Retail Property
$1,900,000
$947,953
$947,953
The property
A single-tenant retail building with a large paved parking area, site lighting, walk-in coolers, security and speaker systems, storm drainage, fencing, and other retail-specific improvements.
The study
Our team completed an engineering-based cost segregation study supported by a site inspection. The review identified qualifying shorter-life components such as retail equipment connections, security and speaker systems, specialty electrical and plumbing, parking and concrete improvements, site lighting, drainage, fencing, and landscaping.
The result
Approximately $948,000 of the depreciable basis was moved into 5- and 15-year recovery periods. The large amount of site improvements produced a particularly strong accelerated depreciation result, with 100% bonus depreciation available on the shorter-life assets.