In this episode of Commercial Real Estate Now, Karly Iacono breaks down zero cashflow investments; what they are, how the debt is structured, and why sophisticated investors specifically seek them out.

Topics covered:

-How self-amortizing, non-recourse, assumable loans make these deals work

-The pay down readvance feature and why it matters in a 1031 exchange

-Depreciation and interest expense as ongoing tax deductions

-Phantom income risk under Section 467 and how to plan for it

-Who should (and shouldn't) own one of these

Zero cashflow deals aren't underperforming assets. They perform differently and for the right investor, they're one of the most efficient structures in the net lease market.

📩 Contact: Karly.iacono@CBRE.com

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#commercialrealestate #netlease #ZeroCashflow #1031Exchange #CREInvesting #TaxStrategy

Warning-IRS Circular 230 Disclosure: CBRE and its affiliates do not provide tax advice and nothing contained herein should be construed to be tax advice. Please be advised that any discussion of U.S. tax matters contained herein is not intended or written to be used, and cannot be used, by the recipient of any Information for the purpose of avoiding U.S. tax-related penalties; and was written to support the promotion or marketing of the transaction or other matters addressed herein. Accordingly, any recipient of this video should seek advice based on your particular circumstances from an independent tax advisor. You also agree that the information herein down not constitute legal or other professional advice and you should obtain legal advice from a qualified attorney licensed in your state. The opinions contained in this video are those of Karly Iacono and may not represent those of CBRE. All content is for educational purposes only. The following content may contain the trade names or trademarks of various third parties, and if so, any such use is solely for illustrative purposes only. All product and company names are trademarks™ or registered® trademarks of their respective holders. Use of them does not imply any affiliation with, endorsement by, or association of any kind between them and CBRE or Karly Iacono.

Zero Cashflow Real Estate: Why Savvy Investors Love These Deals

Commercial Real Estate Now

Zero Cashflow Real Estate: Why Savvy Investors Love These Deals