All Forum Posts by: John Perry

Thank you @Kevin Romines. Great information.  In our case we have 3 partners that each own 1/3 of the company. To meet the majority rule we would need to have at least 2 partners on the 'individual' loan.  Does that sound correct?  Does Geneva do business in Nevada?

Also, can you share the name of the document from the screen shot. I did a google search but could not find it.

Thanks again.

We build fourplex properties in Nevada and are changing our strategy from build to sell to build to hold long term. For the construction we use hard money and self fund. At completion we would like to refinance using traditional financing options, but need to leave it in the LLC as we have a lot of these properties. I have read dozens of post on here that suggest strategies such as financing as individual and then quitclaim back to LLC. There is of course risk with this. We have talked to several lenders and are not finding any good options. We are meeting with some community banks this week but other than that do not know where to look. Any ideas?

@Ashish Acharya thank you for the detailed response.     In my case I am putting qualified capital gains (from sale of stock) within the 180 day window into the Qualified Opportunity Fund.   Good to know that I need to have a plan up front to invest the funds.    In this case my plan would be to invest the entire amount into the 160 unit apartment complex.  I am not clear on whether or not I can cash out once we build the apartment complex to reinvest in other OZ qualified investments.   

In the chart you attached, the QOF would have filed 8896.    Is there anything special in the chart about "opportunity zone business" or "opportunity zone partnership" other than the fact that they would be geographically located in an opportunity zone?

@Tom Shallcross thank you for you input.    I will give it a couple of days to find out if there are any recommendations for OZ attorneys in Nevada or Cali.   If not will ping you for an intro to your attorney.    

I am struggling with the structure for an opportunity zone fund so want to get your thoughts on this structure. I have personal funds that I will invest in an opportunity zone fund. I also have a parcel under contract where in an OZ where my business partners will build 160 apartments. Since I may not invest all my OZ money in this one deal my plan is to create an OZ LLC to park my qualified money (e.g. JP-OZ LLC). I will also create a separate LLC for the apartment deal (e.g. 160APT LLC). JP-OZ LLC will be a limited partner in 160APT LLC. My existing LLC with my partners (e.g Partners LLC) will be the general partner.

To summarize:

OZ Fund - JP LLC - Me (taxed as S corp)

160APT LLC will be the entity that builds and operates the apartments in the OZ fund.

It will be owned by Partners LLC (where I am a GP along with 2 other partners) and the OZ fund, JP LLC will be limited partner. We will also have other limited partners in 160APT LLC.

Hopefully I am clear and not making the post too complex.    My thought process for this structure is that if for any reason we sell or cash out of the apartments I can then return the money to my OZ fund and reinvest in another qualified investment.   

Would love to get your thoughts on this.   I know some will say I need an attorney.    I agree...and would be keen to get your recommendations for an attorney with experience with OZ.  Preferably in CA or NV, but will talk to anyone at this point as hard to find experts.     Feel free to DM me if you cannot post it in the response.   Thank You!

Thanks @Lance Lvovsky.    Unfortunately neither my CPA or my attorney (both of which are very good) have experience yet in this area so looking for external help.

Hi Wiley.    Did you find a CPA for this?   I live in LA and doing Ozone in Nevada.   Looking for a CPA and/or attorney with expertise in this area.    

@Roi Ford I will send you a dm.

@Casey Powers it is a small world. The owner of the property you are selling (JS) is a good friend of mine and I was supposed to look at it before he listed it. For now my focus is on large value adds in an opportunity zone so it would not have worked.

@Casey Powers Great idea. Then I will need somebody to manage them, do you know anybody ;)

Property managers Sometimes know before anybody else when an owner is going to sell. Would love to know if any of your multi fam property owners are looking to sell.

I am looking for experts in opportunity zones in Nevada (or at least southwest).     Attorneys, CPAs, Commercial Realtors.     Looking to roll $2M in stock capital gains into an OZ investment.    Ideally with leverage would be looking for a $5M to $8M project.   Looking at Pahrump or Las Vegas but willing to throw the net a little wider from a geography perspective.

I am a partner in a development company so able to develop the land for multi-family, self-storage, or commercial.    Also would be interested in opportunities to build out and long term lease for senior living or assisted living.   The 180 day clock is ticking so looking to move fast.