Why cost segregation works in New York

New York hosts the country's densest commercial real estate market in NYC. High state and city income tax rates make federal cost segregation deductions extremely valuable. NY also decouples from federal bonus depreciation, so studies model both books. An engineering-based cost segregation study reclassifies components of your New York property 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 can be deducted in year one.

Major New York markets we serve

  • Class A multifamily, office, and mixed-use in NYC
  • Industrial across Long Island and the Hudson Valley
  • STRs in the Catskills, Hudson Valley, and Adirondacks

Every New York study is built off engineering takeoffs, RSMeans cost data, and the IRS Cost Segregation Audit Techniques Guide methodology.