1031 Exchange

Utilizing the 1031 Exchange for Commercial Real Estate

1031 Exchanges make the investing of commercial real estate a tax haven. At Colonial Realty, we will walk you through the process of the 1031 Exchange, which allows investors to defer taxes and build wealth over time. By deferring the tax, you can reinvest the proceeds of a real estate sale into a new property of equal or greater value.Easily trade-up properties without getting hit with hefty tax bills.

Due to complex and strict IRS guidelines regarding 1031 exchanges, Colonial Realty provides consultation on adherence to these rules. Requiring qualified intermediaries, attorneys and accountants, this can be a complex and cumbersome process.

Allow Colonial Realty’s experienced professionals assist you with a 1031 Exchange. Our experts will provide consultation on strategy, identifying the right investments and provide transaction assistance with the new property.

1031 Exchange Considerations…

45 Day Deadline

Replacement properties must be identified within 45 days from the date of sale of your initial property.

180 Day Deadline

A replacement property must be received, and the exchange completed within 180 days after the sale of your initial property.

Replacement Properties

Replacement properties must be clearly described, including legal description and address.

Receipt of Cash

Any cash or not like-kind property received at the end of the 1031 Exchange will be taxable.

Relief from Debt

Any cash used for debt relief may result in a taxable gain.

Property’s Tax Basis

Track the basis of your properties correctly to comply with Section 1031 tax regulations

12 Tips for Strategic Commercial
Real Estate Transactions

Twelve amazing tips that will help you value your property, lease vacant space, and find the perfect location for your business.

  • Establish a pricing strategy
  • Understand investors’ points of interest
  • Know your market
  • Attracting tenants
  • Lease vs. Buy
  • Much more!