller can avoid capital gains tax up to $80,000 in capital gains annually depending on the seller's income.  Here, we structured the deal in a way where the seller would receive less than $80,000 in capital gains annually from the purchase price via a seller-finance note.  

Thanks again for your contributions!