What You Need

If you are considering or have already decided to turn your real estate asset into charitable funds that you can direct, here are some key considerations:

Is the property marketable ?

In order to achieve your charitable objectives, The Real Estate Trust will be selling the property as soon as possible to create a donor directed fund, fund a charitable remainder trust, establish a designated or field of interest fund, or create or add to an unrestricted fund at Silicon Valley Community Foundation.

Has there been a professional appraisal of the property within the last six months?

The IRS requires an appraisal to substantiate the value you will claim as a charitable deduction. The Real Estate Trust requires that the appraisal be done by an appraiser who holds MAI membership (conferred on those who are experienced in the valuation of commercial, industrial, residential and other types of properties). It is the donor’s responsibility to procure and pay for the appraisal.

Are there any unknown contaminates?

Certain real estate gifts may require a preliminary environmental review. Environmental review costs are the responsibility of the donor.

Is there debt on the property?

Generally, the donated property should be free of debts, liens, mortgages and other encumbrances. Sometimes debt can be discharged during then sale of the property. The Real Estate Trust reviews each prospective donation on a case by case basis.

What about transactional costs?

The costs associated with the donation, management, and sale of the property are borne by the charitable fund created at Silicon Valley Community Foundation by the Real Estate Trust with the sale proceeds. Examples would include brokers’ fees, title insurance, inspection costs, property taxes, upkeep, and maintenance.

Documents

The following documents are needed to submit to the Gift Acceptance Committee to determine if the Real Estate Trust can accept your property:

• A copy of an MAI Appraisal
• A copy of current Deed and Legal Description of the property
• A copy of Property Leases (if applicable)
• A copy of the Property Tax Bill
• A copy of the signed Donor Statement
• A copy of Property Insurance Policy
• A copy(ies) of CC&R and Association Agreements (if applicable)
• A copy of the Landowner Liability Insurance
• A copy of the Preliminary Title Report