All Forum Posts by: Greg C.

I should note Equity note Debt...

@Andrew Savikas How are you dealing with manually entering Private Equity deals?  I looked at Personal Capital and Quicken 2017 (for Mac) and it is so geared toward stocks that I kinda gave up and just started a speed sheet. 

Or are there other recommendations for tracking multiple Equity Syndication and Funds?

Looking forward to it...

Looking forward to it... On a side note where do you generally park @Jeff Greenberg.  Are we aloud to park in the lot in the back or is it just street parking? 

Sorry this is more of a general business investing question then Real Estate so I wasn't sure where to post... 2 questions in regard to investing in a Restaurant Business.

1) Silent Partner share structure.  If you are investing start up capital into a new restaurant and you are fronting 50% of the start up capital shared with the Owner / Operator.  What type of partnership share would you expect considering this is passive with no control. IE  for simple numbers.  If projected start up is $100,000 and as an investor you put in $50,000.  What would you expect as a share of the business.

2) Un related to the above question.  Different scenario.  If you raise capital through investors for a third party to start a restaurant (establish fine dinning looking for capital to open a new location).  What would a reasonable fee for the that capital raise be?

Appreciate any input. 

Thanks @Dave Foster.  

I find as I begin this journey that strategies revolving around taxes have really peaked my interest.   Which is odd since I do hate taxes ;-)

Having gotten through pretty much all of the BP Pod Casts...

@Joe Fairless is also on my rotation (passive investing in Syndication now being my focus)... 

LA traffic leaves me about 2 hours a day to sit and listen and learn.

Listened to a really interesting @Kevin Bupp Podcast this morning on 1031 exchanges with @Dave Foster  

Dave Foster

kevinbupp - ep-127-the-power-of-a-1031-exchange-and-how-to-take-advantage-of-this-powerful-tax-code-in-your-own-rei-business-with-dave-foster

Knowing the general idea of a 1031 is to shelter capital gains taxes by transferring into a new property.

My quick take away  - Dave mentioned 3 idea's I hadn't heard of. (I'm not a lawyer or a CPA or 1031 expert.  Just noting what I took from the interview)

1. Death - 1031 Cap gains transfer to Heirs are evaluated at the current Appraised price of the property at death.  There by transferring the Cap gains to heir with out the Cap Gain taxation.  This seems extreme just to avoid a tax bill :-
2. Purchase 1031 in all cash.  Refi out capital.
3. Transfer 1031 into personal residence to receive 250,000/500,000 cap gains exclusion.  IE say you bought several condo's on the beach as rentals and some years down the line you decide to live in one of those.  Then sell.  You don't get taxed on the 500,000 (filing married) cap gains for your personal residence.  Then you would need a new place to live and well you have that other rental... Then sell..  

(Noting here that in the Podcast Dave explains rules based on Intention and time frames that I'm not really writing down)

Some other things I took away.  

1031 between Personal Partners can be split on an individual basis based on the fact that all the Partners each file their own taxes. Should the 1031 happen inside a LLC only the entity that files taxes could 1031.

Reverse 1031 - too complicated to write in a few words but listen to the podcast.  Pretty good info about Purchasing a property through an intermediate and then 1031ing a sale of the original property into the new property after the fact.

Over all pretty interesting stuff.  

Hopefully the proposed GOP tax reform doesn't make 1031 obsolete.

(Also does the @persons name only work if that person is in the tread already?)

Several times in the last few days I have seen/ heard folks talking about "Sensitivity Analysis" so I googled it...

My basic take on it is analysis by altering individual criteria to see an adjusted outcome.

IE How does an 8 percent vacancy effect the over all instead of a 4 percent.

How will a 10 percent Cap Ex effect overall returns verse a 8 percent hold back.

Sensitivity analysis - investopedia

realestateinvestmentsoftwareblog.com

Looking forward to the meet up tomorrow.  @Jeff Greenberg FYI for some reason this event doesn't show up in my networking feed on the site.

"Pari-pass  - is a Latin phrase meaning "equal footing" that describes situations where two or more assets, securities, creditors or obligations are equally managed without any display of preference. An example of pari-passu occurs during bankruptcy proceedings when a verdict is reached: all creditors can be regarded equally and will be repaid at the same time and at the same fractional amount as all other creditors."

http://www.investopedia.com/terms/p/pari-passu.asp