1031 exchange from single family into a Commercial Syndicate

[Keelia Purscell]

Investment Info:

Office Space commercial investment investment.

Purchase price: $1,200,000
Cash invested: $300,000

Cashed out my shares in the Syndicate in 2013

What made you interested in investing in this type of deal?

I was relocating to Austin from The Bay Area and didn't want to run my single family properties from a distance. I was ready to take the next step up the ladder to commercial.

How did you find this deal and how did you negotiate it?

I found it through a local commercial Broker and negotiated with the Seller, Capital Commercial in Austin, to restructure and stay in the deal while pulling money out via syndication.

How did you finance this deal?

I used the cash on hand from the sale of 3 residential properties to secure 25% of the available shares of the syndication of the property.

What was the outcome?

Was able to sell my shares and liquidate funds to be used in other ventures at the point at which the property was restructured and a few of the investors decided to cash out.

Lessons learned? Challenges?

I would have actually flown out and walked the building rather than putting the deal together form a distance.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Commercial Real Estate Broker, Real Estate Attorney specializing in acquisition and syndication, CPA and Commercial Lenders.