All Forum Posts by: Ryan Seib

Get a nice big escrow deposit in case it does not close!

Get a lawyer to write the title company a threatening letter. Title companies are risk averse and usually pony up when threatened in my experience. 

Depends on how you and the buyer agree to set it up. Ideally for you would probably be just sell the holding company itself not the LLCs and/or the real estate separately. That means they take on all the responsibilities of running your holding company, tax characteristics (including risk of future audits based on past events) and you can wash your hands of it. Also you might be able to more easily avoid some capital gains taxes. Downside for the buyer is they take on your depreciation schedule and accumulated depreciation so you do not pay taxes on that but they may pay those for you someday. Of course this could lead to complexities if you are trying to do a 1031 at the same time! Lots of other considerations as well. But the bottom line is usually that the seller wants to sell the LLC not the real estate, whereas the buyer just wants the real estate not the LLC.

Can you find someone wanting to start a new bank there? Or event a tenant bank if you buy? Ask commercial realtors if they know who deals with opening bank locations. 

Yes these types of clauses are standard though you would always want to read through, talk through, and think through for your situation and tweak as necessary before signing. 

Yes the municipality will most likely use purchase price. Though at this price it is worth it to contest the valuation using your state process. This is matter of course when the potential property tax bill increase is much greater than the risk of a successful contest. Just get a reputable outside appraiser to run all the comps as well and use those. You can also share those comps and analyses with the municipal appraiser if they are lower and hope they go with the official appraisal not the purchase price (if appraisal is lower which may or may not be the case). Either way it is a matter of advocacy and you should consider asking your legal counsel about their particular opinion of the prospects and approach. I hope it goes well!

Something duosyllabic like "apple", "google", or "nike"?

At the end of the day who do you want on title? That person/persons/entity/entities is the grantee. The grantor is whomever is currently on title as owner. At no point do you need to reveal on the deed itself who owns what portion of the entity you are transferring property to. 

There is always the tiny risk of someone following through on their threat to sue. Very doubtful this seller is going to sue since 99.99% of people are sane enough to move on. But be wary of certain people, just saying.

Technically there is risk if you are under contract. Most people that back out cover themselves by pointing to one of the contingencies that was not met. At the very least review the transaction and point out if there was anything at all that was misrepresented about the property. Just backing out because no one would bother to sue you might cause your reputation to precede you in future deals. Just my opinions; I hope that helps!