In this episode of the Major League Real Estate Podcast, Nathan Sosa and Matt Hamilton dive into the complexities of 1031 exchanges and why they can be both powerful and problematic for real estate syndicators.

Nathan and Matt walk through:

- What a 1031 exchange is and how it works as a tax deferral strategy

- The 45-day identification rule, 180-day closing window, and the role of qualified intermediaries (QIs)

- Why 1031s are straightforward for individual investors but difficult to execute in syndications

- How raising capital and bridging equity gaps can create taxable gain events

- The impact of rolled-over basis on depreciation and cost segregation benefits

- Why Tenancy-in-Common (TIC) structures are often used to bring 1031 investors into syndications and the risks if they’re not structured correctly

- How failed 1031s can still create planning opportunities depending on timing

Real-world scenarios where syndicators must balance investor expectations, compliance requirements, and long-term tax strategy

They also highlight the legal, tax, and investor relations challenges syndicators face when attempting 1031s, and why working with an experienced CPA or tax advisor is essential to avoid costly mistakes and missed opportunities.

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests. Any mention of third-party vendors, products, or services does not constitute an endorsement or recommendation. You should conduct your own due diligence before engaging with any vendor.

In this episode of the Major Real Estate Podcast, Nathan Sosa and Matt Hamilton break down the complexities of Qualified Opportunity Zones (QOZs) and why this tax incentive can be powerful for real estate investors.

Nathan and Matt walk through:

- What Qualified Opportunity Zones and Qualified Opportunity Funds (QOFs) are designed to do

- How investors can defer capital gains and potentially eliminate tax on long-term appreciation

- Why QOZ investments must be structured through partnerships and not single-member LLCs

- The 10-year hold requirement, step-up in basis, and how depreciation recapture can be avoided

- Key differences between investing in raw land, new construction, and existing property improvements

- The penalties for failing the 90% test and how to manage cash at the fund level

- How upcoming tax law changes in 2026 and 2027 reshape the rules for future investments

- Why state-level QOZ rules may differ from federal rules and what that means for deal structuring

They also discuss real-world investor strategies, the marketing benefits syndicators can highlight when raising capital, and why working with a CPA who understands QOZ compliance is critical to avoid penalties, reporting issues, and missed tax savings.

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests. Any mention of third-party vendors, products, or services does not constitute an endorsement or recommendation. You should conduct your own due diligence before engaging with any vendor.

In this episode of the Major League Real Estate Podcast, Nathan Sosa and Matt Hamilton dive into the tax and legal complexities of contributing property to a partnership and why the IRS’s disguised sale rules can turn a seemingly simple transaction into a taxable event.

Nathan and Matt walk through:

- How property contributions work under partnership tax rules

- Why partnerships offer flexibility for moving assets in and out, most of the time

- What qualifies as a disguised sale and why it’s “just a sale with extra steps”

- Real-world examples where investors accidentally trigger taxable events

- The impact of existing debt on contributed property and partner capital accounts

- How built-in gain, basis preservation, and bonus depreciation limits come into play

- Key pitfalls in 721 transactions and when to involve your CPA and attorney early

They also cover why proactive planning and clear deal structuring are critical to avoid IRS scrutiny, unexpected tax bills, and unnecessary headaches.

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests.

In this episode of the Major League Real Estate Podcast, Nathan Sosa and Matt Hamilton break down the latest wave of questions surrounding 100% bonus depreciation under the "Big Beautiful Bill", with a special focus on the critical January 19 cutoff date that’s caught many investors off guard.

Nathan and Matt walk through:

- Why 100% bonus depreciation is top of mind for real estate syndicators in 2025

- How the January 19 acquisition deadline creates a narrow window

- What syndicators and developers need to know about acquisition vs. development timelines under the new rules

- When a project is considered “acquired” and how the 10% construction threshold applies in self-construction scenarios

- Whether component elections or Section 179 expensing offer viable workarounds for those who miss the cutoff

They also discuss how proactive planning, clean accounting records, and collaboration with attorneys are more important than ever as investors navigate unclear regulations and wait for Treasury guidance. This episode is a must-listen for operators, fund managers, and advisors structuring deals in 2025.

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests.

In this episode of the Major League Real Estate Podcast, Nathan Sosa and Matt Hamilton explain how preferred returns work in real estate syndications, how they're taxed, and the key details that often get overlooked in fund structuring.

Nathan and Matt walk through:

- What preferred returns are, how they’re typically structured, and why most syndications include them

- Why PREF equity payments are usually not considered guaranteed payments and how that affects self-employment tax

- How capital calls are becoming more common, especially in deals affected by rising interest rates and bridge loan maturities

- The difference between accrued and non-accrued PREFs, and how that changes what investors are owed at liquidation

- When preferred returns are treated as guaranteed and why that’s extremely rare

The conversation also covers how poor deal structuring and vague operating agreements can put GPs at risk of getting paid last or not at all.

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests.

In this episode of the Major League Real Estate Podcast, Nathan Sosa and Matt Hamilton dive into one of the most overlooked, but highly impactful, real estate tax strategies: partial asset dispositions (PADs).

Nathan and Matt walk through:

- What a PAD actually is and how it prevents you from depreciating the same asset twice

- Why failing to write off disposed components (like a roof or HVAC unit) is one of the most common missed deductions

- How one client saved nearly $1 million in deductions by cleaning up depreciation schedules

- The difference between proactive and retroactive PAD strategies and which one you should be doing

- And more

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests.

In this episode of the Major League Real Estate Podcast, Nathan Sosa and Matt Hamilton break down the massive tax legislation signed on July 4th and what it means specifically for real estate syndicators.

Nathan and Matt walk through:

- How 100% bonus depreciation became permanent and what that means for deal structuring

- The unfortunate “unlucky two weeks” in January 2025 and how they impact depreciation eligibility

- Why Section 179 deductions got a boost and when syndicators might actually use them

- How interest expense limitations are changing and the fading relevance of 163(j) elections

- A new and intriguing provision: full expensing for qualified production property and how syndicators might creatively structure deals around it

- What did not make it into the bill, including carried interest reforms and changes to SALT caps

- Updates on Qualified Opportunity Zones (QOZs), including permanent extensions, rural incentives, and step-up timelines

You’ll also hear how these changes may reshape fund strategy, planning for new developments, and even open new doors in industrial and manufacturing syndications as long as you follow the rules.

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests.

In this episode of the Major League Real Estate Podcast, Nathan Sosa and Matt Hamilton dig into one of the most powerful and riskiest tools available to general partners: the Deficit Restoration Obligation (DRO).

Nathan and Matt walk through:

- What a Deficit Restoration Obligation actually is, and why it allows you to go negative in your capital account

- When DROs show up in operating agreements and why they usually don’t

- Why DROs are considered a “tool of last resort” in tax strategy

- The difference between limited and unlimited DROs (and the consequences of both)

You’ll also hear about real-world client experiences, handshake deals gone sideways, and why working closely with your CPA and attorney is non-negotiable when DROs are on the table.

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests.

In this episode of the Major League Real Estate Podcast, Nathan Sosa and Matt Hamilton break down one of the most misunderstood, yet critical, components of real estate syndication: capital accounts and how they relate to partnership allocations.

Starting with the basics, Nathan and Matt break down:

- What capital accounts are and how they track contributions, distributions, income, and losses

- Why negative capital accounts matter, and how they impact your ability to claim losses

- Section 704(b) of the Internal Revenue Code and its requirement that allocations have “substantial economic effect”

- The myths and mistakes many GPs make when trying to shift losses without shifting true economic risk

- And a lot more

You’ll also hear why every operating agreement is really a dis-operating agreement, and what that means for structuring your deals from day one.

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests.

In this episode of the Major League Real Estate Podcast, hosts Nathan Sosa and Matt Hamilton take a technical dive into the mechanics of real estate depreciation and its role in tax strategy for syndications.

Together, they unpack:

- What depreciation is and why it matters in real estate investing

- The difference between depreciable basis and land allocation

- How depreciation schedules are determined (27.5 vs. 39 years)

- The significance of “placed in service” and capitalization thresholds

- How improvements, repairs, and settlement costs impact basis

- Cost segregation studies: methodology, compliance, and benefits

- The role of accelerated depreciation and bonus eligibility

- Depreciation recapture: ordinary income vs. capital gains treatment

- Why depreciation isn't a “tax loophole,” but a timing strategy

- Strategic use of amortization, loan cost recovery, and tax planning windows

Nathan and Matt also cover how the 2025 tax bill could impact bonus depreciation and what real estate investors need to know before year-end.

Request a free discovery meeting: go.therealestatecpa.com/mlre

Subscribe to the REI Daily Newsletter: go.therealestatecpa.com/mlresubscriber

Get the Ultimate Guide for Real Estate Syndications: go.therealestatecpa.com/mlreultimateguide

The Major League Real Estate podcast is for general information purposes only and is not intended to provide, and should not be relied on for, tax, legal, investing, financial, or accounting advice. Information on the podcast may not constitute the most up-to-date legal or other information. No reader, user, or listener of this podcast should act or refrain from acting on the basis of information on this podcast without first seeking legal and tax advice from counsel in the relevant jurisdiction. Only your individual attorney and tax advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this podcast or any of the links or resources contained or mentioned within the podcast show and show notes do not create a relationship between the reader, user, or listener and podcast hosts, contributors, or guests.