Denver cost segregation examples

5 representative Denver-area properties run through the Cost Seg Smart engine. These aren't hypothetical, every number below comes from the same engine that produces real customer studies.

Summary table

Example Price Reclass % Y1 fed savings @ 37% Land % Recon band
LoHi Bungalow Flip
LoHi / Highlands (Northwest Denver) · SFR
$825,000 15.6% $34,635 27.1% B
Park Hill SFR Investor
Park Hill / Stapleton (Central Park) · SFR
$685,000 16.4% $29,759 28.5% A
Berkeley SFR + Detached ADU
Berkeley / Sloan's Lake · SFR
$745,000 16.6% $32,517 28.8% B
Cherry Creek Condo
Cherry Creek / Glendale · CONDO
$985,000 11.4% $20,653 50.3% C
Lakewood Jeff County STR
Suburban Jefferson County (Lakewood / Wheat Ridge) · SFR · STR
$545,000 23.5% $35,987 24.0% A

"Recon band" reflects the engine's reconciliation factor (rf_raw): A = clean fit between component-bottom-up sum and depreciable basis; D = high cost-of-construction-vs-purchase ratio, premium land floor applied.

LoHi Bungalow Flip

LoHi / Highlands (Northwest Denver) · SFR (long-term rental) · Built 1923 · 1850 sqft

$34,635
Year-1 federal savings @ 37%, 100% bonus
15.6%
5/7/15-yr reclass as % of depreciable basis
$601,260
Depreciable basis (27.1% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$52,1678.7%
7-year personal property (office equipment, certain agricultural)$00.0%
15-year land improvements (paving, landscaping, fencing, site lighting)$41,4406.9%
Total accelerated$93,60715.6%
27.5-Year Residential Real Property structure (39yr commercial)$507,65384.4%

Land allocation note

For this fixture, the engine used 27.1% land allocation from source: statistical. This is the statistical fallback when reliable county assessor data wasn't available or didn't pass the reliability gate. Estimate comes from the metro → state → national land-ratio hierarchy.

Reconciliation

The engine computed a reconciliation factor (rf_raw) of 1.3451 (B band). Geographic factor: 1.02 (metro_calibrated resolver).

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Park Hill SFR Investor

Park Hill / Stapleton (Central Park) · SFR (long-term rental) · Built 1948 · 1950 sqft

$29,759
Year-1 federal savings @ 37%, 100% bonus
16.4%
5/7/15-yr reclass as % of depreciable basis
$489,570
Depreciable basis (28.5% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$47,1599.6%
7-year personal property (office equipment, certain agricultural)$00.0%
15-year land improvements (paving, landscaping, fencing, site lighting)$33,2716.8%
Total accelerated$80,43016.4%
27.5-Year Residential Real Property structure (39yr commercial)$409,14083.6%

Land allocation note

For this fixture, the engine used 28.5% land allocation from source: statistical. This is the statistical fallback when reliable county assessor data wasn't available or didn't pass the reliability gate. Estimate comes from the metro → state → national land-ratio hierarchy.

Reconciliation

The engine computed a reconciliation factor (rf_raw) of 1.0569 (A band). Geographic factor: 1.02 (metro_calibrated resolver).

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Berkeley SFR + Detached ADU

Berkeley / Sloan's Lake · SFR (long-term rental) · Built 1952 · 1700 sqft

$32,517
Year-1 federal savings @ 37%, 100% bonus
16.6%
5/7/15-yr reclass as % of depreciable basis
$530,514
Depreciable basis (28.8% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$49,9289.4%
7-year personal property (office equipment, certain agricultural)$00.0%
15-year land improvements (paving, landscaping, fencing, site lighting)$37,9577.2%
Total accelerated$87,88516.6%
27.5-Year Residential Real Property structure (39yr commercial)$442,63083.4%

Land allocation note

For this fixture, the engine used 28.8% land allocation from source: statistical. This is the statistical fallback when reliable county assessor data wasn't available or didn't pass the reliability gate. Estimate comes from the metro → state → national land-ratio hierarchy.

Reconciliation

The engine computed a reconciliation factor (rf_raw) of 1.2894 (B band). Geographic factor: 1.02 (metro_calibrated resolver).

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Cherry Creek Condo

Cherry Creek / Glendale · CONDO (long-term rental) · Built 2009 · 1700 sqft

$20,653
Year-1 federal savings @ 37%, 100% bonus
11.4%
5/7/15-yr reclass as % of depreciable basis
$489,196
Depreciable basis (50.3% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$51,19210.5%
7-year personal property (office equipment, certain agricultural)$00.0%
15-year land improvements (paving, landscaping, fencing, site lighting)$4,6250.9%
Total accelerated$55,81811.4%
27.5-Year Residential Real Property structure (39yr commercial)$433,37888.6%

Land allocation note

For this fixture, the engine used 50.3% land allocation from source: statistical_premium_floor. This means the engine's component-bottom-up reconstruction cost exceeded 2.0× the implied depreciable basis after subtracting land, the premium land floor was applied to keep the study within audit-defensible territory. This is common for resort-tier properties where land scarcity premiums dominate the purchase price.

Reconciliation

The engine computed a reconciliation factor (rf_raw) of 1.6078 (C band). Geographic factor: 1.02 (metro_calibrated resolver).

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Lakewood Jeff County STR

Suburban Jefferson County (Lakewood / Wheat Ridge) · SFR (short-term rental) · Built 1968 · 1800 sqft

$35,987
Year-1 federal savings @ 37%, 100% bonus
23.5%
5/7/15-yr reclass as % of depreciable basis
$413,982
Depreciable basis (24.0% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$66,93516.2%
7-year personal property (office equipment, certain agricultural)$1,5890.4%
15-year land improvements (paving, landscaping, fencing, site lighting)$28,7396.9%
Total accelerated$97,26223.5%
27.5-Year Residential Real Property structure (39yr commercial)$316,72076.5%

Land allocation note

For this fixture, the engine used 24.0% land allocation from source: statistical. This is the statistical fallback when reliable county assessor data wasn't available or didn't pass the reliability gate. Estimate comes from the metro → state → national land-ratio hierarchy.

Reconciliation

The engine computed a reconciliation factor (rf_raw) of 0.9739 (A band). Geographic factor: 1.04 (state resolver).

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