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Arkansas 1031 Exchange Rules

1031 Identification Rules

All exchanges require that arkansas property investors identify up to three potential replacement arkansas commercial properties within 45 days of the close of escrow on the relinquished arkansas commercial property. Furthermore, acquisition of said identified arkansas commercial properties must occur within 180 days of close on the relinquished arkansas commercial property. All exchanges must comply with at least 1 of the 3 following rules:

  • Three-Arkansas Commercial Property Rule - allows the exchanger to identify up to, but no more than 3 potential replacement arkansas commercial properties within the acquisition period.

  • The 200% Rule - States that, in the event that three or more replacement arkansas commercial properties are used, their total market value must not exceed 200% of the value of the arkansas commercial property that is being relinquished.

  • The 95% Exception - Finally, in the case that rules 1 and 2 do not apply, the aggregate value of the like kind arkansas commercial properties must account for at least 95% of the value of the arkansas commercial property being sold in order for the exchange to qualify.

    Contact us for more questions regarding arkansas 1031 exchanges and TIC exchanges and we will put you in contact with a specialist in your area.