Case Studies: Parking Garage

Did you know that parking garages can be eligible for the 179D energy tax deduction? These energy credits and cost segregation case studies shed light on possible tax incentives for garages and car parks.

Parking garages are often viewed as simple structural assets, yet they contain a high density of specialized land improvements and electrical systems that qualify for significant tax relief. Engineered Tax Services helps garage owners and real estate investors move beyond the standard 39-year depreciation schedule by identifying components that can be recovered over 5 or 15 years. Since a large portion of a parking garage consists of asphalt or concrete paving, curbing, and specialized drainage, an ETS engineering-based study can frequently reclassify 25% to 45% of the total construction or acquisition cost. This provides the immediate cash flow required for structural maintenance, security upgrades, or further portfolio expansion.

Parking Garage Case Studies

Beyond site improvements, parking garages are prime candidates for the Section 179D energy tax deduction due to their expansive lighting and ventilation needs. Engineered Tax Services meticulously evaluates these facilities, identifying high-efficiency LED lighting retrofits and motion-sensor systems that can qualify for deductions of up to $5.81 per square foot in 2025. Our results include a Fort Worth facility that accelerated over $1.1 million in first-year depreciation and a Louisiana garage that secured over $100,000 in energy-related tax benefits. These case studies prove that ETS provides the technical precision and IRS-compliant documentation necessary to transform a utilitarian structure into a high-performance financial asset.