Office Building
$700,000
$248,100
$248,100
The property
A two-story office building with brick exterior walls, office and exam-room cabinetry, multiple floor finishes, a basement, paved parking, sidewalks, curbs, landscaping, and a trash enclosure.
The study
Our engineering team reviewed the building systems and site improvements and completed a physical inspection. The analysis identified shorter-life assets such as cabinetry, selected floor coverings, dedicated electrical and plumbing connections, parking areas, sidewalks, landscaping, and storm drainage components.
The result
Approximately $248,000 was reclassified from 39-year building property into 5- and 15-year recovery periods. Because the shorter-life assets were eligible for 100% bonus depreciation, the study created a meaningful first-year deduction for the property owner.