Today’s commercial real estate market rewards brokers who go beyond the basics.
Cap rates, rent rolls, and tenant mixes matter — but investors now want to know:
“What’s my after-tax ROI?”
That’s where a cost segregation proposal changes everything.
By including a cost segregation analysis with your listing, you’re not just showing potential income — you’re showing real cash flow advantage built into IRS-backed tax law.
At Tax Logic™, we partner with CSSI (Cost Segregation Services, Inc.) to deliver credible, engineering-based cost segregation proposals that help brokers win listings and move deals faster.
What a Cost Segregation Proposal Does
Cost segregation identifies and reclassifies the short-life components of a property — electrical, mechanical, flooring, lighting, millwork, and more — allowing accelerated depreciation over 5, 7, or 15 years instead of the standard 39-year schedule.
That acceleration can unlock hundreds of thousands — even millions — in first-year tax deductions, improving cash flow and boosting investor yield.
A Tax Logic™ proposal powered by CSSI gives brokers and investors:
- Estimated first-year depreciation benefit
- Cash flow impact summary
- Effective after-tax ROI comparison
- Engineering-backed methodology recognized by the IRS
It’s simple, visual, and proven — a perfect addition to any offering memorandum.
Why Brokers Should Include a Cost Segregation Proposal
1. Sell the After-Tax ROI Story
Buyers don’t just buy on cap rate anymore — they buy on what they keep after taxes.
Adding a cost segregation proposal reframes your property’s return story from 7% pre-tax to 9–10% after-tax.
That’s what catches serious investors’ eyes in a crowded market.
2. Differentiate Your Listing Package
Most brokers stop at surface-level financials.
You’ll stand out when your OM includes a Tax Logic™ Cost Segregation Proposal — it shows depth, investor empathy, and financial intelligence.
Your listings look more sophisticated, and your sellers see that you’re marketing investments, not just properties.
3. Accelerate Offers and Build Confidence
When investors understand the immediate tax advantages upfront, they move faster and bid more confidently.
Including a cost segregation proposal reduces “what if” friction and shortens the time from interest to LOI.
4. Add Proof-Stacked Credibility
This isn’t theory — it’s backed by the IRS under Sections 167 and 168.
A proposal powered by CSSI gives your listing IRS-validated proof of real after-tax performance.
That’s what we call Proof Stacking™ — combining solid engineering, verified data, and investor storytelling.
5. Attract a Higher Tier of Buyers
Institutional investors, private equity, and family offices are all modeling deals with after-tax projections.
By integrating cost segregation early, you’re speaking their language — and positioning yourself as the broker who brings smarter, tax-optimized opportunities.
Example: Hidden Value in Plain Sight
$10 Million Medical Office
• Traditional depreciation: ≈ $256K per year (39 years)
• With cost segregation: ≈ $2 Million deduction in Year 1
• Estimated tax savings (at 40%): ≈ $800K
• Effective after-tax ROI: 7% → 9.8%
That single IRS-backed line item can turn a “maybe” into an immediate offer.
How to Include It in Your Listings
- Request a Tax Logic™ Cost Segregation Proposal
Use the Tax Logic™ Cost Segregation Request Form to get a custom proposal for your listing.
(Studies are performed by CSSI – Cost Segregation Services, Inc., the national leader in engineering-based IRS studies.) - Insert It Into Your OM or Broker Deck
Add the one-page proposal to your Financial Summary or create a “Tax Advantage” slide. - Use It to Win Listings
Show sellers how your marketing captures hidden after-tax value other brokers miss. - Keep Control of the Conversation
As a certified independent representative, all proposals and studies are coordinated through Nick Coppola – CSSI / Tax Logic™ to ensure accurate branding and relationship management.
Why This Matters Now
With bonus depreciation phasing down and capital tighter than ever, brokers need every competitive edge.
A cost segregation proposal demonstrates financial insight, builds trust with investors, and turns your listings into tax-smart investments.
Compliance Note
All cost segregation studies referenced herein are conducted by CSSI – Cost Segregation Services, Inc.
Tax Logic™ functions as a strategic tax education and marketing platform operated by Nick Coppola, independent representative of CSSI.
This content is for informational and marketing purposes only and does not constitute tax advice.
Contact
Nick Coppola
CRE Tax & Sustainability Strategist
Independent Representative, CSSI | Founder, Tax Logic™
📧 [email protected]
🌐 www.TaxLogicCRE.com
📞 919-632-0133
