FAS 143 and FIN 47, from the Financial Accounting Standards Board (FASB) implemented a provision in 2005 that requires companies to recognize the future expenses of environmental cleanup of facilities (even if leased).

As I'm sure is obvious, I'm a newbie and trying to find direction on how to start and make my head stop spinning.1-I have read books describe single member LLC's as a bad idea b/c courts don't recognize them.

It's not possible to devise such a method that won't be recognized for what it is.Conduct your activities ethically, in complaince with laws, at arm's length, showing good intentions, protect yourself by keeping properties in good condition, act prudently and use insurance as mentioned, deal fairly and you should never end up in court or ever worry about how much equity you have established.

There is also the option of cognovit notes, recognized in many states including OH where I primarily lend, where the lender can basically represent the defaulted borrower in court and essentially get summary, expedited foreclosure treatment (oftentimes without the defaulted borrower even being aware).

I actually do have some faith in our political system, it's true politicians are avoiding making the tough decisions leading into the 2012 elections, but they all recognize we have some major problems so after 2012, whoever is President, there will be some agreement on a debt-reduction plan that should put us on a better track forward.

Recognize, analyize, plan, execute.

The remaining sibling changed the LLC to a Single Member LLC and owns the property 100%.I sat down with my CPA during the summer and went over Capital Contributed (this includes Cash Contributions, my share of Land/Building Value and Depreciation); Income Recognized, Distributions, Losses Recognized and a Capital Bal at 12/31/10.

Real also recognizes real, so to speak.

Not sure this would work for you since you recognize that your purchase was below market value. 

I say this genuinely, so don't take this the wrong way, but I would rather not take you on as a client if this how the process is going to be once we close escrow.