Tenancy in Common (TIC) is a logical extension of the longstanding real estate development, acquisitions, asset management and lending business lines of ORIX Real Estate Capital, Inc.

We bring institutional validation to the Tenancy in Common industry and unparalleled experience, resources, quality and value to the individual investor.

Tenancy in Common is a way of holding title to real estate, in which the investor maintains a deeded,fractional interest in real property.The investor receives monthly income and can take full advantage of the tax benefits allotted to investment property owners, namely deferral of capital gains (through a 1031 Exchange), annual depreciation and the potential appreciation upon sale.

The interest in TICs results in part from the IRS-issued Revenue Procedure 2002-22, which provides guidance to investors using a TIC investment to satisfy a 1031 Exchange.

A 1031 Exchange, also known as a deferred or “Starker” Exchange, is permitted under IRS Tax Code Section 1031. Under this provision an investor can sell a property held for investment purposes and defer capital gains from the sale if another property of equal or greater value is purchased for investment purposes, subject to certain IRS Revenue Procedure 2002-22 guidelines.

Revenue Procedure 2002-22