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You can certainly take $25K of the profit and buy a parking space, but I expect you're gonna pay taxes on all $50K. A 1031 exchange normally requires that you exchange property for like property, and moreover the property has to be in productive use in a business. So you could acquire another rental condo or a small apartment building in an exchange. Unless you're planning on erecting a tent in the parking space and renting it out as low cost housing, I don't think this will fly as a 1031 exchange.


All domestic rental real estate is considered like kin(land. warehouse, residential real estate) so I understand a parking space if used for rental would qualify. As always, if the exchanged properties are diverted from productive or rental use to personal use, it could invalidate the 1031 exchange.
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