Someone wants to sell me commercial "dirty" land for $1
I was a member of an LLC in the mid 2000's that owned and operated gas stations. The company no longer operates. We demolished the land and pulled the tanks. Did required testing and the ground is a little dirty but they are only requiring ground well monitoring.
The land is located on a busy intersection between and interstate and US highway. The majority member wants me to take the land for $1, and assume the environmental and back property taxes of $52,000.
Since this conversation, the land has not changed hands.
I did some searching and found a developer interested in the property. They made me an offer of $120,000. But I don't control the land yet. What do I do?
It sounds like you actually do have an interest in the land through the LLC as a Member. So the Managing Member has asked you to buy the loan for $1.0 and assume all the liability including the back taxes of $52,000.
It's not clear if the Developer is aware of the brown field. If he is and his offer stands at $120k, this seems to be a no brainier. Sell to the developer. Simply have the taxes net from the sale.
What is paralyzing you here?
