Well-maintained 5-unit apartment building located in Pacific Heights, one of the most prestigious neighborhoods in San Francisco.
Dr. Choi and his family had been contemplating exiting their San Francisco apartment investment for years before they effectuated on their 1031 exchange goals. Looking towards retirement, it was imperative that the next investment be hassle-free. Our team facilitated the 1031 exchange process seamlessly, and the results speak for themselves-Dr. Choi deferred his capital gains taxes, eliminated management responsibilities, increased his cash flow, and was able to pull out $1M+ in tax-free cash a year later. The replacement property was so compelling in fact that his adult son-a Harvard graduate-agreed to invest his own money in the deal as well.
| Client Needs | Net Lease Solutions | |
|---|---|---|
| Defer Capital Gains Tax | 1031 Exchange | |
| Eliminate Management | Triple net (NNN) lease | |
| Increase Cash Flow | 13.12% Increase in NOI | |
| Predictable & Reliable Income Stream | Investment Grade credit guarantor on long-term lease | |
| Diversification | Traded a single asset for two (2) properties in different locations and across various industries | |
| Tax Benefits | ||
| Park Money (Land Bank) | A long-term lease offered the investor the ability to finance in the future and pull equity out without paying capital gains tax | |
| Value-add Investment | ||
| Estate Planning |