A powerful tool for real estate developers is tax optimization. However, without a proper understanding of tax incentives, these benefits may not be utilized fully. Also, while tax incentives may be a catalyst for a development, there may still be capitalization issues faced by the developer who cannot wait for the tax incentives to come until after the completion of the project. The best solution for these problems may be through the monetization of tax credits prior to the start of the project.
Tax incentives that are able to be monetized effectively are the New Market Tax Credit, the Low Income Housing Tax Credit, and the Historic Rehabilitation Tax Credit, among others. read entire article… Source: Metropolitan Capital Advisors.
January 23, 2015
ARTICLES, Commercial Real Estate