Carlos,

Can you help me with several 1031 exchange questions?  I spoke to your office and they thought it best that I address my questions to you directly.  

Here is my situation.  I purchased a 32 acre tract in Leander about 8 months ago.  I have a contract to sell the property which should close around July 18th.  

I expect to realize a gain of around $400,000.  See calculations below:

Sales price:		2,100,000
Purchase price		1,200,000
Fees&Devel costs	  500,000

Profit			 400,000

The cash generated at the sale will be close to $1 million after repayment of a loan.

I am interested in protecting this gain through a 1031 exchange.

I am already involved in a couple of other real estate transactions that might qualify. 

 First, there is a 10 acre tract that was purchased by Bishops Corner, Ltd for $1.15 million six months ago.  I lent the partnership the cash to buy the land with the intent of working with the developer to build a multifamily project.  We could not come to terms for the development, so the partnership was conveyed to me.  The loan still exist.  I am an 80% limited partner.  Another investor is the other limited partner.  We have set up a Corporation to be the general partner.  We intend to develop the property. Is there a creative way to use the land purchase in a 1031 exchange?

Second,  I have a small tract in New Braunfels under contract for $400,000.  I am applying for FHA financing for a 180 unit apartment complex and hope to receive an invitation letter prior to closing.  I would need to place this property in a limited partnership eventually, but is there a way to buy the property hold it in my name long enough to satisfy the IRS then move it to a LP.

If neither of these deals qualify, I would still like to find another piece of property.  My two biggest concerns are tying up too much cash and holding property in my own name.  Is there a way to insure during the 1st year then move a different entity?

Thank you in advance for your help.

Phillip Allen	
8855 Merlin Ct
Houston, TX 77055
pallen70@hotmail.com
wk 713-853-7041
hm 713-463-8626