Practices

Tax - Real Estate

Our team provides advice to clients on federal, state, and local tax issues that arise in connection with the acquisition, construction, ownership, financing, and disposition of real estate.

Acquisitions and Dispositions

Our advice often begins with evaluation of structures for tax-efficient acquisition and ownership of real estate, applying knowledge of U.S. taxation of domestic and foreign owners and investors in real estate, partnership taxation, taxation of REITs, unrelated business taxable income issues, state and local income taxes, sales tax, and realty transfer taxes. We also advise clients on contributions of façade and conservation easements.

We have extensive experience assisting clients in the tax-efficient disposition of real estate. Our work includes all aspects of simple and complex like-kind exchanges, installment sales, and structures to minimize state and local taxes.

Tax Credits 

We advise clients on federal, state, and local tax credits, including Low Income Housing Tax Credits, historic tax credits, and New Markets Tax Credits. 

Affordable Housing 

We work closely with our Housing Group assisting clients in creating tax-efficient vehicles for investment in and financing of affordable housing.

Ad Valorem Taxes

We are active in contesting real estate valuations for real estate tax purposes. Our team handles real estate tax exemption applications and appeals, as well as proceedings involving payments in lieu of tax by charitable organizations.

We have successfully represented clients in real property tax appeals for:

  • Apartment complexes
  • Corporate headquarters
  • Land for commercial and residential development
  • Manufacturing facilities
  • Pharmaceutical facilities
  • Power stations (including nuclear generating facilities)
  • Retail centers
  • Shopping centers
  • Transportation properties

Tax Disputes

Our team assists clients in the defense of federal, state, and local tax audits and tax controversies.

Transfer Tax

We handle transfer tax matters in various jurisdictions and help clients structure transactions to minimize the effect of transfer taxes.

Experience 

  • Assisted a developer in its acquisition of a 50 percent interest in a large urban shopping center in Philadelphia. The newly redeveloped, enclosed mall contains 1.4 million square feet of retail space and spans more than three city blocks. We provided a wide range of land use, transactional, and state and local tax advice.
  • Represented a large university on the development of a more than $100 million student housing project consisting of a 361,200-square-foot, mixed-use student housing and retail project. Due to the complex structure of the partnership between the university and private housing developer, it required careful coordination of legal, architectural, and operational issues. We advised on the structure of the transaction with the joint venture partner, negotiated the development terms of the operating agreement, and drafted all of the real estate documentation, including tax-related issues for the university.
  • Represented an owner/developer in the new construction of a Home2 Suites by Hilton® across from the Pennsylvania Convention Center. The 246-suite hotel features more than 2,000 square feet of meeting space and 9,750 square feet for ground retail and restaurants. Our attorneys handled obtaining zoning approvals, the tax structuring, and all related construction and real estate documentation. We also handled the joint-venture agreement with the hotel operator, the franchise agreement with Hilton®, and the hotel management agreement.