Can 2 LLCs trade their properties?

[Andrew Wall]

I have two LLCs (I own interest in both 50% interest in both, but the other 50% has a different owner in each) that want to swap properties. What's the best mechanism to achieve this? Both are vacant lots with the same value. Would I deed the title to myself then deed it into the other company?

[Ashish Acharya]

Originally posted by @Andrew Wall:

I have two LLCs (I own interest in both 50% interest in both, but the other 50% has a different owner in each) that want to swap properties. What's the best mechanism to achieve this? Both are vacant lots with the same value. Would I deed the title to myself then deed it into the other company?

From tax perspective- Simultaneous 1031 exchange to avoid taxes. 

@Dave Foster, your services are not required for simultaneous exchanges, right?

Or distribute properties out to partners, and recontribute to desired partnership. This also avoid taxes.

Be careful on the transfer taxes. If we are taking about huge sum, some entity restructuring needs to be done to avoid any transfer taxes, if applicable.