This apartment building contains 28,000 square feet of gross floor area and is situated on a 1.7 acre site. The land improvements consist of a 40 unit apartment building constructed of concrete, masonry, steel and reinforced concrete slab on grade with standard reinforced concrete spread and strip footings. The building is enclosed with concrete masonry and brick walls, with glass doors at the entrance. The property was purchased in 2008 for $3,500,000. The allocated land value is $700,000 and the value of the improvements is $2,800,000. In the Fall of 2010 the owner added 500,000 in improvements to the property.
Project Cost $4.0M
Reclassified Components
5 Year 13.90%
15 Year 4.55%
Accelerated Bonus Total Tax DepreciationDepreciationDepreciationBenefits
Year 1 Included Below
Year 2 Included Below
Year 3 $544,695 $237,879 $782,574 $313,030
Year 4 $11,238 $11,238 $4,495
Year 5 $11,238 $11,238 $4,495
Year 6 $11,238 $11,238 $4,495
Total 1-6 $578,408 $237,879 $816,288 $326,515
Tax Benefits Years 1-6
$326,515*
This sample is based upon actual results of a completed study.
*The benefit numbers are based upon a blended Federal and State income tax rate of 40%.
Although the sample depicts a specific type of property, actual results may vary.
