Built on a calibrated, data-driven modeling engine — not generic templates. Engineering-based cost segregation with site improvement analysis, delivered in days.
How a Charlotte retail investor accelerated $489,600 in year-one deductions — backed by data, delivered fast.
Property8,400 SF — Charlotte, NC
Purchase Price$1,800,000
Year Built2012
Study TierCommercial ($1,495)
This investor elected our commercial cost segregation study. The study reclassified building components including parking lots, signage, exterior lighting, and storefront systems — resulting in over $489,000 in first-year deductions beyond standard straight-line depreciation.
Total Accelerated (Year 1)
$489,600
beyond straight-line depreciation
$181,152
Est. Tax Impact (37%)
121x
ROI on Study Cost
34.0%
Basis Reclassified
4
Site Categories
What's in Your Study
Engineering-based analysis aligned with the IRS Cost Segregation Audit Techniques Guide.
Component-Level Analysis
Every building system classified by IRS asset life (5yr, 7yr, 15yr, 39yr)
MACRS Depreciation Schedules
Full schedules your CPA can use immediately — no additional formatting needed
Bonus Depreciation Modeling
100% bonus depreciation applied to accelerate first-year deductions
IRS ATG Compliance
Methodology aligned with the IRS Audit Techniques Guide for cost segregation
Separate schedule for site improvements, parking, signage, and storefront systems
CPA-Ready PDF Report
Professional report delivered to your inbox in under 1 hour
Why Site Improvements Matter for Retail Investors
Site improvements and signage are the biggest missed depreciation opportunity for retail property owners.
Parking lots, sidewalks, exterior lighting, signage, and landscaping are 15-year depreciable property — not part of the 39-year building. Storefront systems and specialty electrical are 5-year property. Most standard depreciation schedules miss these entirely.
With bonus depreciation, eligible site improvements can be deducted in Year 1 — turning your property's infrastructure into immediate deductions.
Retail properties typically have $40K–$150K+ in site improvements and signage. Without cost segregation, those deductions are spread over 39 years instead of taken in Year 1.
Site Categories We Identify
15yrParking Lots & Striping
15yrSidewalks & Curbing
15yrExterior Lighting & Poles
15yrSignage & Monument Signs
15yrLandscaping & Irrigation
5yrStorefront Window Systems
5yrSpecialty Electrical & Security
Commercial Pricing. No Surprises.
Every study includes CPA-ready documentation prepared in accordance with IRS guidelines.
MOST POPULAR
Commercial Standard
$1,495/study
Properties under $2M
Engineering-based cost segregation study
5-year + 15-year reclassification
Site improvement & signage depreciation analysis
100% bonus depreciation modeling
MACRS schedules + NPV analysis
CPA-ready PDF report
Email support
Commercial Premium
$2,995/study
Properties $2M–$5M
Everything in the $1,495 tier
Enhanced component detail for higher-value properties
Expanded depreciation schedules
100% bonus depreciation modeling
MACRS schedules + NPV analysis
CPA-ready PDF report
Email support
Frequently Asked Questions
Cost segregation is an IRS-recognized depreciation method that reclassifies portions of your property into shorter depreciation categories (5, 7, and 15 years instead of 39). For retail property owners, this means accelerating tens of thousands of dollars in deductions into the early years of ownership — reducing your taxable income significantly. See our commercial cost segregation guide for the full breakdown.
Site improvements that qualify include parking lots, striping, sidewalks, curbing, exterior lighting and poles, signage and monument signs, landscaping, and irrigation systems. These are classified as 15-year property. Additionally, storefront window systems and specialty electrical are classified as 5-year property. All of these can benefit from bonus depreciation.
Yes. Cost segregation works for all types of retail properties including multi-tenant strip malls, shopping centers, standalone storefronts, and mixed-use retail buildings. Multi-tenant properties often have significant site improvements (parking, signage, common areas) that qualify for accelerated depreciation.
Just the basics: property address, purchase price, square footage, and year built. Our intake form takes about 5 minutes. No site visit required. Photos and documents (closing statement, tax assessment) are optional but can improve accuracy.
Studies are delivered in under 1 hour as a CPA-ready PDF sent to your email. Your CPA can use it directly — no additional formatting needed.
Yes. If you didn't do cost segregation when you bought the property, you can file a Form 3115 (Change in Accounting Method) to catch up on missed depreciation — without amending prior returns. The full catch-up amount is taken in a single year.
Yes. Our methodology follows the IRS Cost Segregation Audit Techniques Guide. Each study includes component-level analysis, IRS asset class citations, and supporting engineering narratives. We recommend all clients work with their CPA when filing.
Retail MACRS Breakdown: Storefront Build-Outs and Display Fixtures Drive Reclassification
Retail properties have unique reclassification opportunities from tenant build-outs, display fixtures, specialty lighting, and signage. Strip malls, standalone retail, and shopping centers each have distinct component profiles.
Built-in display cases, shelving systems, checkout counters, security systems (cameras, EAS gates), pylon/monument signage, awnings
3-6%
15-Year
Parking lot (often the largest single reclassifiable item), sidewalks, landscaping, exterior lighting, drive-through lanes, loading areas, dumpster enclosures, cart corrals
8-15%
39-Year
Foundation, structural frame, roof, exterior walls, core HVAC, main electrical, plumbing, fire suppression trunk
Remainder
Retail properties with large parking lots can reclassify 10%+ of basis into 15-year property from site work alone. NNN-leased retail where the landlord funded tenant build-outs will see higher 5-year and 7-year reclassification.
See a Real Retail Cost Segregation Result
Browse an actual depreciation breakdown for a retail property.
