most people think of land when they think of conservation donations. but developed real estate—homes, commercial buildings, industrial properties—can be equally valuable gifts. and for property owners, donating real estate often makes more financial sense than selling.
the bottom line: you can donate any type of real estate to a qualified conservation organization. you receive a tax deduction for fair market value, avoid capital gains taxes, and your gift funds conservation work—even if the property itself isn't "natural."
why donate real estate instead of selling
the math often favors donation:
scenario: $800,000 commercial property (original cost $300,000)
| if you sell | if you donate |
|---|---|
| sale price: $800,000 | no sale |
| capital gains: $500,000 | no capital gains |
| taxes owed: ~$100,000 | taxes owed: $0 |
| net cash: ~$700,000 | charitable deduction: $800,000 |
| tax savings: ~$300,000* |
*assumes 37% tax bracket
for someone in a high tax bracket, the donation can provide more financial benefit than selling—plus the satisfaction of supporting conservation.
what types of real estate can you donate
we accept a wider range of properties than traditional land trusts:
residential property
- single-family homes
- vacation properties and second homes
- condominiums and townhouses
- multi-family buildings
- mobile homes on owned land
commercial property
- office buildings
- retail spaces
- mixed-use developments
- hotels and hospitality
- self-storage facilities
industrial property
- warehouses and distribution centers
- manufacturing facilities
- flex space
- properties with environmental contamination (yes, really)
agricultural property
- farms with buildings
- ranches with improvements
- wineries and agricultural processing
- timberland with structures
other
- vacant land with development entitlements
- properties in any condition
- properties anywhere in the world
how we use donated real estate
unlike land donations that go directly into conservation, developed real estate requires a different approach:
strategic properties — some buildings can be converted to conservation use: field stations, education centers, community stewardship facilities.
restoration sites — developed properties on ecologically significant land may be demolished or adapted, with the site restored to natural function.
program funding — most developed real estate is sold, with proceeds funding conservation programs. this is often the most impactful use.
what matters: every donated property ultimately serves conservation. whether the building itself is used, adapted, or sold, your gift creates environmental outcomes.
the real estate donation process
step 1: initial conversation
tell us about your property: type, location, approximate value, any complications. we respond within 24 hours with initial feedback.
step 2: property assessment
we evaluate:
- fair market value (for your deduction)
- physical condition and any issues
- best use for conservation purposes
- timeline and logistics
step 3: structure your gift
outright donation — transfer full ownership for maximum deduction.
bargain sale — sell below market value, deduct the difference. useful if you need some cash.
life estate — donate a residence but continue living there. get the deduction now, we receive the property later.
bequest — include the property in your will for estate planning benefits.
step 4: due diligence
we conduct standard due diligence: title review, environmental assessment if needed, condition inspection. we handle costs for most donations.
step 5: closing
execute the deed transfer. we coordinate with your attorney and handle recording. most donations close in 30-60 days.
tax benefits for real estate donations
charitable deduction: fair market value of the property, deductible up to 30% of AGI with 5-year carryforward.
capital gains avoidance: no tax on appreciation, regardless of how long you've owned the property.
depreciation recapture: normally, selling depreciated real estate triggers "recapture" taxes. donation avoids this entirely.
1031 exchange alternative: if you were considering a 1031 exchange but can't find a suitable replacement property, donation may provide similar or better tax benefits.
complicated properties welcome
we specialize in properties other organizations won't touch:
environmental contamination — brownfields, former industrial sites, properties with known or suspected contamination. these often have significant restoration potential.
title issues — unclear ownership, liens, encroachments, boundary disputes. we have experience resolving complex title situations.
structural problems — deferred maintenance, code violations, properties in disrepair. condition doesn't affect our willingness to accept.
tenant complications — occupied properties, lease obligations, property management challenges. we can work with existing tenants or manage transitions.
estate situations — inherited properties, properties in probate, multi-owner situations. we work with executors, trustees, and families.
common questions
is my building too old or damaged?
no. we accept properties in any condition. damaged buildings on valuable land may be demolished for restoration; salvageable buildings may be renovated for conservation use.
what about tenants?
we can accept properties with existing leases. we'll either maintain tenant relationships or coordinate orderly transitions depending on the situation.
do I need to clean out the property?
generally no. we handle contents disposition as part of the donation. this can save you significant time and hassle.
how quickly can you close?
most donations close in 30-60 days. we can expedite for year-end tax planning or other time-sensitive situations.
what about my mortgage?
possible but requires planning. mortgage debt relief is treated as taxable income. we structure these gifts to minimize impact and maximize net benefit.
can I donate a property I've never seen?
yes—inherited properties, out-of-state holdings, international real estate. we handle the logistics.
ready to donate your real estate?
whether it's a downtown office building or a rural cabin, we can help you turn real estate into conservation impact.
related guides:
- how to donate property to conservation — the complete guide
- donate land to conservation — undeveloped land donations
- land donation tax benefits — deeper dive on tax advantages