Zero Net Cash Flow Leased Property: Structure, Financing, Advantages, Disadvantages, Tax and Regulatory Considerations

Tax attorney Christopher Marotta will co-lead a Strafford webinar examining zero net cash flow leased property. Zero cash flow deals involve properties in which all net operating income goes toward the debt owed on the property, and they are currently in demand in the commercial real estate market. Real estate counsel must weigh tax, financing and regulatory issues unique to these transactions when advising clients, as investing in property with zero positive net income carries both advantages and disadvantages. During this program, Mr. Marotta will review the characteristics of a net zero cash flow deal, explain why it is trending, outline financing and tax considerations such as sale-leaseback issues and 1031 exchange questions, and share tips for practitioner success.