1304002 Informal Interpretation  Michael Verne  There is a two-
pronged test for the 802.5 exemption: 1. The property must be
currently rented or currently held for rent but not rented; and
2. The acquiring person must intend to rent the property to an
entity not within its person who will operate it (otherwise it
would not be an ordinary course investment) So if the seller
currently rents the property to a third party who operates it
and the buyer intends to continue to rent the property to an
entity it does not control (even the current renter), the
exemption applies. If the seller currently owns the property and
operates it itself, the exemption does not apply, even if the
buyer intends to rent it to a third party operator. The
exemption also does not apply if the seller currently leases the
property from a third party and operates it and is selling the
lease to a buyer who will sublease (?) it to another entity to
operate it. If, however, the buyer is acquiring the property
from the current owner who is le