We usually have the tenants execute a new agreement with the new owner that has the exact same terms and expiration date.

You'll provide Chinese Hand Fans to the tenants at signing? 

GREAT IDEA (Sarcasm)As Gabe pointed out, with some saving discipline that positive cash flow can provide down payment when we get a softer market.

Glad to hear that you have a trust in place - please be sure that your trust and estate planning is update-to-date as well.If you need referrals for any professionals in San Diego, send me a message.

Providence maybe?

an example might be a 3 story brick building that could be replaced with a 3 story frame construction building at a lower building cost but still provide the same function.You should be revising the values based on the way your policy is written above. 

I can see that Lizz has included a leasing fee in the property analysis docs she provided, which I assume reflects the lease only service you mention.

However, it seems to simply attempt to provide the revenue side of the equation. 

Best to talk the tax issue over with a CPA but the loss will be reflected in the K-1's and can offset gains in other deals, provided they both flow through to the same entity (or you personally).

I also can provide context of what characteristics each area has.