All Forum Posts by: Roger R.

You should form the LLC in the state the property is in. If you form in NY, you will have to file in Florida as a foreign entity raising your LLC yearly costs.

Even though the LLC is in Florida, you live in NY. You will be expected to pay NY income taxes.

Hi,

I own a rental property in CA, but live in NYC; the property is in my personal name. I would like to form an LLC for the property, treating it like a proper business. Which state should I form in, NY, CA or should I do DE as a lot of people have pushed me towards?

@Darius Ogloza The contract didn't close. Because of Covid, the buyer a known flipper is asking me to retrade in excess of 500k along with the other losses I have incurred with them not closing, 60k and growing. That would be the losses incurred.

@Russell Brazil. I represented myself as the seller's agent.  The buyer's agent was specifically given the names of two people that were off limits and he agreed.   It has been documented on several  levels about my demands  before and after contract signing. The brokerage house that the agent belongs to insisted  that off limits parties got involved AFTER contract signing and that alleviates them of any fault.  I can prove that the suspect people were involved before contract signing. 

     So I'm selling my property In NYC and getting lots of attention.  A agent from Marcus and Millichap (MM), a national brokerage firm,  reaches out to me and says he has an interested buyer.  I say okay and explain certain parties are banned because they are notorious for being people that flip contracts and wasting a lot of time.   The agent from MM,  brings his father into the mix because he is one of the premier real estate attorneys  in the world of NYC rent stabilization.  I start explaining the building's history and then  again repeat the names of the parties that I won't transact with. Both agent and father assure me they don't represent those parties. Contract signed.

    A month later it becomes apparent that the people that I said I didn't want to do business with were the parties that signed the contract, hidden by an authorized representative.  I was pissed and called up, Marcus and Millichap and asked if it were ever okay for a broker/agent to lie to consummate a deal.  They said, "it's never okay to lie!",  but had a cover story about the banned parties getting involved after contract signing.  I can prove this to be false. 

   Low and behold the buyers weren't able to flip the contract and have refused to close.  I can start litigation to keep the downpayment and sue for failure to perform with the buyers, but wonder if the Brokerage house  and agent/ broker have any liability.  

 I welcome anyone's thoughts. 
 

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I had a contract that was set to close on the 3/28/20,  with a time is of the essence clause. COVID-19 his and the world stopped and  my buyer refused to close.  Because all NYS courts were shut, I couldn't enforce the contract (PSA). The PSA stipulated that one commercial lease had to be in effect at the time of closing.  After dragging their feet for 3 months past the set close date,  my lone commercial tenant went bankrupt and vacated their lease. 

Does this let the buyer out of the contract even though they passed the original set in stone, closing date? 

I had a contract that was set to close on the 3/28/20, time is of the essence.  COVID-19 his and the world stopped along with all NYC courts closing for non-essential business, so I couldn't enforce the contract.   The contract stipulated that one commercial lease had to be in effect at the time of closing.  On June 29th my lone commercial tenant went bankrupt and vacated their lease.  

 Does this let the buyer out of the contract even though they passed the original set in stone,  closing date?

I was set to close in late March on the sale of my multifamily property in Manhattan;  then COVID-19 hit.  The building's only tenant (condition of close) defaulted on its rent and is probably going to go bankrupt (GNC).  We passed the contract's time is off the essence closing date. The buyers have given extensive ******** why they aren't in default, but at the end of the day they are.  The courts are closed, so I can't enforce their default. Now they want a discount of at least 10%.  

The reality is that supporting a building in NYC is expensive and the hold time through litigation for the deposit could be a year + when the courts finally do re-open. I expect the economy will not come back to the place where it was immediately. Would you guys fight for the money or just move on?  

Always welcome everyone's thoughts.

I was scheduled to close on the sale of my NYC property on March 31st.  One day before the close date the buyer called me up and said he wouldn't be closing.  He gave invalid reasons why he couldn't close (Title companies weren't working, a lawyer not associated with the sale got corona, city registrar was closed).  We have a time is of the essence clause in our contract, but with the courts being closed, I can't enforce. I had my lawyer write a letter to the other side to say they are in default.  I'm holding a decent size down payment. Any ideas how this will play out. 

There was a commission listed to be paid on the offer sheet  if sold  at a  particular price if I accepted the offer.  It's in contract to sell for 20% less than that price.  

I specifically asked if the buyer if had seen this deal on behalf of the broker with a gripe today to which the buyers said no.  The reason one buyer was selected over the other buyer was the fact that it was presented as if there was no broker to pay and it netted more.