Advice Please-Cash out refi now on rental to buy % from nonprofit

[Kate C.]

Hello, I am about to move forward with a cash-out refinance and would welcome advice.   If anyone has time and interest in this scenario- please weigh in.  My father has had a 4 unit rental property in a  location near a college campus for 20 years. Itis all paid off. He is very dedicated to his nonprofit and has been vesting the property over the last 8 years, wanting his nonprofit (addressing global health issues) to have long term funding and his legacy to live and getting a tax write off. He also generously vested to his tow children. Currently, my sibling and I own 40% of the building and his nonprofit owns 60%.  I am grateful.  I also don't know how long term capital decisions will be made when the majority is owned essentially by a board of directors, once my dad passes away. It is managed by a company. He is in his mid-80s. I am considering taking out a cash refinance on a rental home we own (our first home). The current loan balance is 340K at a 4.5% 30 year. 22 years left on the loan. With a new loan of 510K and a new 30 year rate of 4%- I can get 150K cash and buy back a portion of the more valuable building from my father's nonprofit. It would be at fair market value and done legally and transparently. My sibling would also put forward 100K and buy back a portion. I estimate that we could buy bout 10% back. The rationale is that we would then be majority owners and that in the long run, it will be a good investment.  If I have not completely confused you and you made it to the end of this post- please share your reactions. I know there are many details missing, but to start does the cash out on the rental sound reasonable?  I know cash out on rentals are much harder. We have a lender and equity in the home (valued around 800K). Thank you!