buyout of property in partnership ... what is my new basis?

[Mahesh K.]

Folks,

My partner and I bought a house for $150K in CA a several years back. The property is now valued at $300K. My partner wanted to sell the property or have me buy him out for $120K. So far we have about 25K in accumulated depreciation on the property (the value of improvements was $112K for the purpose of depreciation). My question for the tax gurus is as follows:

. After the buyout, what will be my new cost basis in the property?

. What will be my new basis for depreciation? 

. Who gets taxed on the 25K of accumulated depreciation after the buyout? Will I get taxed on that when I go to sell in a few years?

. Will the buyout trigger reassessment for property tax purposes?

Thanks.