Cost Segregation Studies Built on
Engineering and Integrity.
For property owners and advisors who want an engineering based, audit defensible study.
Cost Segregation is a well-established tax strategy. The true value is in how it's prepared and applied.
Cost Segregation is an IRS-recognized approach in Real Estate that reclassifies individual building components from longer depreciation schedules, typically 27.5 or 39 years, to 5, 7, 10, or 15 year lives.
When applied correctly, an engineering-based study increases deductions in the early years of ownership, produces real near-term tax savings, and allows for you and/or your CPA to keep detailed, accurate fixed asset records.
Common Use Cases Of Cost Segregation Include
Property Purchase
Acquiring a commercial, multi-family, industrial, or agricultural property is one of the most common opportunities for a Cost Segregation Study. A study conducted shortly after acquisition allows for the most accurate documentation of assets included.
New Construction
Newly constructed buildings often contain a significant portion of components that qualify for accelerated depreciation, such as site improvements, specialty systems, and other short-lived assets. Engineering-based classification from the start ensures nothing is missed.
Renovations
Capital improvements can introduce new qualifying components. A renovation study captures those reclassification opportunities and integrates cleanly with your existing fixed asset schedule.
Retroactive Studies
No need to worry if you had purchased, constructed, or renovated a property in a prior year. Cost Segregation allows us to capture those assets without amending prior year returns.
Every study we conduct is engineered from the ground up.
We understand the questions around Cost Segregation - knowing when it makes sense and if it’s a right fit for your property and tax situation.
This is why we work closely with you and/or your CPA throughout the process. Before any work begins, we evaluate your property and provide a straightforward assessment of whether a Cost Segregation Study is likely to generate meaningful tax benefits.
What every McClarigan study includes
We conduct a physical site inspection for every study - never a desktop review or virtual walkthrough. That hands-on visit is the foundation of accurate component classification and real near-term tax savings.
Our methodology follows the IRS Cost Segregation ATG guidelines. Every classification is based on engineering analysis instead of rule-of-thumb estimates, so the documentation is audit-defensible and stands on its own.
Ruggiero DeLuca is a Member of the American Society of Cost Segregation Professionals: the only non-governmental body that sets professional standards in the industry.
The final report includes a component-level breakdown that allows your CPA to keep organized, accurate fixed asset records that serve you well beyond the first year's deductions.
We aim to deliver the final report within 6 weeks of the on-site inspection. You'll know the timeline before we start, and we communicate directly with you and/or your CPA throughout the entire process.
Before any agreement is signed, we assess your property and tell you straightforwardly whether a study will materially benefit your situation. If it won't, we let you know right away.
Four Steps to an Audit-Defensible Study
Simple, transparent, and designed around your schedule.
You're working with someone who does this every day.
Ruggiero DeLuca joined McClarigan in January 2025 after 5 years of various Cost Segregation roles, involving both consulting and valuation. He manages the full scope of every study - from tax strategy alignment and asset classification to the physical site inspection, financial analysis, and final report.
His experience spans industrial, multi-family, agricultural, office, retail, and recreational properties. He is a Member of the American Society of Cost Segregation Professionals (ASCSP), the only non-governmental body that sets professional standards in the industry, and is working toward full CCSP certification.
Ready to talk through your property and whether a study makes sense?
If you have questions about your property or would like to learn more about Cost Segregation, please reach out below.