What Types of Properties are Eligible for a Cost Segregation Analysis?
- New Construction
- Purchased Existing Property
- Renovations or Expansions
- Leasehold Improvements
- Existing Property Placed in Service after 1986
- Real Property “Stepped-Up” Through Estate
What Items Can Be Segregated?
Non-structural items, including specialty lighting, interior decorating, exterior landscaping, and even the labor costs associated with the installation of these items can be reclassified for accelerated depreciation. By segregating these building costs, property owners can realize a faster return on their capital investments.
Some industries have recommendations for the categorization and lives of various assets such as:
- Biotech & pharmaceutical
- Auto dealerships
- Auto manufacturing
At PMBA, we understand your industry and we know what it takes to provide industry-specific guidance.