Many people set. In This Issue. The Perils of Joint Bank Accounts. January A publication of the Bill Gladstone Group of NAI CIR

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January 2017 The Perils of Joint Bank Accounts By Timothy A.

assist with daily financial chores. Other times, joint bank accounts are used as a rudimentary form of estate planning - to provide for the automatic ownership of the funds by the surviving owner.

Before creating a joint bank account, one should be aware of some of the potential consequences of that decision.

There is little paperwork to set up the joint account, and it is very easy for everyone to get money out.

In This Issue 1, 3-4 Featured Article 2 New Listings 2-7 Featured Listings 6 Bill Gladstone Group Welcomes New Member 7 Featured Deal 8 Featured Land Listings Bill Gladstone, CCIM, SIOR (717)

" The Other Joint Account Holder Will Have Unrestricted Access to the Funds Typically, either party to a joint bank account has the right to make unlimited withdrawals, regardless of who deposited

1 January 2017 The Perils of Joint Bank Accounts By Timothy A. Hoy, Mette, Evans & Woodside Many people set up joint bank accounts with a friend or child for "convenience," so that the other person on the account can easily write checks, pay bills, and otherwise assist with daily financial chores. Other times, joint bank accounts are used as a rudimentary form of estate planning - to provide for the automatic ownership of the funds by the surviving owner. However, there are several risks involved when adding another person to a bank account for "convenience" or "just in case" purposes. Before creating a joint bank account, one should be aware of some of the potential consequences of that decision. The real benefit to establishing a joint bank account is that it is a simple and easy way to make sure that someone else will be able to access your funds. There is little paperwork to set up the joint account, and it is very easy for everyone to get money out. While sometimes this situation will work out perfectly fine for the original account holder, often there are several problems that will arise. In This Issue 1, 3-4 Featured Article 2 New Listings 2-7 Featured Listings 6 Bill Gladstone Group Welcomes New Member 7 Featured Deal 8 Featured Land Listings Bill Gladstone, CCIM, SIOR (717) ext. 120 wgladstone@naicir.com "The real benefit to establishing a joint bank account it that it is a simple and easy way to make sure that someone else will be able to access your funds." The Other Joint Account Holder Will Have Unrestricted Access to the Funds Typically, either party to a joint bank account has the right to make unlimited withdrawals, regardless of who deposited the money. Each joint owner will be able to withdraw money from the account freely, without the other owner's permission. Bill Gladstone Group of NAI CIR Turning keys in commercial real estate for over 29 years. Some people unfortunately take advantage of the easy access to money in a joint account. In some cases, joint owners who were supposed to be managing an older relative's money have improperly used the money for their own benefit. With a joint bank account, the once trustworthy niece faced with financial difficulties can now invade her aunt's savings without knowledge or (Continued on page 3) A publication of the Bill Gladstone Group of NAI CIR

New Listings 34,500 SF NEW Office Sale - 800 W.

2,370 SF NEW Office Sale - 56 Erford Road, Camp Hill Single-story, brick office/medical space on a corner parcel Very clean and well-maintained Functional floorplan

conveniently located near many Hershey attractions and major thoroughfares Tall ceilings and open floorplan allow for many types of uses Over 100 parking spaces

Large, functional warehouse available with quick access to major local highways Property features some office area (with a kitchen/break room, conference room and

152 Lease - 151 Allendale Road, Mechanicsburg Functional warehouse space with 1,000 SF being office Easily accessible from US Route 15, PA Route 581 and I-81

2 New Listings 34,500 SF NEW Office Sale W. Hersheypark Drive, Hershey Two-story, professional brick office building located next to the Giant Arena at Hersheypark Well-maintained building with large lot 2,370 SF NEW Office Sale - 56 Erford Road, Camp Hill Single-story, brick office/medical space on a corner parcel Very clean and well-maintained Functional floorplan and on-site parking make this property welldesigned for a variety of users Industrial Listings 4,800 SF Lease - 26 Northeast Drive, Hershey Large, open flex space conveniently located near many Hershey attractions and major thoroughfares Tall ceilings and open floorplan allow for many types of uses Over 100 parking spaces total; 35+/- in common with all tenants in this building Submit Your Article 24,000 SF Sale S. 13th Street, Harrisburg - Price reduced! Large, functional warehouse available with quick access to major local highways Property features some office area (with a kitchen/break room, conference room and storage), a counter/showroom area and large warehouse spaces The 1.82+/- acres sits on a corner and is partially fenced Share your expertise and be published in Bill Gladstone Group of NAI CIR's magazine or newsletter publication. Give your company exposure to over 4,000+ business professionals. Submit article topics to: Chuck Bender, cbender@naicir.com (717) , ext. 152 Lease Allendale Road, Mechanicsburg Functional warehouse space with 1,000 SF being office Easily accessible from US Route 15, PA Route 581 and I-81 Including six docks: 8' x 8' 70,710 SF 2 Information concerning these offerings comes from sources deemed reliable, but no warranty is made as to the accuracy thereof, and they are submitted subject to errors, omissions, change of price or other conditions, prior sale or lease, or withdrawal without notice. All sizes approximate. NAI CIR, 1015 Mumma Road, Wormleysburg, PA PA License #RB024320A l

(Featured article...continued from page 1) consent.

Commercial Listings The Money Could Get Caught in the Middle of the Other Joint Owner's Legal Problems A joint bank account may be vulnerable to legal attacks by creditors of either joint owner.

Even if the joint owner who deposited all of the money could prove that he contributed all of the funds to the account, he might have to go to court to stop the other owner's spouse from getting the

Another possible scenario is that an adult child, whom has been added by his parent to a joint account, is sued by a creditor, or gets involved in a serious automobile accident and is sued for more

3 (Featured article...continued from page 1) consent. While it is possible to take legal action under these circumstances, it is often very difficult, expensive, and timeconsuming to attempt to get the money back. Commercial Listings The Money Could Get Caught in the Middle of the Other Joint Owner's Legal Problems A joint bank account may be vulnerable to legal attacks by creditors of either joint owner. For instance, if a joint bank account owner goes through a divorce, his spouse could claim a right to some of the funds in the account. Even if the joint owner who deposited all of the money could prove that he contributed all of the funds to the account, he might have to go to court to stop the other owner's spouse from getting the money. Another possible scenario is that an adult child, whom has been added by his parent to a joint account, is sued by a creditor, or gets involved in a serious automobile accident and is sued for more than the policy limits of his insurance. If a judgment is entered, the judgment creditor has the right to ask the child, under oath, about all of his assets and the location of any bank accounts in which he has an interest. The parent may not have notice of the 2,854 SF Sale - 5 N. Market Street, Duncannon Prime retail/commercial space in the Borough of Duncannon Former PNC bank boasts a notable exterior facade and a clean, functional interior "Another possible scenario is that an adult child, whom has been added by his parent to a joint account, is sued by a creditor, or gets involved in a serious automobile accident and is sued for more than the policy limits of his insurance." 1,748 SF Lease Derry Street, Harrisburg Freestanding, corner commercial or retail shop available Great visibility and good access Includes a showroom/reception area, large shop/working area, storage/parts room and two restrooms looming disaster until the joint account is garnished. At that time, the account could be frozen, and the money could be turned over to the creditor, unless the parent were to appear in court and succeed in having the garnishment set aside. In the meantime, outstanding checks may bounce, credit may be affected and legal fees will be incurred - without a clear path to a successful outcome. Other Considerations There are other pitfalls that are associated with joint bank accounts. For example, the estate may have to pay an inheritance tax on the funds in the account to which someone else's name was added, even though it was assumed the account would automatically pass to the joint account owner outside the estate probate process. Pennsylvania imposes an inheritance tax on (Continued on page 4) 7,395 SF Lease Market Street, Harrisburg First floor space available in the Harrisburg Transportation Center in Downtown Harrisburg Within walking distance to all the downtown restaurants, amenities, and Riverfront Park 3

(Featured (Featured article...continued article...continued from from page page 3) 3) jointly held property upon a joint tenant's death.

deceased child. This result can seem unjust and may be an unintended consequence of hasty planning. Another consideration that is not as common, but should be considered, is the impact on Medicaid.

The penalties for divestment include, among other potential items, disqualification from receiving benefits and a disqualified person may have to sell property which is otherwise exempt to pay

However, unforeseen developments can make this a very expensive substitute for a proper estate plan.

There are better and safer ways to make sure that one's heirs receive deposited funds after death.

4 (Featured (Featured article...continued article...continued from from page page 3) 3) jointly held property upon a joint tenant's death. For example, if a parent contributes 100% of the funds in an account held jointly with a child and survives the child, one-half of the proceeds held in the account will be deemed taxable to the deceased child. This result can seem unjust and may be an unintended consequence of hasty planning. Another consideration that is not as common, but should be considered, is the impact on Medicaid. Transferring property into joint ownership with other people can be considered divestment under the Medicaid regulations. The penalties for divestment include, among other potential items, disqualification from receiving benefits and a disqualified person may have to sell property which is otherwise exempt to pay nursing home expenses. Conclusion Jointly held property ownership can be a very effective and inexpensive way to transfer property at death, if everything goes according to plan. However, unforeseen developments can make this a very expensive substitute for a proper estate plan. If one is thinking about adding someone to a bank account for convenience or estate planning purposes, the risks and benefits should be weighed carefully. There are better and safer ways to make sure that one's heirs receive deposited funds after death. Alternatives, such as pay-on-death accounts, durable powers of attorney and the benefits of implementing a comprehensive estate plan, should be discussed with an attorney. Commercial Listings 13,300 SF Sale Linglestown Road, Harrisburg This property has it all - over 13,000 SF including offices, open areas, flex space, and warehouse area Situated on a corner at a signalized intersection There are many options available for the next user About the Author: Timothy A. Hoy is an Attorney at Mette, Evans & Woodside, in Harrisburg, PA. Tim focuses his law practice on assisting businesses and financial institutions. He has acted as counsel to financial institutions, providing advice on regulatory matters, mergers and acquisitions, Securities and Exchange Commission filings, loan documentation, creditors' rights and payments issues. He also counsels other types of businesses on asset acquisitions, financing transactions, employment issues, contracts and litigation. You can reach him at (717) or tahoy@mette.com. Visit for more information. 2,000 SF Lease Linglestown Road, Harrisburg Great location at PA Route 39 & I-81 Interchange The Exit 77 Travel Plaza is a tobacco shop with light refreshments (some restrictions due to adjacent Subway), and gas and diesel operation as well This area is a premier industrial and commuter rest and convenience area for the I-81 traffic just 10 miles east of Harrisburg Office Listings 3,000-4,403 SF Lease - 24 Northeast Drive, Hershey Functional, single-story office building in prominent Hershey location Perimeter window line can be expanded to suite tenant's specs 35+/- Parking spaces in common with all tenants in building, and over 100 parking spaces available 15,098 SF Sale S. Cameron Street, Harrisburg - Price reduced! Office property with adjoining warehouse and two additional storage garages on-site The office space and storage garages will be vacated by the current occupant; the main warehouse is leased by a strong credit tenant until September 30, 2020 (right to terminate after 3 years) 4 Information concerning these offerings comes from sources deemed reliable, but no warranty is made as to the accuracy thereof, and they are submitted subject to errors, omissions, change of price or other conditions, prior sale or lease, or withdrawal without notice. All sizes approximate. NAI CIR, 1015 Mumma Road, Wormleysburg, PA PA License #RB024320A l

Office Listings 2,000 SF Lease - 1335 N. Front Street, Harrisburg - New Lower Price!

available in a lot on the next block for first floor tenant Grand windows overlook beautiful Susquehanna River in Downtown

Third Street, Harrisburg Remodeled office space in prime Central Business District Historic building faces the Capitol

away and parking is a block in every direction Additional 4,642 SF available for sublease 3,224 SF Sale - 4405 N.

Attractive curb appeal Great access to I-81 and Routes 11/15 and various amenities such as restaurants and hotels close-by

Trindle Road, Unit 101, Mechanicsburg First floor brick condominium available for sale The space features a large, open

access to Routes 581 and 15 Price reduced Connect With @GladstoneGroup Today! 1,000-3,218 SF Lease - 1779 W.

5 Office Listings 2,000 SF Lease N. Front Street, Harrisburg - New Lower Price! Functional first floor office space includes four offices, a work room, reception area, kitchen, and two restrooms Parking available in a lot on the next block for first floor tenant Grand windows overlook beautiful Susquehanna River in Downtown Harrisburg Conveniently located minutes from I-81 and I ,000 SF Lease N. Third Street, Harrisburg Remodeled office space in prime Central Business District Historic building faces the Capitol Complex with the largest expanse of glass window lines in privately owned building Downtown amenities are just a few steps away and parking is a block in every direction Additional 4,642 SF available for sublease 3,224 SF Sale N. Front Street, Harrisburg Nice office building along the Susquehanna River with beautiful views 20+ Parking spaces available Attractive curb appeal Great access to I-81 and Routes 11/15 and various amenities such as restaurants and hotels close-by 3,723 SF Sale E. Trindle Road, Unit 101, Mechanicsburg First floor brick condominium available for sale The space features a large, open floorplan which allows for a multiple number of uses Ideal location along rapidly growing Trindle Road and allows for quick access to Routes 581 and 15 Price reduced Connect Today! 1,000-3,218 SF Lease W. Trindle Road, Building 200, Carlisle Office/retail space along busy Trindle Road with great visibility Landlord will divide to suit tenant requirements Easy access to I-81 and the rapidly growing Carlisle area Located across from the Sheetz convenience store and adjacent to Target anchored Carlisle Crossing Shopping Center 5

Office Listings 150-1,207 SF Lease - 800 N. Third Street, Harrisburg - Price reduced!

On-site parking available and many other amenities are available to tenants The Bill Gladstone Group of NAI CIR Welcomes New Member to Team We d like to

She has a background in graphic design, marketing and finance attained through a local credit union where she started her career eight years ago.

Being raised in her grandmothers local small business, The Blossom Shop Florist, gave her an inside view of hard work and determination.

Progress Avenue, Harrisburg Prominent, two-story office building with Progress Avenue frontage is now offering medical/professional office space for

Third Street, Harrisburg 21,620 SF available (1,969-6,500 SF contiguous) in Class A office building Skywalk to Strawberry Square, Harrisburg Hilton and

systems for optimal energy efficiency 22,150 SF Sale - 3609 Derry Street, Harrisburg - Price reduced!

square feet 2,700-5,400 SF Lease - 4386 Sturbridge Drive, Harrisburg - Price reduced!

6 Office Listings 150-1,207 SF Lease N. Third Street, Harrisburg - Price reduced! Prominent downtown office building across from the State Museum One block from the Capitol Complex; perfect location for attorneys and associations On-site parking available and many other amenities are available to tenants The Bill Gladstone Group of NAI CIR Welcomes New Member to Team We d like to welcome Audi Kimmel, our new Marketing Assistant! She is responsible for our social media presence and assisting in the overall marketing operations. She has a background in graphic design, marketing and finance attained through a local credit union where she started her career eight years ago. She is an active member of her hometown community, Dillsburg, taking part in many activities throughout the year. Being raised in her grandmothers local small business, The Blossom Shop Florist, gave her an inside view of hard work and determination. This experience has played a key role in the person she is today. We are pleased to have her with us and welcome her to the team! 1,375 SF Lease N. Progress Avenue, Harrisburg Prominent, two-story office building with Progress Avenue frontage is now offering medical/professional office space for lease Lobby and common areas have recently been renovated 21,620 SF Lease - 30 N. Third Street, Harrisburg 21,620 SF available (1,969-6,500 SF contiguous) in Class A office building Skywalk to Strawberry Square, Harrisburg Hilton and connected parking garage directly across from the Capitol Complex This building is Energy Star Certified and utilizes the latest energy management systems for optimal energy efficiency 22,150 SF Sale Derry Street, Harrisburg - Price reduced! Two-story, red brick office building available The building has perimeter windows on both levels Parking ratio is approximately 5 vehicles per thousand square feet 2,700-5,400 SF Lease Sturbridge Drive, Harrisburg - Price reduced! Class A office space for medical or professional use Space in shell condition, ready to accept a build-out designed to suit tenant Located along Route 39 with access to amenities such as lodging, eateries, gas, banking and all major transportation corridors 6 Proposed Renovations Lease Park Drive, Harrisburg 2,043-4,421 SF available for lease in prestigious East Shore business location, Commerce Park Easy access to all major highways from I-81 Convenient to major retail, shopping and dining

Investment Listing Recent Transaction 43,510 SF Sale - 100 Chestnut Street, Harrisburg Great investment opportunity available Prominent downtown location in the Central Business District A short walk

leased LEASED - 479 Port View Drive, Harrisburg, PA Mazzitti & Sullivan EAP Services has leased 3,465 SF of office space located at 479 Port View Drive in Harrisburg.

7 Investment Listing Recent Transaction 43,510 SF Sale Chestnut Street, Harrisburg Great investment opportunity available Prominent downtown location in the Central Business District A short walk to nearby restaurants, Federal Building, State Capitol Complex, Strawberry Square, Pinnacle Hospital campus, hotels, and other attractions This is a multi-tenanted office building which is 100% leased LEASED Port View Drive, Harrisburg, PA Mazzitti & Sullivan EAP Services has leased 3,465 SF of office space located at 479 Port View Drive in Harrisburg. This will be an operation center for their employee assistance and corporate development programs, which will be run by Charles Mazzitti. The Bill Gladstone Group of NAI CIR handled the transaction. Location Acres Zoning Type Pending E. Trindle Road, Mechanicsburg, Cumberland County (Route 641) 1.0 Commercial Limited Sale Land Listings 370 W. Main Street, Leola, Lancaster County General Commercial Sale/Lease Allentown Boulevard and N. Hershey Road, Harrisburg, Dauphin County 1.35 (1 lot) Commercial Highway/Office Sale 7940 Grayson Road, Harrisburg (Rear Lot) 1.6 Limited Manufacturing District (ML) Sale Pending S. Sporting Hill Road, Mechanicsburg, Cumberland County 1.19 Apartment Office Limited (AOL) Sale I-81 and W. Trindle Road, Carlisle, Cumberland County 2.18 (2 parcels) Commercial Highway Sale Bent Creek Boulevard, Lot 2, Mechanicsburg, Cumberland County 2.02 Community Commercial Lease East Cumberland Street (Route 422), Lebanon, Lebanon County 2.2 Commercial Sale 7700 Derry Street, Harrisburg, Dauphin County 2.3 (lot 8) Commercial District General Sale/Lease 2600 Delta Road, Brogue, York County 2.5 General Commercial Sale/Lease Route 114 & Gettysburg Pike (NEC), Mechanicsburg, Cumberland County Highway Commercial District Sale Pending Chelton Avenue, Harrisburg, Dauphin County 3.75 Zoned for business use Sale/Lease W. Trindle Road, Mechanicsburg, Cumberland County 4.13 Highway Commercial Sale 700 S. Baltimore Street, Dillsburg, York County Agricultural - Conservation (AC) Sale Route 114 & Gettysburg Pike (NWC), Mechanicsburg, Cumberland County 7.12 Highway Commercial District Sale Lancer Street Extended, Harrisburg, Dauphin County 7.52 Medium Density Residential (R-2) Sale Route 441 and Orchard Drive, Harrisburg, Dauphin County 8.34 Single Family Residential District Sale 730 Limekiln Road, New Cumberland, York County 8.64 Commercial Business Sale Eisenhower Blvd & Highspire Road, Harrisburg, Dauphin County 10 Commercial District General Sale 7700 Derry Street, Harrisburg, Dauphin County (Lot 6 Pending) (lots 4-8) Commercial District General Sale Route 75 & William Penn Highway, Mifflintown, Juniata County 11 Industrial Commercial Sale/Lease Carlisle Pike (Route 11) Waterford Square, Mechanicsburg, Cumberland County (13 lots) Community Commercial (C2) Sale Price Reduced - Allentown Boulevard, Harrisburg, Dauphin County 17+ Commercial Highway (CH) Sale 3050 Heidlersburg Road, York Springs, York County Highway Commercial Sale/Lease l Information concerning these offerings comes from sources deemed reliable, but no warranty is made as to the accuracy thereof, and they are submitted subject to errors, omissions, change of price or other conditions, prior sale or lease, or withdrawal without notice. All sizes approximate. NAI CIR, 1015 Mumma Road, Wormleysburg, PA PA License #RB024320A 7

PRESORTED STANDARD U.S. POSTAGE PAID Harrisburg, PA Permit No.

billgladstone.com to view listings not included in this issue. 2.

2 Acres available at Route 422 and Narrows Drive intersection Stormwater management

Express hotel adjacent Price reduced 4.13 Acres Sale - W.

8 PRESORTED STANDARD U.S. POSTAGE PAID Harrisburg, PA Permit No. 783 BILL GLADSTONE, CCIM, SIOR NAI CIR PO Box 8910 Camp Hill, PA Commercial Agent/Agency Check Out Our Featured Land Listings Visit to view listings not included in this issue. 2.2 Acres Sale - East Cumberland Street (Route 422), Lebanon 2.2 Acres available at Route 422 and Narrows Drive intersection Stormwater management plan and driveway permits approved by Township Level topography; Holiday Inn Express hotel adjacent Price reduced 4.13 Acres Sale - W. Trindle Road, Mechanicsburg Approximately 4 acres available for sale next to Mechanicsburg Mystery Book Shop This level parcel is one of the few vacant tracts in the Township zoned Highway Commercial Many opportunities are available

During the last cycle,

October 2016 Breaking Down Defeasance CMBS borrowers should understand the prepayment process. By Thomas Welch and John Poole During the last cycle, commercial mortgage backed securities lending gained