Tenancy In Common Emerges, Posing Challenges

In an age of special purpose entities, bankruptcy remote entities, check-the-box filings, and securitized real estate, there has been a re-emergence of property ownership by tenancies in common, a throwback to an earlier era. While tenancies in common certainly offer investors new opportunities, they also raise important issues for both owners and lenders that need to be considered.

This article discusses general principles, rights, tenancy in common agreements, tax structuring and regulatory issues.