Cost Segregation

Save Money Through Commercial and Retail Properties

Welcome.
Cost segregation services can provide returns on investment on the low end of 15:1 all the way up to 100's:1. Cost segregation is a cash flow improvement strategy that accelerates depreciation deductions to reduce or eliminate Federal and State income taxes.

Cost segregation has become an increasingly valuable but not commonly understood tax strategy that should be considered by virtually every taxpayer who owns, constructs, renovates, or acquires real estate.

Cost segregation studies are an engineering-based approach to identifying assets within a building that can be reclassified into a much shorter depreciation class than the building itself. Real estate properties, and everything in them except movable furniture and equipment, are generally depreciated using a straight-line method over 39 years (27.5 years for residential rental property).

Investment Options

The cost segregation study maximizes the inherent tax benefit of real estate by identifying, quantifying, and segregating the personal property and land improvement components of the property, resulting in depreciable lives of 5, 7, and 15 years using accelerated depreciation.

The tax benefits can be applied to almost all commercial property types, including:

  • Apartments
  • Assisted Living Facilities
  • Auto Dealerships
  • Office Buildings
  • Hi-Tech Facilities
  • Hotels/Motels/Resorts
  • Manufacturing Facilities
  • Medical Buildings
  • Restaurants
  • Shopping Centers
  • Warehouses