Retail cost segregation in Florida.

Why retail properties reclassify well in Florida

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%.

Retail properties have a particular profile that makes cost segregation especially valuable: strip centers, single-tenant, anchored — site work, signage, TI allowances. The shell sits on a 39-year recovery period under MACRS — but every retail is hundreds of components, many of which qualify for 5-, 7-, or 15-year recovery and accelerated bonus depreciation.

Typical reclassification ratio

For a retail in Florida, TDA studies typically reclassify 20–28% of depreciable basis. Combined with 100% OBBBA bonus depreciation on property acquired and placed in service after January 19, 2025, that translates the entire reclassified amount into a year-one deduction.

Florida markets we serve

We deliver retail cost segregation studies across Florida, including Miami, Jacksonville, Tampa, Orlando, St. Petersburg. Engineering-based methodology and RSMeans cost data on every engagement.