All Forum Posts by: Tyler Rey

Thanks Greg & Nathan!

Based on your inputs, I think simplifying to a single management company and starting with a single holding company makes sense and then I will add additional holding companies as my portfolio grows.

Nathan - on the $1m in equity per LLC portion, would you split properties up into separate holding companies based on type (e.g. residential, commercial office, commercial ag, etc.) or would you keep multiple property types in the same holding company as long as it's under $1m?

Hi All,

I'm in the process of pivoting 3 units from a build to sell townhome project to rentals and looking for some entity structure advice.  These are going to be my first self managed units, but my intention is to continue adding units in parallel with development projects.  Entity structure wise, I'm getting conflicting opinions from lawyers/tax advisors on which scenario gives me the best separation between properties and asset protection from rental activities:

1. Each rental property is owned by a dedicated holding LLC and a separate LLC leases the properties from the holding companies and rents them to tenants. 1 rental company to many holding companies

2. Single holding LLC that owns multiple properties and separate LLCs that lease an individual property from the holding LLC and rent it to a tenant. 1 holding company to many rental companies

Tyler