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Samuel has some land near I 10 just a few miles from Slidell, LA where he has an excellent crawfish, shrimp and barbecue restaurant. He has heard that the state might take the property under an eminent domain action in order to add an new interchange. But, the plans for that are still not finalized. If the state takes it, he might receive $800,00 for it. After depreciation deductions are posted, his tax basis in the property would be about $60,000. A real estate agent, Slick Willy, offered Sam a deal. He could trade the property for a nice building in downtown Slidell. The building has appraised at $900,000 and currently has a clothing store in and some offices and apartments on the 2, 3 and 4th floors. Sam also received a cash offer to buy his business for $700,000 and they gentleman that made the offer meant cash in the form of $100 bills. What advise do you have for Sam?
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