do I consider 1031 from my 4.9 m $ property in Los Angeles

[Robert Y.]

I'm a 63 year old doctor and a student of BP and RE investing but little practice. My investments have been acquired and managed by my buddy my accountant, who has 250 doors. I have a 20 unit multifamily near the Pasadena City College in LA (this is rent control but considered pretty desirable and not likely to severely crash in a decline). There's about a 350,000$ rental income a year and the net net is 70-130,000$ depending on capital investments needed. Value is 4.9 M and loan is 2.0 M. This seems like a bad cash on cash return, although admittedly it looks worse because of recent appreciation. I've had the property for 3 years after 3.3 M purchase price and we've managed to turn over half the tenants for higher rents. The rest of the tenants are rocks. But it seems like I could get both better forced appreciation AND better cash flow in another market (10 per cent would be nice). I have a friend who owns 40 doors in Cleveland, but an exchange there would give him 75 or 100 more because they are worth less and he doesn't have the time or expertise to manage it. He has gotten me an introduction to someone who might be interested in co investing, managing and helping me with the exchange and loan acquisition; his family manages 4000 + doors. Does anyone have any guidance here: this is a large part of my net worth and I'm sure it's easy to mess this up. Other markets and other ideas are welcome. Thanks ahead of time for not laughing too much, I'm new here and this site seems too good to be true. 

[Brent Coombs]

Originally posted by @Diane G.:

I would DOWNSIZE.....

Sell the property and buy something smaller for half of the proceeds and pocket the other half is the proceeds....

It could take you a couple of years to get this done....

Nooooooo... That sounds like a terrible idea! Spending half the capital, instead of only the RETURN from all of it? Those sort of comments belong on that OTHER website: smallerpockets dot com...