All Forum Posts by: Ronald Rohde

Glad you have an opportunity, without going into detail, an LLC can own your commercial property and sign a lease with your wife's business. Generally, a C corp has additional layer of taxes that other forms do not have, but there are other benefits.

0% interest is not OK, the IRS will impute AFR

Its pretty standard. There are categorical differences between personal ownership and loans vs LLC ownership.

Agreed, past due rents are worth about $0.10 on the dollar and that's generous.

You can't even hire a lawyer for the amount to try and collect breakeven.

Is it occupied or generating cash flow? I would talk directly to a LENDER, not a realtor.

3 years is pretty short commercial term. Single tenant?

Do you have the bank loan in writing? need a Commitment Letter, not just an LOI.

EDIT: do you have an LLC or the entity formed for the purchase? Operating Agreement between yourself and partners?

Are you looking in Dallas? land prices are pretty darn high right now, everybody is pricing for luxury MF...

Good cash flow business, but very hard to exit. NJ is a CON state, I have done work in that state for stand alone ALF.

Hi Hemal, do you already own the land for the parking? is it fenced and secure? a commercial broker would be able to list a parking lot/"parking available"

I assume you are taking this property off the lender's hands. Id be suspicious of such a "free" deal. Run your numbers, but you can probably get more from the lender. Are you going to have any equity left if its only worth $80k?