A few other things I just recalled too. When you gifted the property, you also gifted your original cost basis, *AND* all of your carry over losses. So you gave away much more than you may be aware of.
Overall, you might have been better off to let the county condemn the property and then sell it for whatever you could get for it. Then your loss on the sale of business property along with your carry over losses would have been deductible from your other ordinary income. Now you don't have that.
