Sedona cost segregation examples

5 representative Sedona-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
Uptown Sedona Casita STR
Uptown Sedona · SFR · STR
$1,185,000 42.8% $148,321 21.0% A
West Sedona Family STR
West Sedona · SFR · STR
$825,000 30.2% $73,479 20.4% A
Village of Oak Creek Vacation Rental
Village of Oak Creek (Yavapai County) · SFR · STR
$685,000 32.6% $65,720 20.4% A
Chapel Area Luxury Casita
Chapel area / Red Rock Loop Rd · SFR · STR
$1,485,000 38.3% $166,090 21.0% A
Oak Creek Canyon LTR
Oak Creek Canyon (north of Sedona) · SFR
$1,325,000 16.2% $47,588 40.0% B

"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.

Uptown Sedona Casita STR

Uptown Sedona · SFR (short-term rental) · Built 2008 · 2100 sqft

$148,321
Year-1 federal savings @ 37%, 100% bonus
42.8%
5/7/15-yr reclass as % of depreciable basis
$936,150
Depreciable basis (21.0% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$232,06224.8%
7-year personal property (office equipment, certain agricultural)$2,9300.3%
15-year land improvements (paving, landscaping, fencing, site lighting)$165,87517.7%
Total accelerated$400,86742.8%
27.5-Year Residential Real Property structure (39yr commercial)$535,28357.2%

Land allocation note

For this fixture, the engine used 21.0% 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 1.1037 (A band). Geographic factor: 0.95 (state resolver).

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West Sedona Family STR

West Sedona · SFR (short-term rental) · Built 2002 · 1950 sqft

$73,479
Year-1 federal savings @ 37%, 100% bonus
30.2%
5/7/15-yr reclass as % of depreciable basis
$656,700
Depreciable basis (20.4% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$130,28519.8%
7-year personal property (office equipment, certain agricultural)$2,4140.4%
15-year land improvements (paving, landscaping, fencing, site lighting)$65,89210.0%
Total accelerated$198,59130.2%
27.5-Year Residential Real Property structure (39yr commercial)$458,10969.8%

Land allocation note

For this fixture, the engine used 20.4% 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 1.2151 (A band). Geographic factor: 0.95 (state resolver).

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Village of Oak Creek Vacation Rental

Village of Oak Creek (Yavapai County) · SFR (short-term rental) · Built 2010 · 1850 sqft

$65,720
Year-1 federal savings @ 37%, 100% bonus
32.6%
5/7/15-yr reclass as % of depreciable basis
$545,260
Depreciable basis (20.4% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$117,57621.6%
7-year personal property (office equipment, certain agricultural)$2,5020.5%
15-year land improvements (paving, landscaping, fencing, site lighting)$57,54410.6%
Total accelerated$177,62232.6%
27.5-Year Residential Real Property structure (39yr commercial)$367,63867.4%

Land allocation note

For this fixture, the engine used 20.4% 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 1.1217 (A band). Geographic factor: 0.95 (state resolver).

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Chapel Area Luxury Casita

Chapel area / Red Rock Loop Rd · SFR (short-term rental) · Built 2014 · 2600 sqft

$166,090
Year-1 federal savings @ 37%, 100% bonus
38.3%
5/7/15-yr reclass as % of depreciable basis
$1,173,150
Depreciable basis (21.0% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$259,06022.1%
7-year personal property (office equipment, certain agricultural)$4,3250.4%
15-year land improvements (paving, landscaping, fencing, site lighting)$185,50715.8%
Total accelerated$448,89238.3%
27.5-Year Residential Real Property structure (39yr commercial)$724,25861.7%

Land allocation note

For this fixture, the engine used 21.0% 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 1.1684 (A band). Geographic factor: 0.95 (state resolver).

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Oak Creek Canyon LTR

Oak Creek Canyon (north of Sedona) · SFR (long-term rental) · Built 2006 · 2400 sqft

$47,588
Year-1 federal savings @ 37%, 100% bonus
16.2%
5/7/15-yr reclass as % of depreciable basis
$795,000
Depreciable basis (40.0% land removed)

Component breakdown

MACRS classReclassified amount% of basis
5-year personal property (FF&E, appliances, decorative finishes, certain electrical)$65,0568.2%
7-year personal property (office equipment, certain agricultural)$00.0%
15-year land improvements (paving, landscaping, fencing, site lighting)$63,5598.0%
Total accelerated$128,61516.2%
27.5-Year Residential Real Property structure (39yr commercial)$666,38583.8%

Land allocation note

For this fixture, the engine used 40.0% 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 1.2897 (B band). Geographic factor: 0.95 (state resolver).

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