Off-Market Deal but Seller Needs Tax Deferral

[Ben Glaze]

I have the chance to purchase a six-unit apartment property from the father of a friend of mine. The opportunity is a great one - the building is in good shape with minimal deferred maintenance, solid rental occ. history, below-market rents, etc. The only catch is that the seller wants to defer his capital gains, but doesn't want to go through a 1031 process - he's much older and doesn't want to deal with the hassle.

Does anyone have any creative suggestions as to how to do this (my initial thought was a lease with an option to purchase at a per-determined price at a point in the future) or has pulled off something similar?

Thanks in advance. - Ben