> For large residential buildings in California, I’ve heard that apartment owners will essentially swap buildings for some kind of tax advantage. You might be

> For large residential buildings in California, I’ve heard that apartment owners will essentially swap buildings for some kind of tax advantage. You might be thinking of the federal-level 1031 exchange [1]. California’s particularly distortive Prop. 13-based market has led to a separate Prop. 60 tax base exchange mechanism that might also fit what you saw [2]. [1] https://www.investopedia.com/financial-edge/0110/10-things-to-know-about-1031-exchanges.aspx https://www.investopedia.com/financial-edge/0110/10-things-t... [2] https://www.bosinvest.com/blog/tax-planning/dreaming-of-downsizing-an-upside-property-tax-consideration/ https://www.bosinvest.com/blog/tax-planning/dreaming-of-down...