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Real estate investment strategies for lottery players

On Behalf of | Jan 27, 2016 | Commercial Real Estate

Missouri Powerball players may be intrigued by an analysis of the theoretical investment possibilities for jackpot winners. After taking a lump sum payment and paying taxes, the three winners of the huge Powerball drawing in January will actually walk away with approximately $200 million of the original $1.6 billion. California, Florida and Tennessee were chosen as states for theoretical winners to invest in since they are home to the winners of the $1.6 billion drawing.

There are several types of commercial real estate investment strategies that can be employed. One involves the search for high-profile real estate, such as famous buildings. One Miami property that sold for $142 million serves as an example of a prominent commercial property deal. Nashville has numerous property options with a booming real estate market that is changing the city’s famous skyline.

A more subtle investment strategy involves looking for inconspicuous properties that offer a great return on investment. Some investors look for properties that were affected by the recession and attached to loans that will come due in the future. A more passive strategy involves investing in real estate investment trusts that own a pool of income-producing properties, and REITs have the added benefit of being publicly traded.

Working an experienced attorney can benefit lottery winners as well as those looking to invest more modest funds. While all investment comes with risk, commercial development offers more calculated risks than many other types of investment. A lawyer can assist in the process of drafting documents, securing commercial property, ensuring that the client’s interests are protected and dealing with any disputes that arise in the transaction.