Strategic Planning

Strategic Planning addresses the questions of whether your properties will satisfy your every need for management, cash flow, estate planning, or growth now and in the future. Strategic Planning starts by evaluating your likes and dislikes and goals, and then determining if there’s anything out there that helps you better accomplish what you and your family are going for. Barry keeps track of the constantly changing environment and presents ideas and concepts for your review.

Krupp & Company offers customized reports & analyses that help people compare different real estate ideas. These sophisticated analyses can be customized to compare any course of action, including:

  • Trading down
  • Trading up
  • Trading to a different asset class such as triple net
  • Trading into multiple properties
  • Refinancing
  • Budgeting for short and long term capital improvements
  • Installment Sale

1:Establish any needed future capital expenditures & upgrades of current property. 2: Establish future cash flow requirements, management objectives, & estate planning goals. 3: Develop concepts that achieve established goals. Includes possibilities with various property types. 4: Meet with attorneys, accountants, managers, and other advisors as necessary. 5: Review concepts, establish a strategy, and implement.

Hold/Exchange Analysis
(Internal Rate of Return Analysis)

Should you stick with a property you currently hold or should you exchange it for something else? If you exchange it for something else, should it be another apartment building or a different asset class?

Should you diversify and exchange into multiple properties? This analysis can demonstrate any “what if” scenario you can imagine and takes into consideration:

  • Expected rent growth
  • Vacancy variations
  • Expense variations
  • Needed capital expenses & planned upgrades
  • Interest rate variations for variable loans
  • Pre-tax cash flow
  • After-tax cash flow
  • Mortgage pay-down
  • CAP rate variations for pricing
  • Estimated capital gains tax

This analysis will compare the potential performance for a currently held property and a potential exchange property. It will chart the performance of both properties side by side for your comparison and review. This is the most sophisticated way of evaluating an idea and planning a course of action. Hold/Exchange Analyses are complimentary and part of our business plan to build better relationships and add value to your real estate investing. Contact Barry for more details and to request a Hold/Exchange Analysis.

Lowering Estate Tax / Family Limited Partnership

There are ways to cut estate taxes, sometimes as much as 45%. Generally speaking, a non-controlling ownership interest in a property is taxed less than an ownership interest of the same value that you control. There are two ways to accomplish this:

Family Limited Partnership Structuring this type of entity requires an attorney well versed in tax law to advise you. Barry can provide the market analysis as necessary for the process. Contact Barry for referrals to a professional in this field.

TIC Partnerships Krupp & Company continually evaluates various companies that form tenant in common partnerships. In doing so, Krupp & Company maintains relationships with companies that fit a more conservative profile. If you would like referrals for these companies, contact Krupp & Company.