Anyone want to do a tax-free exchange for my commercial property in Montana? (real estate)

[MikeyMike11]

I am finishing up a 3 unit, commercial building in a town called Emigrant, Montana, about 25 minutes north of the year-round entrance to Yellowstone. This area is booming, and you can pick up some equity finishing out my shell, as well as letting the property appreciate at 11% annually.

I am looking for something similar, with a like-kind exchange of about $350k. If you have something on at least 2 acres, with a structure (1031 exchange tax law states it must have a structure and agricultural zoned, or commercial, between 1-2 acres), let me know!

The building is up, with 800 sqft office on first floor, 40 x 10 deck, second and third floor has 2 living units of 600 sq ft (can be combined into 1 unit), and a 40 x 10 completely enclosed, second floor deck. I am actively finishing out the top 2 units, and the price will be reflected in that in the near future. If you would like it complete before move in, price will be more like $600k. 2 beds, 2 full bath in 3rd floor bedrooms, 2 3/4 bath in the downstairs living areas, and 1 half bath in office. Total interior sq footage of around 2,000 sq ft, with the upper deck being a "4 season room" that is enclosed and has large windows.

1 acre commercial lot, which I have been running my property management company from. Has it's own access from paved county road, 3 seperate 200 amp services (1 is being used by the building), public water and sewer. High speed internet available in area. 2 seperate entryways to upstairs units, but I have made the upstairs deck with a swinging wall-door, which can be used to make it all 1 unit again.

45 minutes of 99% highway driving to Bozeman, Montana with direct 1 way flights to many large US cities and location. Bozeman is just exploding in population and value, so shopping for anything is close by. Across the street is a protected riparian habitat, and a large 4 acre field which can never be built on, according to DEQ. Views of the Absaroka Beartooth Wilderness, and Yellowstone River. Very close to Post Office, Highway 89 is 1 minute away, small music venue, 2 very famous hot springs, and good food. Emigrant is growing fast so take advantage now before I bump this price up.

Would be awesome location for tourism based business. I have 2 more spots of 200 amps, 1 to a dry pole barn, another for a commercial greenhouse, which you can build out for extra equity. Lots of space! about 300 feet of 8 foot tall fence on two sides. Feels like you are way up in the mountains, but there are some neighbors right across the street.

I am looking for a decent and liveable family home with 3-4 bedrooms, on at least 2 acres. Agricultural zoned would work for us! Nothing in lava zones 1 and 2. Check out the prices of real estate in Montana before you come at me with an offer. I am willing to let it go, so we can have a home in Hawaii.

Thanks for reading!

[hotzcatz]

Have you had any interest at all? Somehow I see limited chances of anyone living in Hawaii with property of the type you're looking for wanting to exchange it for commercial property. Especially commercial property in Montana at the beginning of the winter season.


Maybe you could find a house on the MLS which is zoned commercial and do a 1031 exchange? That switches the property for property and omits the having to find a matching property owner who wants to move to Montana.

[MikeyMike11]

Originally Posted by hotzcatz

Have you had any interest at all? Somehow I see limited chances of anyone living in Hawaii with property of the type you're looking for wanting to exchange it for commercial property. Especially commercial property in Montana at the beginning of the winter season.


Maybe you could find a house on the MLS which is zoned commercial and do a 1031 exchange? That switches the property for property and omits the having to find a matching property owner who wants to move to Montana.

These are pretty rare deals as it is, but with how they work, they don't need to trade with me, they can go ahead and purchase another property anywhere in the US with intent to do a 1031, and I would do the same. They do need to be "like kind" exchanges so you can't dodge the tax liability.

But no, no interest. You have a 6 month time limit, and with mortgages tight right now, closings take 4-6 mths as it is, so that doesn't leave much time for hunting for property. It's best to have something in line before you even initiate this process.