Cost Segregation Study

Cost Segregation Study case studies show actual savings realized by O’Connor clients

O’Connor has performed thousands of IRS cost segregation studies on commercial property assets nationwide and abroad. Following are representative cost segregation studies of various asset types, with typical results.

Bonus Depreciation Calculator

Estimated Savings

Free Analysis & Price Quote

Calculate Your Federal Income Tax Savings Bonus Depreciation Calculator

Use our Bonus Depreciation Calculator to Determine Your First Year Federal Income Tax Savings

Search Your Property

Property Type

Purchase Price / Cost

Property Address

Property Type

Apartment Building

Building Price

632,626

Tax Rate Assumption

37.0%

Savings With Bonus Depreciation

Year 1 Tax Savings

$ 50,723

Year 1 ROI

5,124%

Savings Standard Cost Segregation

Year 1 Tax Savings

$ 4,194

5 Year Tax Savings

$ 28,121

Benefit vs Cost Ratio 1 Year

1 : 1

Benefit vs Cost Ratio 5 Year

9 : 1

Your calculator savings are based on data from over 20,000 cost segregation studies. Take the next step and have one of our cost segregation experts prepare an analysis customized to your property, with the cost for your property.

Complete the form below and O'Connor will do a no-cost, no obligation price quote and preliminary analysis on your property and send it to you within one business day by email.

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The calculator savings are based on over 20,000 cost segregation studies. The next step it to have one of our cost segregation experts prepare an analysis customized to your property, with a cost for your property.

In the meantime, if you have any questions or comments, you can call us at 832-969-2540.

Case #1 Garden Apartment

A typical garden apartment asset in a major Texas metropolitan area, constructed in the early 1980’s, with 225 units and surface parking. Improvement basis for the asset is $8,250,000. The study included two years of catch-up depreciation.

Year of Purchase	Year of Study	1st Year Additional Depreciation	1st Year Tax Savings	Initial 5 Years
2013	2015	$1,536,853	$608,594	$774,974

Case #2 Hospitality

A typical hospitality asset in a major Arizona metropolitan area, constructed in the mid 2000’s, with 90 rooms and surface parking. Improvement basis for this asset is $6,800,000.

Year of Purchase	Year of Study	1st Year Additional Depreciation	1st Year Tax Savings	Initial 5 Years
2015	2015	$386,824	$153,182	$719,294

Case #3 Office Building

A typical low-rise office building in a major Massachusetts metropolitan area, constructed in the mid 1980’s, with a total building area of 98,000 square feet. Improvement basis for this asset is $1,600,000.

Year of Purchase	Year of Study	1st Year Additional Depreciation	1st Year Tax Savings	Initial 5 Years
2016	2016	$51,442	$20,371	$109,934

Case #4 Industrial / Office Warehouse

A typical industrial /office warehouse facility in Colorado, constructed in the mid 1980’s, with a total building area of 30,000 square feet. Improvement basis for this asset is $2,500,000.

Year of Purchase	Year of Study	1st Year Additional Depreciation	1st Year Tax Savings	Initial 5 Years
2016	2016	$86,856	$34,395	$189,746

Case #5 Shopping Center

A typical neighborhood shopping center in North Carolina, constructed in the late 1980’s, with a total building area of 100,000 square feet. Improvement basis for this asset is $19,000,000. Note that this was a fourth quarter purchase, so the mid-quarter depreciation methodology was utilized.

Year of Purchase	Year of Study	1st Year Additional Depreciation	1st Year Tax Savings	Initial 5 Years
2015	2015	$242,326	$95,961	$1,651,836