Gas station tax trouble

General Real Estate Investing
1

Hi Guys,

A friend came to talk to me about a gas station he owns… He ran into some financial troubles (business lawsuits, etc) and he owns a gas station and has it currently rented out, but the tenant isnt paying rent on time and from what i can tell the sales are weak…

He has it completely debt free (~500K), but now since the tenant isnt paying rent, he is also behind on the property taxes. Prop taxes havent been paid for the last 3 years and is in danger of a tax sale for ~30K in back prop taxes…

Is there anything that you guys can see being done for this situation? I have been racking my brains trying to find out about anything aside from just loaning the money, as i dont feel like entering the gas station business…

Would love to hear from you guys if there is any obvious, investor style thing that i am missing or could do to help out a friend… Not too interested in making a profit off of this, just looking for a way to help…

Thanks,
Karim0028

2

Your friend needs to have his attorney step in here. The attorney can help your friend through the legal actions that can be taken to enforce a debt collection and maybe negotiate a payment plan for the property taxes.

I am surprised your friend let this situation go unaddressed for so long.

3

If that had been my tenant not paying the rent, he would have been out of ther in less than 30 days.

There is lots of equity there. That property should be on the market, with 2 different listings. One to sell just the gas station business, on a lease. The other to sell the real esatte, with a leased tenant.

Price it low enough and somebody will buy it.

4

obviously this is not a petty case… you guys can’t solve it with simple words… the only way to put things legally…