Buying a company v. Buying the building
Good afternoon,
I have been talking to a property owner for close to a year, made an offer his 12 unit, and it was rejected but now I can do a little better on the offer and I do like the market, the building and the tenants. Long story short, he wants to sell me the business, as opposed to the building, something about getting hit with double taxation and repaying depreciation.
Some more details;
He built it in the mid 1980s and is now in his 70s looking to make life easier on himself, as he manages it. I have no reason to believe he is trying to pull one over on me but it did raise the questions: "Why don't more people do this? And what are the pros and cons of buying the building vs. buying the company that owns it?"
I am having a tough time trying to figure this out but I knew that the collective of BP will get me up to speed!