Who Benefits
A cost segregation study can be performed on any commercial real estate property building that has been placed in service by a tax paying entity.
Great cost segregation opportunities include:
- New Construction and renovations
- Acquisitions
- Buildings that have been previously placed in service without a cost segregation study and are currently depreciating entirely over 27.5 or 39 years (known as “look back studies”)
- Clients with a large asset base that have numerous small assets (such as retailers)
Though not comprehensive, taxpayers with the following property types should consider participating in a cost segregation study:
- Airplane Hangars
- Ambulatory Care Facilities
- Amusement Parks
- Apartment Buildings
- Assisted Living Facilities
- Auto Dealerships
- Banks
- Bowling Centers
- Car Wash Facilities
- Casinos
- Cold Storage Facilities
- Commercial Buildings
- Convenient Stores
- Golf Courses and Country Clubs
- Day Care Centers
- Department Stores
- Dinner Theaters
- Distribution Facilities
- Drugstores
- Fast Food Restaurants
- Funeral Homes
- Health Clubs
- Grocery Stores
- Hi-Tech Facilities
- Hospitals
- Hotels
- Industrial Manufacturing Plants
- Leasehold Improvements
- Malls
- Manufacturing Facilities
- Medical Facilities
- Mobile Home Parks
- Movie Theaters
- Skilled Nursing Facilities
- Office Buildings
- Restaurants
- Retail Stores
- Shopping Centers
- Sports Facilities
- Warehouses