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Updated over 4 years ago,
Lease from LLC to LLC (I own both)
BP,
I recently bought a house zoned C2 in Lynchburg, VA for the purposes of running my property management business. I've put the house in an a partitioned LLC. I need to write a lease for my business LLC to rent the property, I -- don't really know where to start.
The good news is that I don't THINK I'm going to sue myself -- so, it mostly doesn't matter. I do know that both sides are cheap and tend to complain about deals.
The bad news is that I actually have NO idea what to put on the document. I mean, is it literally as simple as writing "landlord is..., tenant is..., date is, premises is, tenant can do whatever they want w/ the property, term ends when landlord sells property or tenant terminates with exactly 1.5 hours notice.
???
I guess what I mean is --- how do I take this seriously, and then what are the best tax strategies for both LLC's. I think the problem is that the business money will ultimately be paying for all the upgrades and the repairs. But, I could just make the rent stupid high, so that it helps both businesses.
Any help is appreciated. (tommy)