A Blog About Tax Savings for Building Owners

Category: Green Zip Tape

Discover the Green Zip Tape Advantage: Sustainability and Tax Savings That Last

Green Zip Tape is transforming the construction industry, and it’s only a matter of time before developers, investors, and property owners recognize it as the smarter, greener way to build. Not only does Green Zip Tape offer a more environmentally friendly approach to construction, but it also provides unmatched tax advantages that extend through the building’s life, benefiting owner after owner, year after year.

The Environmental Benefits

With Green Zip Tape, less sheetrock ends up in landfills—an impactful step toward reducing construction waste. This patent-protected tape also enables easy access to internal walls for repairs, making maintenance smoother and renovations faster, cheaper, quieter, and cleaner. It’s an innovation in sustainable building that truly minimizes environmental impact.

Maximize Financial Benefits Through Cost Segregation

The financial benefits of using Green Zip Tape are substantial. Imagine shifting approximately 10% of your project’s construction costs from the typical 27.5- or 39-year depreciation class life to a much shorter 5-year class life. For example, in a $30 million multi-family project, $3 million could be reclassified to the 5-year category, creating a significant tax advantage, even if 100% bonus depreciation isn’t renewed in 2025.

In practical terms, that $3 million reclassification translates to approximately $1 million in tax savings. Whether those savings are realized in the first year or over five years, this reclassification is a bonus on top of what you’ll get from a cost segregation study. You’re building a better building that will be able to carry on to future owners. These advantages transfer to new building owners, enhancing the building’s value and market appeal over time.

Still Deciding? Let’s Run the Numbers

If you’re considering Green Zip Tape for your project, the best way to see its value is to let us calculate the potential savings. Our team can provide a detailed analysis to help you make an informed decision.

Green Zip Tape is for Larger Projects

Green Zip Tape is currently available for projects over $10 million with significant sheetrock requirements on non-load-bearing walls. Ideal applications include multi-family, hospitality, office, student housing, senior housing and office-to-residential conversions.

I represent Green Zip Tape nationwide and am here to discuss how it could benefit your next project. Reach out today for a consultation!

#greenziptape #buildbetter #taxbenefits #sustainability #sustainableconstruction #greenbuilding #drywall #sheetrock #environmentallyfriendly

John Murphy CSSI

$30 Million Multi Family Ground Up Construction – Defer an Additional $1 Million in Income Taxes by Using Green Zip Tape

Here’s an example of how a developer who is building a $30,000,000 multi-family property can defer $1,000,000 in income taxes over the first 5 years by utilizing Green Zip Tape rather than standard sheetrock tape. The video below is 3 minutes long. Green Zip Tape works on projects $10 million or more.

Green Zip Tape leverages financial incentives to build sustainably and drive positive environmental change and will revolutionize the way you manage your real estate construction portfolio.

  • Tax Savings: 5-10% of your construction costs move from 27.5 or 39 year class life to 5 year class life allowing for faster depreciation
  • Environmental Impact: Eligible for up to 25 LEED Credits (17 direct, 8 indirect)
  • IRS-Approved Asset Reclassification: The only tape approved by the IRS to convert interior non-load bearing walls into 5-year depreciable assets. Allows for potential wall relocation and drywall reuse.
  • Improved Remodeling Process: Enables quieter, quicker, and cleaner demolition, remodels, repairs, and retrofits
Explaining Green Zip Tape and how it can help building owners and developers defer more taxes

Let’s connect on LinkedIn or follow me on Twitter and Instagram @costsegbuilding.

Green Zip Tape – Maximize Tax Savings on Commercial Development

Building Product with special tax status that few know of yet. Green Zip Tape is something every commercial developer should be considering to lower taxes, increase cash flow while being environmentally friendly.

For example…let’s take a $50MM project. They could see an additional $5MM move from 27.5 / 39 year class life to 5 year by using GZT. That’s nearly a $2MM income tax savings over 5 years. The tax benefits of building with GZT transfer to the new owner. This will be helpful in marketing the property. On top of that you’ll have those who are just thrilled about the sustainabilty / green building components of your building. The cost is a fraction of the benefit.

The IRS gives Green Zip Tape a special tax status because it helps eliminate sheetrock ending up in the land fills when owners need to renovate. The patented technology in the tape allow is to be removed easily from the sheetrock without causing a bunch of damage. The sheetrock panets can then be removed and reused so you end up with removable panels at a fraction of the cost. And you get the tax benefits! It’s genious!

Let us take a look at your project and show you the numbers. In today’s world, an additional 2-3% can make all the difference in the world. Were talking 5-10+% of your construction costs. It’s a game changer.
#commercialdevelopment #commercialdevelopers #multifamily #studenthousing #seniorhousing #buildtorent #BTR #mixeduse #hospitality #hotels #greenziptape #taxbenefits #5yearclasslife

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