Cost segregation for Miami property investors
Largest South Florida market — luxury multifamily, hotels, and STRs dominate. Reclassifications are aggressive given coastal site improvements. Whether you own a single property or a portfolio in Miami, an engineering-based cost segregation study reclassifies components of your building from 27.5- or 39-year real property into 5-, 7-, and 15-year MACRS class lives.
Under the One Big Beautiful Bill Act (OBBBA), 100% bonus depreciation has been restored for qualifying property acquired and placed in service after January 19, 2025 — meaning every dollar of accelerated property identified in your Miami study can be deducted in year one. For a typical property in this market, that often translates to 20–35% of cost basis reclassified into shorter recovery periods.
Florida market context
Florida has no state income tax, the largest STR market in the country, and rapid population growth. Cost segregation activity is heavy across hospitality, STRs, multifamily, and industrial — with hospitality reclassifications routinely exceeding 30%.
Every TDA Miami study is built off engineering takeoffs, RSMeans cost data, and the IRS Cost Segregation Audit Techniques Guide methodology.