| An engineering based cost segregation study can be very beneficial if you have completed a major building renovation or are planning to renovate in the future. |
THE M&E PROCESS
-
Property Evaluation
- Gather information.
- Prepare initial Benefit Analysis.
- Determine fees.
- Complete and submit Property Evaluation.Review Proposal with Owner
- Conference call or meeting with the Owner,
advisors, and/or CPA to discuss findings.
- If the Owner agrees we move forward.Execute the Cost Segregation Study
- Gather additional property information.
- Schedule Site Visit.
- Physical inspection of property.
- Disect arch./eng. drawings if available.
- Reconcile all project costs.
- Itemize assets into classes.
- Allocate all indirect costs.
- Produce preliminary depreciation schedules.Audit Depreciation Schedules
- Internal audit review.
- Send copy to Client and/or CPA for review.Complete Cost Segregation Binder
- Project Cost Summary
- Component Unit Summary
- Component Unit Detail
- Payment Applications (If Applicable)
- Client Cost Information(If Applicable)
- Project Control Spreadsheet
- Estimate Take-Off Sheets
- Disk with Files & PhotosDeliver Final Study
COST SEGREGATION QUALIFICATIONS
Does the property have an adjusted cost basis of $750,000 or higher?
Does the owner operate as a For-Profit Entity and pay Federal income taxes?
Does the owner plan to hold the property for at least one more year?
| Building Renovation Studies |