Barry E. Moore and Deborah E. Moore - Page 8




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          Because we find that petitioners held neither property for                  
          investment, we make no findings of fact relating to the                     
          sufficiency of petitioners’ attempt to satisfy the other                    
          requirements for a deferred like-kind exchange.5                            
               Petitioners’ Purchase and Use of the Properties                        
                    The Clark Hill Property                                           
               Petitioners’ decision to purchase the Clark Hill property              
          was motivated, in part, by their familiarity with the area, both            
          having grown up in the vicinity of Clark Hill Lake.  In addition,           
          both their families owned property on or near Clark Hill, and Mr.           
          Moore’s father advised them that property on Clark Hill Lake had            
          appreciated and would continue to appreciate.  Petitioners’                 
          decision to invest in real estate rather than in intangibles,               
          such as stocks or bonds, was influenced by a prior bad experience           
          with a financial adviser who had stolen their money.                        
               When in 1988 they purchased the Clark Hill property,                   
          petitioners’ primary residence was in Norcross, Georgia, an                 
          approximately 3-hour drive from the Clark Hill property.  In 1995           
          or 1996, petitioners changed their primary residence to Marietta,           
          Georgia.  The drive from the Marietta residence to the Clark Hill           
          property normally took between 5 and 6 hours.                               




               5  As a result, we need not rule on respondent’s objections            
          to various documents petitioners offered.                                   






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