Results from Cost Segregation Studies
The tables below show depreciation improvements due to Cost Segregation studies we’ve done. The amounts listed are not the total depreciation. They are the depreciation increase over 39-year straight line. In all cases, the total depreciation (the combination of the improvement and the 39-year) is a larger number. The results below are typical and owners of similar buildings can expect similar results. We can create a free estimate of expected cost segregation results for any building.
| Self Storage Facility, $9.2 M Basis | Doctor’s Office, $1.3 M Basis | |||
| Deprec Increase, Year 1 | $690,000 | Deprec Increase, Year 1 | $77,000 | |
| Tax Cut, Year 1 | $242,000 | Tax Cut, Year 1 | $26,000 | |
| Deprec Increase, Yrs 1-5 | $1,432,000 | Deprec Increase, Yrs 1-5 | $223,000 | |
| Tax Cut, Years 1-5 | $501,000 | Tax Cut, Years 1-5 | $78,000 | |
| Net Present Value | $459,000 | Net Present Value | $52,000 | |
| Office/Warehouse, $8.0 M Basis | Office Building, $5.7 M Basis | |||
| Deprec Increase, Year 1 | $197,000 | Deprec Increase, Year 1 | $889,000 | |
| Tax Cut, Year 1 | $65,000 | Tax Cut, Year 1 | $272,000 | |
| Deprec Increase, Yrs 1-5 | $930,000 | Deprec Increase, Yrs 1-5 | $1,364,000 | |
| Tax Cut, Years 1-5 | $364,000 | Tax Cut, Years 1-5 | $477,000 | |
| Net Present Value | $459,000 | Net Present Value | $536,000 | |
| Retail, Strip Center, $14.2 M Basis | Medical Building, $14.7 M Basis | |||
| Deprec Increase, Year 1 | $226,000 | Deprec Increase, Year 1 | $602,000 | |
| Tax Cut, Year 1 | $91,000 | Tax Cut,Year 1 | $199,000 | |
| Deprec Increase, Yrs 1-5 | $1,328,000 | Deprec Increase, Yrs 1-5 | $1,923,000 | |
| Tax Cut, Years 1-5 | $452,000 | Tax Cut, Years 1-5 | $634,000 | |
| Net Present Value | $450,000 | Net Present Value | $511,000 | |