Our team of experts can help you save millions of dollars by applying a cost segregation study for your apartment complex. We offer a complimentary analysis of your property.
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Cost Segregation is an in-depth analysis performed by qualified individuals skilled in engineering, construction, and taxation for
the purpose of identifying the individual building assets, their associated costs, and appropriate recovery period classification for federal, state, and property taxation.
TYPICAL APARTMENT COMPLEX COST SEGREGATION EXAMPLE
Cost Basis: $22,465,000
Accelerated: $4,942,300 (22%)
First Year Tax Benefit: $494,230
Five Year Tax Benefit: $5,510,084
45L Tax Benefits
Do you know about the 45L Tax Benefit? Are you the original owner?
45L Tax Credit: Recent tax legislation extended the Energy Efficient Home Credit which offers a 45L Tax Credit of $2,000 per dwelling unit to developers of energy efficient apartment buildings.
Project characteristics for 45L:
• Must be three stories above grade or less (not including below-grade parking)
• Some energy efficient features*, such as: wall insulation R-13 thru R-19+, roof insulation R-38+, double/triple pane windows, vinyl low E windows, insulated exterior doors, reflective roofing materials, air conditioning with SEER ratings 13+, 80%+ efficiency gas furnaces, or hydroponic heating systems.
• All apartment buildings and residential condominium developments completed within the last 4 years are worth assessing for potential 45L tax credits. Eligible construction also includes substantial reconstruction and rehabilitation.
• Developers can still claim the 45L tax credit retroactively if they did not claim them on previous tax returns.
$2000 in tax credits p/unit for 45L
100 Qualified Units=$200,000 in 45L Tax Credits
500 Qualified Units=$1,000,000 in 45L Tax Credits
1,000 Qualified Units=$2,000,000 in 45L Tax Credits
2,000 Qualified Units =$4,000,000 in 45L Tax Credits