We recently worked with a patriarch from a wealthy family who is a real estate developer and owns a diverse portfolio of properties, including a good class bungalow. With 32 children and grandchildren, he wanted to ensure a fair and equitable distribution of his assets among his beneficiaries, while also allowing them the freedom to pursue their own investment plans without facing high taxes for holding shares in multiple properties.
To address his concerns, we developed a comprehensive estate plan that enabled the patriarch to retain ownership of his real estate portfolio. The portfolio is now professionally managed, relieving the beneficiaries of any burdens or responsibilities. Additionally, we created funds specifically designated for the maintenance, upkeep, and potential rebuilding of the portfolio, ensuring a stable and growing yield on his assets.
The income generated from the portfolio is channeled into a “family bank,” which serves as a source of funds for various purposes, such as education for multiple generations of beneficiaries. This allows the beneficiaries to pursue their own investment property portfolios or upgrade and enhance their own homes without the worry of tax implications.
By implementing this estate plan, we were able to provide the patriarch with peace of mind, knowing that his real estate portfolio will be preserved for future generations, while also giving his beneficiaries the freedom to make their own financial decisions and secure their own financial futures.
