Projects
Maximizing tax benefits through cost segregation study
ST. PETERS, MO, USA
Fulfillment Center Warehouse
Salas O’Brien conducted a comprehensive cost segregation study for a massive fulfillment center for Amazon located on a 72.37-acre lot. The analysis covered the main building, including three mezzanine levels and extensive parking facilities for trailers and cars. Our team identified significant tax-saving opportunities by meticulously examining the $113,800,000 property. The study revealed that 75.35% of the property value remained in the 39-year category, 15% qualified for 15-year depreciation, and 9.5% for 5-year depreciation.
This reclassification allows for accelerated depreciation on $27 million worth of assets, potentially generating substantial tax benefits and increased cash flow for the client. Our expertise in cost segregation provided valuable financial insights, enabling the property owner to optimize their tax strategy and reinvest in their business.
Cost Segregation
2021
$113 million
3 million square feet