Not doing a 1031 will result in a substantial six figure tax bill and force him to redeoploy the cash somewhere else, like equities, etc.This is the story of the residential real estate market in America today.

I have substantial funds in my 401 k.

It’s strictly based on an analysis of the fair market rent for the areas where my rentals are located.And in my area, rents have been climbing every year quite substantially.

@Andrew LaingIf we manage the upfit we do not charge rent until "Substantial Completion" which is defined in the lease.

If the tenant does not agree to substantial lease increase in December then the space can again be empty at 1/1/2022.What are your thoughts on the pros and cons of short term leasing at 50% discount and specifically appraisal/tax implications of such a move?

I think that the main thing is just that if you are getting note returns of say 12% your wealth is not substantially increasing as much as you think with stated inflation your buying power would be doubling every 7 years.

Also, they certainly don't want any outside influence or interference.

For sfh, rowhouses and multis, you will currently be paying substantially higher than the comparables suggest, and for condos less than the comparables suggest.

I guess the best thing to do is get involved and hope to have some influence. 

Substantial rehab and value increase.2.