About

Who We Are

We are a specialty real estate services firm whose primary focus is providing certified cost segregation studies in compliance with IRS guidelines. These and other comprehensive cash-flow solutions are designed for developers, investors, owner users and financiers of commercial real estate across the United States.  Our team has more than 20 years of cost segregation experience and more than 35 years of tax preparation and planning experience.    

What We Do

image2

A Cost Segregation Study is a detailed analysis of a structure/building that reclassifies or segregates its real estate components and improvements to differentiate between real and personal property. By doing so our clients can accelerate the depreciation periods from 39 or 27.5 years to 15, 7, or 5 years, respectively.


Our methods deliver this service to commercial property owners at very affordable rates. This means you can take advantage of this tax savings that was once only enjoyed by the owners of exceptionally large properties.

Why Engage Us

Our certified cost segregation studies are the result of working with you, your CPA firm, and other tax, legal and business advisors.  BUT, our work is not just an after-the-fact service. We are recognized and called upon to develop strategies and implement solutions that dramatically increase net cash flow. As such, we play an integral part in both pre and post development, acquisition and ongoing management decisions that positively impact your bottom line. Our firm is comprised of individuals not only experienced in cost segregation, but with many years of experience as tax advisors, financial planners, financial officers, construction cost estimators, and real estate developers.

The Partners

Joel Grushkin, Regional Director of Cost Segregation Initiatives

image3

Joel brings forty plus years of executive experience to the CSI organization. His background includes eleven years with Arthur Young & Company (now Ernst & Young) as a Principal and director of the firm’s Management Services Practice. He was also a member of AY’s, National Real Estate Industry Specialty Practice Group. His cost segregation experience has encompassed studies for developers and owners of commercial real estate, including but not limited to office buildings, shopping centers, manufacturing and distribution centers, specialty medical facilities, automotive dealerships, hotels, restaurants, financial institutions, multi-family residential and senior living.


Previously Joel was a founding shareholder and Chairman of the Private Equity/Venture Capital Practice Group of DHR International, the nations fifth largest, retained, executive search firm.
 

Joel was also Chief Operating Officer of a national consulting firm specializing in the start-up and on-going consultation to financial institutions, real estate developers, the FHLBB, and FSLIC in the areas of economic feasibility, capital formation, governance, mergers and acquisitions, business and regulatory affairs. In addition to his consulting experience, Joel held positions of CEO, COO, and CFO at either the holding company or operating company levels in conglomerates with holdings in real estate development, home building, financial services, mortgage banking, retail/entertainment, and automotiv

Curt Gautreau, CPA, CCSP, Certified Cost Segregation Professional # C0020-12

image4

Curt is President of Cost Segregation Initiatives and a Certified Member of the American Society of Cost Segregation Professionals, CCSP.  He has been involved in the consultation with CPA’s and or directly with real estate owners and developers on a national basis for the benefits and implementation of Cost Segregation and the surrounding taxation issues for the past 15 years. He is areas of specialization include Real Estate Taxation, Depreciation, Accounting Method Changes, Passive Losses and Capitalization Rules. Curt currently serves as the National Vice President of the American Society of Cost Segregation Professionals. He also serves as the Chair of the Technical Standards Committee. He is a member of the AICPA, past president of the Baton Rouge Chapter of the Louisiana Society of CPA’s, and a member of the Young Entrepreneurs Organization (Y.E.O.)  



FAQ

Your Cost Segregation Questions Answered

  

What is cost segregation, and how does it work?
Under United States tax laws and accounting rules, cost segregation is the process of identifying personal property assets that are grouped with real property assets, and separating out personal assets for tax reporting purposes.  In other words, Cost Segregation is a tax savings tool allowing businesses and individuals to increase cash flow by accelerating deductions and deferring Federal and State income taxes.


What is a “cost segregation study”, and why is it necessary?
A Cost Segregation Study is a detailed analysis of a structure/building that reclassifies or segregates its real estate components and improvements to differentiate between real and personal property. By doing so our clients can accelerate the depreciation periods from 39 or 27.5 years to 15, 7, or 5 years, respectively.

CSI has developed methods to deliver this same service to commercial property owners at very affordable rates. This means you can take advantage of this tax savings that was once only enjoyed by the owners of exceptionally large properties.


What kind of real estate qualifies?
Property that was:
1.) Purchased, constructed, or remodeled property after Jan. 1, 1987
2.) and that you anticipate holding for at least a few years.


When should a cost segregation study be done?
It is best to have a study completed for the year the building or improvements are placed in service. However, IRS Revenue Procedures allow taxpayers to “catch up” on the depreciation that was not claimed from the first day the property was placed in service without amending prior years’ tax returns. Furthermore, the IRS now allows for the “catch up” period all in the first year rather than over four years, when the Revenue Procedure 99-49 was first introduced. A cost segregation study can be performed on any property constructed, acquired or remodeled since January 1, 1987.


What information will be needed?
While each study differs, we generally request the following information, if available:
1.) A current depreciation schedule (usually at the back of your tax return).
2.) Building cost information
3.) Change orders
We can assist you in gathering the necessary data.


How does the study work?
Building costs are generally classified for federal income tax purposes into three categories; (1) Tangible Personal Property,(2) Land Improvements, and (3) Real Property. Each has a different recovery period and method under the Modified Accelerated Cost Recovery System (MACRS). Our certified cost segregation analysis is performed by professional personnel with in-depth knowledge of construction methods, materials, and building components to properly identify the building elements and improvements that will be.reclassified to take advantage of accelerated depreciation.


Why should I commission such a study?
Without a Cost Segregation Study your accountant will only be able to use straight line depreciation, 39 or 27.5 years. A Cost Segregation Study provides your accountant with accurate information to establish 5, 7, 15, and 27.5 or 39-year lives, which substantially increases tax savings in the earlier years of owning your property.


Will a cost segregation study trigger an audit?
No. Our Cost Segregation Study methodology strictly adheres to the IRS Cost Segregation Audit
Technique Guidelines. If the Cost Segregation Study comes into question, a one of our certified cost segregation study professionals will attend the audit per our contract.


Can a study apply to buildings not yet constructed?
No. However, for projects not yet constructed, we can provide estimates on tax savings from your construction budgets. A Cost Segregation Study will be conducted when construction is complete.


Why should I choose CSI?
CSI’s certified cost segregation study professionals have the expertise in tax law, cases, and rulings on cost segregation, along with real estate development and construction experience to maximize your tax savings. Our company will work with your advisors to help you take advantage of this extremely viable tax savings solution.


REQUEST a STUDY to learn about reducing income tax liability while increasing your cash flow today. There is no cost or obligation to have an order of magnitude study prepared and reviewed with you. Contact Us

image5

Illustrative Businesses for Cost Segregation

Fast Food Franchise

image6

Fitness Center

image7

Auto Dealership

image8

Apartment Building

image9

Hotel

image10

Senior Living

image11

Fitness Center Case Study

Auto Dealership Case Study

Apartment Building Case Study

Full Service Hotel Case Study

Senior Living Case Study

Cost Segregation Initiatives News & Events

San Diego Daily Transcript - Executive Roundtable

image14

Parkwest General Contractors - Guest Blog

image15

Elite Tax Planning Academy - June 4-5, 2019

The Elite Tax Planning Academy is a two-day event (16 CPE credits) that brings together some of the

A two-day event, bringing together some of the most forward-thinking professionals in the industry to teach tax practitioners and financial advisors where the “free bridges” exist for their clients – and how to legally cross them.

Advanced Tax Planning Institute Symposium - Nov 6-8, 2019

image16

https://advancedtaxplanning.org/shop/" rel="noopener" target="_blank">Learn from the very best specialists, leaders in their respective fields, at
this unique three-day Advanced Tax Planning Institute Symposium 

Repair Regulations, Depreciation & Cost Segregation

Contact Us

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

991C Lomas Santa Fe Dr, Solana Beach, California 92075, United States

(858) 922-1037