What is Cost Segregation?

A Cost Segregation Study is a tax tool that allows building owners to allocate building costs between real estate and personal property based on case law and IRS guidance, using qualified construction engineers and estimators to perform the study.

Who Qualifies?

Any Building Owner that has purchased, constructed or made substantial improvements to their building since 1987 generally can benefit. Since the benefit comes in the form of time value of money, each project needs to be evaluated by comparing the net cash flows from the remaining depreciation deductions to the after-tax cost to perform the cost segregation study.

What Types of Properties are Eligible?

Generally, any type of property used for profit can produce Net Present Value Tax Benefits over the life of the project that are in excess of the After-Tax Cost of the study. Following are examples:

  • Manufacturing Facilities
  • Hospitality Facilities
  • Distributor Facilities
  • Hospitals
  • Retail Facilities
  • Funeral Homes
  • Apartment Buildings
  • Restaurants
  • Office Buildings
  • Airports
  • Auto Dealerships
  • Sporting Facilities

Want a No Obligation Estimate?

We provide no obligation estimates on the Estimated Net Present Value and fixed Fee to perform a Cost Segregation Study for your building.  Go to No Obligation Estimate page or call Randy Vesco at (440) 333-1900 for a free consultation.

Why Vesco Cost Segregation Services?

We have helped Clients significantly improve their cash flow by performing Cost Segregation Studies on properties across the United States that use only methods permitted by IRS Revenue Rulings, Revenue Procedures and Case Law developed through related Tax Court cases and conform to guidance provided by the IRS Cost Segregation Audit Techniques Guide.


Contact Information

Vesco Cost Segregation Group

Randy Vesco

841 Hamlet Lane, A-2

Westlake, OH 44145

(440) 333-1900

Fax (440) 333-1983