1031 Eligible? Being added as member of an LLC & selling property
Hello all,
I'm in an unusual scenario and wanted to get some guidance from the BP community.
My fiance is being added as a member of an LLC that owns a residential and a commercial property, both of which are in the process of being sold.
Once the properties sell, she and her brother will likely dissolve the LLC and go their own ways with the proceeds of the sales. Ideally, we'd like to 1031 the proceeds into one or more multifamily properties, but don't know if we can, since one of the rules is that the same entity must own the property being sold and the new property being acquired.
We will find a QI and a CPA to talk this over with, but wanted to hear what some of you would say to this interesting scenario.
Thanks in advance!
Chris