Condo development and 1031 exchange
I have bought and am renovating a 3 unit building. I'm now going over my options to get my money out of this building. My choice are rent and hold, sell a single unit, or convert the units to condos and sell them individually.
My question revolves around the last option, converting to condos. If I do this, they'll sell in three individual units. How would this work with a 1031 exchange. Is a 1031 exchange possible in this scenario? If so, would it be three separate exchanges? Would it, or could it, be a single multitransactional exchange (if that is even possible)?
Going further if it's three exchanges, could those be combined into one single purchase transaction on the back end. By this I mean that I sell the individual condos for $300K each, but then buy a single $1 million property, using that to close out all three of the individual condo exchanges.
Does anyone have any idea if any of this is viable?