|
Property Owners
|
If you own commercial or residential rental property and pay taxes you can likely benefit from a cost segregation study. Cost segregation is an effective strategy for almost all property types and sizes.
There are many times during the life of a property when cost segregation can add value. Basically, if you have bought, built, or made significant capital improvements to a building within the last 10 to 12 years, chances are you could benefit from a study. To learn more, visit our Applications section or click the specific links below.
• New Construction
• Already in Service
• Acquisitions
• Redevelopment
• Leasehold Improvements
Historically, cost segregation has been used predominately on large facilities with depreciable costs in the millions. This was mainly due to a lack of understanding in the marketplace and the fact that fees where extremely high. Today, real estate owners are much more familiar with cost segregation and the fees for this service have come down so dramatically; to the point where this powerful tool can now be used on almost any building. Depending on the property type it may make sense to conduct a study on a building with a depreciable cost basis as low as $750,000.
The benefits generated by a cost segregation study can vary greatly depending on the type of property. To get a better understanding of the range of benefits visit our Project Profiles section. This portion of our Website will provide a general idea of the average allocations by property type as well as specific examples from actual projects we have completed.
While many of our clients are introduced to us by their CPA / Tax Advisor, more and more are taking the initiative to come to us directly. This is in large part because their advisor has not been proactive in talking to them about the benefits associated with cost segregation. If your CPA / Tax advisor has not talked to you about cost segregation, you should ask them why. Many do not fully understand cost segregation and may not be aware of the opportunity. Regardless, we are happy to help you and/or your advisor better understand this valuable tool.