All Forum Posts by: Timothy Solomon

Hi all! 
I own multiple dermatology practices and I have the opportunity to buy the land/building of a practice I’m currently looking at. It’s a $1700 sq ft building in a super hot market, (only 7 parking spots though, but I’m working on an access agreement for the neighboring landlord). Seller is asking 2.5 mil for the property. 

At the same time, my family has grown and we REALLY want a new/nicer home for our family. Likely in the range of 4mil.   but it would be in an area that is basically guaranteed to appreciate. 

We can stay in our house for another 2 years max, but of course we want to get out asap. 

What information is needed to determine if it’s smarter to buy this business property or upgrade our house first? Unfortunately I can’t do both. I know the real estate market is at a high right now, does that also pertain to commercial buildings? Also, need to factor in interest rates rising..

Any thoughts from the community is appreciated. 

Thank you. I agree, thats kinda what I was thinking. Can anyone comment on how to find the best commercial real estate deals?

This would be my first project. Any/all feedback is really appreciated! 

http://www.loopnet.com/Listing...

I am very motivated and have no problem working 20-40 hours  a week on this. 

Hello, I am a dermatologist and I own multiple dermatology offices. I want to get into real estate investing (buying and holding) and was thinking about starting with the typical duplex multi family and growing from there. I’m not opening any more dermatology offices but I know a lot more about commercial properties rather than residential since I am a tenant in 6 locations. 

How do I decide if I want to buy commercial real estate or do the typical multi family? What are the drawbacks of going commercial rather than residential? 

Thank you Jason. What do you think a "fair" deal would be with this person? I expect them to do a lot of work managing the operation. Should I offer 5%, 10%, 25%, 50%? I have no idea really.

I guess a good way to start would be to figure out how much it would cost for the services (if I were to hire an employee) and then back in to that plus a little extra for her. For example, if I anticipate 100k profit and to hire a property manager, etc. it would cost 10k then I could give this person 10%. Make sense? Does anyone have any idea how much these costs would be?

Reviving this post. Can anyone answer the above question posted by Nico Roe?

Hi! I am in need of a partnership structure that will work for my situation. I will be the financial backer using my liquidity to secure financing on projects and my partner will be the boots on the ground/operations person. Her duties will be finding the deals, overseeing the renovations, doing the property management (in the beginning and then ultimately overseeing the property management team). My partner doesn't have any cash so the equity would be "sweat" equity. 

My business plan is to start with small multifamily (duplex, etc) and eventually build this into a larger portfolio of large apartment complexes (25+units). Either selling the properties and using the profits to buy larger properties or just using my personal cash to buy bigger and bigger properties as I get more comfortable. I am personally looking for the long-term pay-out and don't need the monthly/yearly cash. My prospective partner is looking mostly for monthly/yearly cash and a smaller portion of the "exit" in the end.  

Is this the best option for me or should I just hire an employee and I own 100% of everything? 
 

Thanks for all the advice. It seems like I’m asking the wrong question. Can anyone chime in and advise me on what tax strategies I can employ to reduce the large tax bill that I’m going to get once I sell my equity portion in my biz? I understand I need to speak to an advisor (and I will) but maybe some brief bullet points so I can bring these ideas up to my tax strategist. 

Also- if anyone can recommend a good tax strategist in Florida I would appreciate it. 

I am about to sell my business and make a substantial amount of income from it. Does anyone have any experience with getting REPS status and immediately investing the money in real estate from the sale proceeds to avoid a large tax bill? My wife is a realtor but hasn't been active in years. She is willing to get back into (actually spend 750hours/year) it if it will signficantly reduce our tax liability. How is this done? I understand this is a high likelihood of being audited. 

Any insight is highly appreciated.