We have a number of tools and some equipment that we use to maintain and repair the current property and will be used to rehab the two new properties. 

Easy example-You enjoy photography and have bought or buy a nice movie camera, photo developing equipment, tables,developer computer, etc,etc etc.

Or you can hope that some very hungry contractor is going to knock on your front door with a truckfull of tools and equipment ready to start your developing dreams!

This is supported by Sec 453(i)(1) and Pub 537 (see Depreciation Recapture Income paragraph).When you sell a business (inventory, equipment, accounts receivable/payables, intangibles, buildings), you play by different rules.Three paragraphs above the example you cited, we have this paragraph:"Sale of a Business The installment sale of an entire business for one overall price under a single contract is not the sale of a single asset."

A tornado touched down about 2 miles from us but mostly in a farm field and tossed around a landscaper's equipment and leveled some barns.Not much you can do if you're in the path.

I wonder if anyone ever saw that this guy had a balstic helmet, vest, gas mask and the other equipment.

Usually have an office you can set up a phone in and a maintenance/storage area for tools and lawn equipment.

I read a book about landlording (I forget which one), decided it looked a lot like teaching (managing people, space/equipment and information) and started talking about doing it.

We just bought a property with a very large barn packed with old equipment etc & a very old convertible looks 1920's era.

Jon Holdman - If you watch "Storage Wars", the guy named Barry once had somebody bring a remotely operated airplane with photo equipment attached so that he could get a closer view of locker contents.