Accelerate Depreciation to
REDUCE Federal TAXES 

and improve cash flow on your
commercial buildings
using cost segregation

What is “Cost Segregation”?

  • "A better alternative."

    Cost Segregation is a way for real estate investors to rapidly accelerate the depreciation of their commercial building(s), rather that taking straight-line depreciation over a slow 27.5 or 39 years.

  • “Be a SAVVY investor!”

    It is a specific tax strategy used by savvy investors, that reclassifies building components which are eligible to be depreciated over a much shorter term - such as 5, 7, or 15 years - for faster results.

  • “Expert knowledge matters.”

    A very in-depth and thorough “study” is completed by a team of engineers, highly trained to identify specific building components eligible for accelerated depreciation, allowed by the complex IRS tax code.

  • “Make it easy for your CPA.”

    Upon completion of the analysis and site visit, a physical report is provided to the building owner, which can then be given to the designated CPA for filing with the investor’s federal tax return.

  • "Complex tax code, we got you!"

    With the IRS tax code regarding Cost Segregation being over 75,000 pages long, even the best CPA’s are unlikely to be experts in this specialty. We work with your CPA for maximum savings.

  • "Cash flow is king."

    Cost segregation as a tax savings tool can help building owners use the cash (that would have gone to the IRS) toward other investments - generating ROI’s that make doing the CS study worthwhile.

 FAQs

  • Although this is not an exhaustive list, four common types of buildings are great candidates for cost segregation:

    HOUSING Facilities:
    Airbnb, apartment buildings, residential rentals, mobile home parks, and senior living facilities.

    BUSINESS Facilities:
    Office buildings, mixed use, architectural firms, engineering firms, auto dealerships, banks, construction firms, dental clinics, law firms, funeral homes, fitness centers, research facilities, and self-storage.

    RETAIL Facilities:
    Auto repair, child care facilities, convenience stores, restaurant/fast food, grocery stores, and retail strip centers.

    LARGE Facilities:
    Airports, distribution centers, event centers, golf courses, hospitals/medical centers, industrial facilities, manufacturing facilities, marinas, sports facilities, and warehouses.

  • The first step is having us do a preliminary analysis on your building(s). This is done at no cost to you. We'll need some basic information and just the depreciation schedule from your most recent federal tax return (we do not need your entire return).

    Our engineers will put together an estimate for you, so you'll know exactly how much it will cost to do the study, along with your estimated tax savings.

    If you agree to proceed (and most have savings large enough to make it worthwhile to do so), we'll collect a 50% deposit and have you Docusign the simple proposal to begin.

    You'll be contacted by a Coordinator, who will need basic info on your building. Once you submit the requested documents, it will be assigned to the engineering team to complete the study.

    A site visit will take place by a member of the team.

    Within about 4 to 6 weeks, you'll be contacted that the study is complete, you'll pay the remaining 50% fee (as outlined at the beginning), and you'll receive a digital copy of your completed cost segregation study.

    You can then forward this to your respective CPA, who will file it with your tax return.

    That's it!

  • We work with the nation's largest cost segregation company, CSSI. They are specifically focused on delivering quality, engineering-based studies, and are the leading experts in unlocking tax savings!

    EXPERIENCE
    CSSI has been producing studies for over 21 years. They have conducted over 45,000 cost segregation studies in the United States.

    COLLABORATION
    CSSI partners with tax professionals to ensure timely, compliant, and maximum benefits for their clients.

    COMPLIANCE
    CSSI identifies tax benefits per building asset cost components and repair regulations. All assets are fully analyzed within U.S. tax code guidelines.

    SUPPORT
    CSSI represents clients in an IRS tax audit at no charge. Although none of CSSI's studies have ever triggered an audit, if the owner is audited for other reasons, they stand by their studies. They support property owners, their CPA or tax professional and advisors, to realize maximum tax savings.

    On Point Real Estate Advisors is an independent firm that contracts with CSSI to offer cost segregation to our clients.

  • It depends on the time of year, but most studies can be completed within 4 to 6 weeks - starting from the time the study deposit is paid for and all necessary documents have been received from the building owner.

    Expect that during tax time, it will most likely take the full amount of time mentioned. You may receive your study faster, if it's not tax season!

  • It depends on many factors, but on average, building owners generally see a range of between $30k to $80k per million in building cost.

  • The cost to do a study varies by the size and complexity of the property. We are happy to give you a complimentary estimate so you will have a hard number. It won't make sense for every building, but most building owners will see a much greater return over the cost of doing the study, and find it well worth doing.

  • Complete the form PRELIMINARY ANALYSIS REQUEST below, and we will reach out to you promptly with any further questions.

    You'll need to email us your most recent depreciation schedule from your federal tax return (we do not need your entire tax return). You can email that to: tami@onpointrea.com.

    We will submit it to the engineering team. In about 2 to 3 days, we will reach out to you to schedule a virtual meeting (or in person if here in the Denver metro) to go over the results.

    At that time, if you wish to proceed - you can sign the proposal (generated by CSSI) and pay the 50% fee deposit to begin the work.

How much will you save?
Let’s find out.

Fill out the form below on your commercial building, and we’ll get a preliminary building analysis done for you at no cost. Then you’ll know.