Optech agreed to loan him 90% of the value of the FRNs on a non-recourse basis.

FORBES: Sometimes You Should Just Pay The Tax

Repair Section 469 by applying its limitations to non-recourse interest losses only and exempt economic losses to cost basis, and then watch the real estate market turn around fast.

FORBES: Bring Back Housing By Bringing Back Tax Shelters

Going into 1986, there were tax shelter abuses, mostly from the use of non-recourse debt, and investors writing off much more than their cost basis.

FORBES: Bring Back Housing By Bringing Back Tax Shelters