[Webinar] The Basics of a Cost Segregation Study
The tax implications of investing directly into real estate have long been considered favorable. This became even more true with the passage of the Tax Cuts & Jobs Act (TCJA) in late 2017. However, there are multiple different topics that could fall within this category.
This week we decided to focus on the potential tax benefits received from accelerated depreciation.
In this webinar we cover:
- What a Cost Segregation Study is
- The goals of a Cost Segregation
- The types of property that are eligible
- The potential NPV benefits of Accelerated Depreciation
- Tax Reform Updates surrounding Depreciation
Some highlights from the webinar:
What is a Cost Segregation?
A cost segregation is the process of identifying all property-related costs that can be depreciated faster. This could be from acquired property, new construction, or even remodels or build-outs.
The Benefits of a Cost Segregation
1) Accelerated Depreciation
With a cost segregation study you have the ability to depreciate property over shorter lives. For instance, shifting the cost associated with purchasing a commercial property from 39-year property into 5, 7, or 15 year tax life. This increases tax deductions early for increased cash flow.
2) Establishing Depreciable Tax Value
There are a lot of items associated with a piece of real estate that have a high likelihood of needing replacement in the future. A cost segregation study established a value for each individual item to assist with disposition later down the road.
Will Crampton sailed across the Atlantic when he was 18, and then flew across the Pacific as an exchange student to China in 1986.
He led the acquisition efforts on behalf of investment groups for two Major League Baseball franchises and executed both the acquisition…
A real estate private equity firm that owns and operates high quality multi-tenant office assets in emerging secondary markets.
Interested in learning more about Excelsior's investment opportunities?
Under no circumstances should any information presented on this website be construed as an offer to sell, or solicitation of an offer to purchase any securities or other investments. This website does not contain the information that an investor should consider or evaluate to make a potential investment. Other materials related to investments in entities managed by Excelsior Capital are not available to the general public.