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Cost segregation allows property owners to defer income taxes and increase cash flow.

We help property owners accelerate tax depreciation, free up capital, and stay audit-ready by delivering an engineering-based study in a timely manner, backed by deep technical advisory and judgment, not just software output.

We work nationwide on nearly every property type, with a depreciable basis ranging from under a million to over a billion dollars. Our clients range from REITs and large real estate companies to operating businesses.

Module 02 · Financial Benefits

The Financial Benefits

A cost segregation study reclassifies parts of a property into shorter depreciation lives, so more of the basis is deductible now rather than over 27.5 or 39 years.

01

Accelerated tax deductions

Reclassify portions of 27.5- or 39-year property into 5-, 7-, and 15-year components.

02

Front-loaded cash flow

With 100% bonus depreciation back, most eligible property can be fully deducted in year one.

03

Capital that can be redeployed

Defer tax, reinvest the savings, and improve the after-tax return on the asset.

Module 04 · Definition

What Cost Segregation Is

Cost segregation is an engineering-based analysis that breaks a building's purchase or construction cost into components and assigns each the appropriate tax depreciation life under IRS regulations, guidance, and case law. Instead of depreciating the entire building over 27.5 or 39 years, the components that qualify for 5-, 7-, or 15-year treatment are depreciated over a much shorter period.

  • Engineering-based component analysis and cost allocation across asset classes.
  • Reclassification into 5-, 7-, 15-, and real-property lives with supporting basis.
  • Bonus-depreciation treatment for eligible components under current law.
  • A documented, audit-ready report for use on tax returns.
  • Coordination with energy and other tax incentives.
Illustrative reclassification
5-year — personal property14%
7-year — personal property4%
15-year — land improvements9%
27.5 / 39-year — real property73%

Diagram placeholder — percentages shown are illustrative and would be replaced with a representative Bracket example or a generic split approved by the team.

Module 05 · Process

This is the Bracket Process

Select a step to see what happens at each stage of an engagement.

Module 06 · Associated Benefit

Cost Segregation Benefits by Property Type

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1 · Select a property type
2 · Set the acquisition or construction cost (excluding land value)
$10,000,000 Depreciable basis
$500K$5M$50M$500M
15–35%
Asset Reclassification
Personal property & land improvements
$2.5M
Year 1 Accelerated Tax Deduction
 
$1.0M
Year One Cash Tax Savings
 
$600K
Present Value Savings
 

For illustrative purposes only. Actual reclassification and results depend on specific property characteristics. Figures scale proportionally from a $10 million illustration.

Request a Benefit Estimate
Benefits by property type
Based on $10 million of acquisition or construction cost (excluding land value)
Click any column heading to sort
Property Type Asset Reclassification
Personal property & land improvements
Year 1 Accelerated
Tax Deduction
Year One Cash
Tax Savings
Present Value
Savings

For illustrative purposes only. Actual reclassification and results depend on specific property characteristics.

Request a Benefit Estimate

Apartment / Multifamily

Based on $10 million of acquisition or construction cost (excluding land value)
15–35%
Asset Reclassification
Personal property & land improvements
$2.5M
Year 1 Accelerated Tax Deduction
 
$1.0M
Year One Cash Tax Savings
 
$600K
Present Value Savings
 

For illustrative purposes only. Actual reclassification and results depend on specific property characteristics.

Module 07 · Deliverables

Deliverables & Outcomes

Here is what you get.

Report

An executive-ready narrative of findings, methodology, property description, tax considerations, certification, photos, classification schedules, and recommendations.

Fixed asset ledger

Detailed and summary Excel schedules of the components by asset life.

Accounting method change documents

Prepared for filing where a look-back study applies.

Confirmation of tax savings

Confirmation of tax savings as a result of the study.

Consultation and implementation assistance

Support for the property owner and their CPA or tax advisor in putting the results to work.

Module 08 · FAQs

Frequently Asked Questions

Ready to see the numbers?

Share a few high-level property details and we'll come back with a benefit estimate and a fixed-fee quote before anything is committed.

Request a Benefit Estimate

Have a question first?

We're happy to talk through whether a study makes sense for a specific property or portfolio.

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About Our Firm

Why Choose Us

Offering a unique blend of tax incentive & advisory services

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Who We Serve

Serving property & business owners, investors, developers, and nonprofits

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Our Process

Delivering custom tailored solutions

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Our Experts

Over 50 years of combined experience

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