Cost Segregation

Overview of Our Process

We follow a simple yet detailed process to make sure our clients get the best quality of service that they deserve.

1. REVIEW AND BENEFIT ANALYSIS

Once the requested information is received from the client, it’s reviewed by our cost segregation engineer specialists. Next, the net present value of future depreciation savings is calculated and communicated to the client along with an engagement letter. The client will be fully aware of the benefits to be derived and our engagement pricing before a commitment is required.

2. ANALYSIS OF CONSTRUCTION EXPENSES

We ask our clients to provide details on capitalized expenses incurred over the study period. We review the closing statements, the history of purchase price allocations, rent roll analysis, and other capitalized expenditures.

3. BLUEPRINT REVIEW

A detailed review of the blueprints or construction drawings is a significant part of the cost segregation study. Our team will analyze the following aspects of the construction expenses:

• Electrical aspects

• Mechanical aspects

• Civil aspects

• Structural aspects

4. ASSESSMENT OF THE LOCATION

To achieve the best result for our clients, we need to assess all the information related to their expenditures. Therefore, we visit the location(s) where you incurred expenses to confirm our findings. By doing so, we are able to confirm which expenditures deserve shorter depreciation terms.

To support our study, we take pictures of the location(s) and prepare all the necessary documents to support our conclusions.

5. TECHNICAL REPORTING

This phase includes the preparation and delivery of the Cost Segregation Study and its quantitative and qualitative components. The Study will serve as the client’s documentation supporting the depreciation claimed. This phase entails a full analysis of technical issues related to the segregated expenditures as well as full identification, documentation and quantification of the expenditures at issue.