Creative smsf

Viewing 4 posts - 1 through 4 (of 4 total)

gumtree
Participant
@gumtree
Join Date: 2011
Post Count: 14
August 20, 2013 - 2:50 pm
Hi,
Where would be the best place to find information on how to make this possible?
Buy a Commercial block of land with my SMSF. Rent the land to a business which builds and operates a shop on the rented land.
The Commercial block is non specialized and will be income producing (rent). Now the business will be by owned by myself but I will not personally be benefiting from the land if I am paying market rent for the land.
Any thoughts on people to see or books to read that would help on specific example?
Cheers,
Andrew.
Scott No Mates
Participant
@scott-no-mates
Join Date: 2005
Post Count: 3,856
August 20, 2013 - 10:43 pm
If the land is commercial, then provided that you will not be living in any building built on the land there is no conflict.
Depending upon which state that you live, you will need specific advice from legal and town planning with regards to the lease term so as not to appear as a sale to the end user (to avoid paying stamp duty) ie leases over 20 years (including 4 x 5 year options etc) can cause issues.
Terryw
Participant
@terryw
Join Date: 2001
Post Count: 16,213
August 21, 2013 - 1:21 am
Yes it may be possible – but do you have the cash to build?
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
gumtree
Participant
@gumtree
Join Date: 2011
Post Count: 14
August 21, 2013 - 9:21 am
Thanks Scott and Terry, Working hard and saving towards the building costs but now I have an action plan to make it happen.