How to Transfer Real Property From a Corporation to a Limited Liability
Business entities such as corporations and limited liability companies (LLCs) may carry out acts as if they were individuals. Businesses can sue and be sued, enter into contracts and transfer title to property. In corporations, the board of directors is like the "brain" which decides courses of action for the business. LLCs act through members of the business. Like persons, businesses transfer title to real property by executing a written deed. In addition to being written, the deed must be delivered and accepted in order to be valid.
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Instructions
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Hold a meeting of the board of directors for the purpose of deciding whether you want to transfer title to some real property owned by the corporation to a limited liability company. Corporations can only act through a board of directors; the board must ratify each action of the corporation. Keep meeting minutes as a record of the events of this meeting.
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Visit the land records office in the county where the property is located. Obtain a blank deed form. Common deed forms are quitclaim deeds or warranty deeds. If this is a business transaction, typically a warranty deed is used.
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Fill out the deed form. Write the name of the corporation on the "Grantor" line. Write the name of the LLC on the "Grantee" line. Write the amount given for the transfer on the line provided for the "consideration" of the transfer. Write the legal description of the property in the space provided on the deed. An officer or director of the corporation must sign the deed on behalf of the corporation.
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Deliver the deed to one of the members of the LLC. To make the transfer valid and final, the LLC must accept the deed from the corporation.
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