Here at Integrated Projects, we fundamentally believe that Buildings are Databases—and now, there's a way to leverage that data for significant tax savings.

We've partnered with the experts at Corporate Tax Advisors to bring you Cost Seg Survey, an industry-first product that enables building owners to underwrite with accurate spatial data (areas and quantities) during due diligence and after acquisition with accelerated depreciation.

Cost Seg Survey uses the data produced from the same SCANIT on-site visit that we use to create your 3D and 2D models, virtual tours, and more—saving you the hassle of a separate site visit and line item.

Addressing Major Challenges for Commercial Real Estate Owners

The U.S. commercial real estate market faces significant challenges. According to the U.S. Energy Information Administration, 76% of the country’s 5.9 million commercial buildings were constructed before 1999, leading to outdated plans and documentation. This makes underwriting these "unsophisticated" assets difficult. However, many office buildings will change ownership as the market recalibrates.

In Q4 of 2023, the office space sector hit an 18.6% vacancy rate, a 30-year high. Barry Sternlicht, CEO of Starwood Capital Group, noted a loss of over $1.2 trillion in value since the pandemic's onset. New investment strategies are emerging, such as SL Green Realty's plan to raise a $1 billion distress fund and the increasing use of office-to-residential conversions. Accurate due diligence and efficient tax benefits are crucial in these strategies.

Benefits of Cost Seg Survey

1. Accurate Spatial Data: Cost Seg Survey uses precise spatial data for accurate underwriting and asset classification.

2. Single Site Visit: By using data from the initial SCANIT visit, Cost Seg Survey eliminates the need for additional site visits.

3. Tax Savings: Achieve significant tax savings through accelerated depreciation, reducing tax liabilities.

How Does Cost Seg Survey Work?

The process begins with a SCANIT on-site visit, where comprehensive data is collected using 3D laser scanning. This data forms the basis for creating detailed 3D and 2D models, virtual tours, and other deliverables. Corporate Tax Advisors then analyze the data to identify and reclassify assets, placing them into categories with shorter depreciation periods. This results in accelerated depreciation and reduced tax liabilities.

Precise Data and Tax Savings

Cost segregation is a vital tax-saving strategy that allows property owners to accelerate depreciation on personal property and land improvements. Traditionally, this required hiring multiple vendors, a process often inefficient and prone to inaccuracies. Cost Seg Surveys enable real estate owners to obtain valuable verified 3D and 2D assets along with a certified cost segregation study for nearly the same price as a traditional study. This approach accelerates leasing and enhances operational efficiency.

A Win-Win for Commercial Real Estate Owners

Cost Seg Survey offers multiple advantages from a single on-site visit, including a cost segregation study, creation of accurate navigable 3D and 2D models, virtual tours, and more. Use cases include:

• Leasing: Use virtual tours of as-builts for marketing and sales.

• Asset Management: Fully understand the details of each asset owned.

• Tenant Build-outs: Provide precise documentation for tenant fit-out planning.

How to Get Started

1. Request a Quote: Enter a few basic details about the property to get an accurate quote.

2. Grant Access to Our Scan Team: Our laser scanning experts will be in and out in no time.

3. Detailed Report Creation: We deliver your 3D and 2D building models, leading to an in-depth cost segregation study done with CTA.

A Shared Mission

The partnership between Integrated Projects and Corporate Tax Advisors is built on a shared mission: to deliver unparalleled value to commercial real estate building owners. This combined expertise ensures that clients receive a streamlined, cost-effective service unmatched in the industry.

Looking to empower your team with a cost seg survey? Learn more >