Karen Cohen is a licensed real estate salesperson, M.C. O'Brien Inc., Brooklyn, N.Y.
What are your predictions for commercial real estate in the new decade?
In my mind, I believe there will be major deleveraging across the board in commercial real estate. With newly implemented laws on the mortgage market this will mean lower loan to value debt financing, but a better long term outlook on the way real estate is valued.
The sale of real estate may trigger capital gains taxes on the net profits of that sale. These taxes may be deferred by participating in a 1031 tax exchange, in essence, by purchasing property(s) to replace the
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