Multi-state Landlord Advice

Hi all, been lurking a bit...great great site...feel comfortable posting. Am formailizing operations as a multi-family investor...

If I am going to own ~30 properties in three states besides the one i live in....no outside investors right now, though interest from friends & family perspective in a few million investment...havent decided either way. Should this formalized as an llc, lp in home state with operating arms in other states, whats best for cost/liability protection/tax benefit, etc etc? should each property be in its own llc/rt, etc. Are there rules of thumb? My NY lawyer and accountant don't really know (they want to get together with me to discuss after they research the topic = $$$! though for a good answer, probably well worth it. Not sure they are going to be the right team for longer term).

Additionally, given above, any recs for lawyer/accountant in NY? PM me if you want. Properties are in the northeast

Thanks all in advance

Comments(3)

  • j_owley30th March, 2004

    it was recomended to me to form a llc in each state to minimize risk, its a little more costly to keep up the books and all the paper work.

    just one opinion wink

  • InActive_Account30th March, 2004

    I own properties in 22 states and since llc's have been around I have used them. How I do them is by using the street address (123 ABC St.,LLC.). Interview several attorneys/accountants who are REI's,they will understand your situation.

  • dealjunky30th March, 2004

    22 states! Forget aquaman, you're my hero. Do you then have lawyers and/or accountants in each state handle the paperwork and filing requirements? You must have a staff/national firm to handle this (like E&Y...doesn't Trump use one of the nationals?).

    I would love to find experienced/investor lawyers/accountants, but when I have talked with those that are REIs, they all too often front-run my ideas/purchases...too much of a conflict in same community.

    In my experience, smaller folks spend a lot of your money educating themselves on what you're trying to do. The bigger folks want to deal with people who have hundreds, not dozens of units...not a lot of people who want to 'grow with you'...but this is NYC...so saying you'll have dozens of units is like saying you know how to cook pasta. Nobody cares.

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