A 1031 exchange permits 1031 property property investors to sell a commercial property and defer tax payments by reinvesting the proceeds into a like-kind 1031 property or commercial properties. A tenants in common is a form of ownership that permits participants to enjoy the rewards of commercial property ownership without participating in the ongoing management of a commercial property. A TIC exchange yields an inherent interest in commercial property and offers several benefits as a qualified 1031 exchange.

Performing a 1031 exchange allows property investors to use all of the proceeds from the initial sale of commercial property as leverage for entering into more lucrative commercial property deals. The advantages of entering into a TIC are increased cash flow and diversified investment portfolios while deferring capital gains taxes at the same time.

If you recently sold a commercial property or you’re considering selling a current commercial property, we can match you with a 1031 broker that can assist you in facilitating the exchange process.

TIC Triple Net

An increasing popular alternative to sole ownership triple net is an investment in a single large triple net commercial commercial property by multiple property investors, not as limited partners or as an entity, but as individual property investors. This form of ownership is known as fractional ownership or TIC.

While TIC commercial properties are available for virtually all commercial property types, triple net-TIC are particularly popular because of their predictable cash flow backed by national credit tenants. Triple Net-TIC commercial properties can be either single tenant triple net or multi-tenant triple net commercial properties. Additionally, it is common for a TIC Sponsor to convert a multi-tenant commercial property into a triple net through a master lease structure where they lease the commercial property back from the property investors on a triple net basis.



Consider the Advantages of TIC triple net commercial properties :

1. Freedom from Management: tic-triple net commercial properties are managed by National commercial property companies on the property investor’s behalf. With no more commercial property to manage, you have more leisure time to relax or pursue other interests.

2. Ready Availability: There is usually a steady supply of tic-triple net replacement commercial properties for purchase.

3. Own Higher Quality commercial property : exchangers can invest in larger, higher-quality institutional commercial properties than they were able to invest in as individuals.

4. Assisted exchange Process: You do not have to do the legwork to find the commercial property that you want to buy.

5. Flexible Investment Size: Variable minimum investment requirements help property investors match commercial properties with their equity and/or debt needs.

6. Diversification. Proceeds may be split among several TIC triple net commercial properties.

7. Non-Recourse Debt: Pre-arranged non-recourse financing limits property investor’s liability.