Capital Market Funds does not give tax advice and does not act as a qualified intermediary. We originate the mortgage on the Phoenix property that replaces what was sold. The identification and closing deadlines drive the loan process. They do not create a credit exception.
No tombstone on this site is labeled a 1031. Harvard Court and the Phoenix industrial loan are cash-out refinances of property the sponsor already had. They are not exchange acquisitions. A Scottsdale purchase is not a Phoenix replacement.
Replacement property inside city limits
The loan follows the address of the replacement asset. A warehouse near Sky Harbor, an apartment in north Phoenix, and a retail building on Camelback are not the same file because they share a 1031. Tell us the relinquished property only so we understand the equity and the deadline. The underwriting is the Phoenix collateral.
Fee simple and ground lease are different collateral. If the replacement is a leasehold, say so in the first note. We will not finance it as if the sponsor will own the land in fee.
Which loan fits the exchange
Most Phoenix 1031 requests are acquisitions: life company, bank, or CMBS for commercial property, and Fannie Mae, Freddie Mac, or HUD for apartments that fit. We are not a DUS lender. If the identification deadline cannot wait for permanent credit, bridge can close the purchase and the takeout follows. That is a structure, not a tax opinion.
The statewide exchange page is Arizona 1031. This page is only the City of Phoenix replacement.
Phoenix market context
- Sky Harbor and the freeway grid
- Phoenix Sky Harbor International Airport sits inside the City of Phoenix. Industrial and hospitality requests near the airport are a different rent roll from Desert Ridge, Deer Valley, the Camelback Corridor, or Ahwatukee. The freeway grid is context for which submarket the address is in. It is not a closing. Phoenix Sky Harbor International Airport
1031 financing is a calendar plus a loan
Step 1
We are not the tax advisor
Identification and exchange deadlines belong to the qualified intermediary and the tax counsel. We do not give tax advice on this page.
Step 2
Debt replaced is part of the exchange
The loan amount has to be discussed with the exchange, because debt relief can be taxable. That is a flag to raise with tax counsel, not a calculation we publish.
Step 3
The property still has to fit a box
An exchange deadline does not make a weak rent roll into agency or life-company credit. If the date is the constraint, bridge with a takeout is the conversation.
Debt for a Phoenix replacement property
| Source | When it fits |
|---|---|
| Arizona acquisition | A 1031 replacement is a purchase. Statewide acquisition context lives here. |
| Arizona 1031 | The statewide exchange page. This Phoenix page does not repeat it as a second tax article. |
| Life company | Stabilized Phoenix replacement property when the exchange calendar allows an application lock. |
| Bridge | When the 1031 closing date will not survive permanent underwriting. |