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Heritage Capital Advisors is a real estate advisory and investment management firm with offices in San Francisco and San Diego, California. Each of our team members has over 20 years of experience advising clients in the acquisition and management of commercial real estate in geographies across the United States. Our primary objective is the creation of value through the application of experience in real estate acquisitions, management, financing, development and disposition. We can help determine appropriate programs to meet your needs:

• Equity and Joint Ventures
• Brokerage/Transaction Management
• Tax Advantaged Real Estate Programs

A 1031 exchange allows an investor to sell an investment property and defer capital gains and depreciation recapture taxes by reinvesting 100% of their equity into another “like kind” property of equal or greater value. Investors can use their existing property holdings to trade up into a larger, institutional-grade, co-owned property, which offers all the benefits/risks of real estate investment, but eliminates the headaches of day-to-day property management.

• Your new property must be of equal of greater value.
• You must reinvest all of the equity from your old property into your new property.
• For tax deferral on all capital gains, you must not directly receive any funds from the sale. You can receive funds from the sale, but will pay taxes on any funds received.
• You must identify a replacement property within 45 days of the close of escrow on the old property.
• You must close on the new property within 180 days of the close on the old property. (TIC investments can be ideal choices as they close quickly.)

Investors can defer capital gains and depreciation recapture taxes.

Investors can harvest dormant equity at predictable intervals to maximize the inherent benefits of real estate investments.

Depending on the specifics of your particular 1031 exchange, the tax dollars you defer can be invested elsewhere, potentially increasing cash flow and net worth.

If you choose to structure your 1031 Exchange as a Tenants In Common or Delaware Statutory Trust investment, you can eliminate the headaches of day-to-day property management.

The difference is the financial and lifestyle objectives of the real estate investor. The investor needs to answer the following question, “Do I want to continue to manage property, or do I want to delegate the day-to-day management to professionals?”

The TIC structure includes professional property managers to take care of the mundane tasks of collecting rent, performing maintenance, and interfacing with tenants, while still allowing the investor to participate in the majordecisions. By exchanging for a fractional interest in a Tenants In Common property, the investor gains access to larger, institutional-grade properties, such as an office building, a drug- or grocery-anchored shopping center, multifamily apartment community, warehouse/distribution, or industrial property valued anywhere from $5 million to over $150 million. Investors can also diversify their equity among several property types and geographic locations through fractional ownership.