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Logistics Centers Case study

Go green, save green

179D is a tax incentive that is available for newly constructed or renovated buildings that have installed energy-saving elements. This tax deduction provides tax-saving benefits for commercial building owners, as well as architectural and design firms that have worked on projects for public agency-owned facilities.

Originally passed under the 2005 Energy Policy, the 179D tax provision allows a tax deduction of up to $5 per square foot for both new and existing buildings.

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of experts to learn more!

Logistics Centers

Business: A large logistics company with over 100 warehouses nationwide.


Location:
A new logistics center in a major metropolitan area.

Energy-efficient upgrades: NTG’s team began by conducting the required energy simulation to verify the deduction. They then communicated with building owners to explain the deduction and obtain all required documentation. They also worked with qualified engineers and contractors to complete

inspections and testing. Finally, NTG provided tax consulting to verify the deductions and oversee the tax filing process. The warehouse installed a number of energy-efficient upgrades, including LED lighting, high-efficiency HVAC systems, and a solar panel system. The warehouse was able to claim a $5 million 179D deduction for the energy-efficient upgrades.

Benefits: The 179D deduction saved the warehouse $5 million in taxes. The warehouse also expects to save $200,000 per year on energy costs. The 179D tax deduction can be a significant financial benefit for businesses that invest in energy-efficient upgrades. In this case study, the logistics company was able to save $5 million in taxes and $200,000 per year on energy costs. This is a great example of how the 179D deduction can help businesses reduce their environmental impact and save money.

Benefits of the 179D tax deduction for logistics centers:

Reduce operating costs: 

Energy-efficient upgrades can help logistics centers reduce their operating costs by lowering energy bills.

Improve efficiency:
Energy-efficient upgrades can help logistics centers improve their efficiency by reducing the amount of energy they use.

Increase productivity:
Energy-efficient upgrades can help logistics centers increase their productivity by creating a more comfortable and productive work environment for employees.

Attract and retain customers: Customers are increasingly looking for businesses that are committed to sustainability. By investing in energy-efficient upgrades, logistics centers can attract and retain customers who are looking for environmentally friendly businesses to do business with.

If you are a logistics company owner, you should consider investing in energy-efficient upgrades. Talk to our team today. The 179D tax deduction can help you save money on taxes and energy costs, reduce operating costs, improve efficiency, increase productivity, and attract and retain customers.

NTG’s success in this area is due to their understanding of complex construction and design projects. The team performs a high degree of due diligence and works with a variety of government authorities to expedite the approval process. This ensures that their clients receive the maximum
possible benefit from the 179D program.

Here are some specific examples of energy-efficient upgrades that can be made to logistics centers:

  • LED lighting: LED lights use up to 80% less energy than traditional incandescent lights.
  • High-efficiency HVAC systems: High-efficiency HVAC systems can save up to 30% on energy costs.
  • Solar panel systems: Solar panel systems can generate electricity from the sun, reducing the need for
    grid power.
  • Cooling towers: Cooling towers can help to reduce the energy consumption of HVAC systems by
    cooling the air before it enters the system.
  • Energy management systems: Energy management systems can help to optimize the energy usage
    of a logistics center by monitoring and controlling energy consumption.

These are just a few examples of the many energy-efficient upgrades that can be made to logistics centers. By investing in these upgrades, logistics companies can save money on taxes and energy costs, reduce operating costs, improve efficiency, increase productivity, and attract and retain customers.

How Do You Qualify Based on Your Industry?

The 179D Tax Deduction is for Architects, Engineering Firms, Commercial Building Owners, and Construction Firms. This deduction is especially profitable for renovation projects, usually performed by these professional teams.

Qualifying Energy-Savings Are All Around You

It can be difficult to figure out if your building’s energy efficiency improvements qualify for this deduction. National Tax Group makes it easy with an in-depth study of your project and how it qualifies.

EPAct 179D studies are applicable for the following:

  • New construction of commercial buildings
  • Upgrades, renovations and retrofits, improvements to lighting, HVAC, envelope (roof, insulation, and windows), energy performance contracting, CRA redevelopment
  • LEED-certified buildings
  • Green/energy-efficient buildings
  • Residential apartment buildings
  • Public buildings

 


Commercial Building Owners

 


Architects & Designers

How Do You Qualify Based on Your Industry?

The 179D Tax Deduction is for Architects, Engineering Firms, Commercial Building Owners, and Construction Firms. This deduction is especially profitable for renovation projects, usually performed by these professional teams.

Qualifying Energy-Savings Are All Around You

It can be difficult to figure out if your building’s energy efficiency improvements qualify for this deduction. National Tax Group makes it easy with an in-depth study of your project and how it qualifies.

EPAct 179D studies are applicable for the following:

  • New construction of commercial buildings
  • Upgrades, renovations and retrofits, improvements to lighting, HVAC, envelope (roof, insulation, and windows), energy performance contracting, CRA redevelopment
  • LEED-certified buildings
  • Green/energy-efficient buildings
  • Residential apartment buildings
  • Public buildings
We are excited to announce that after years of legislation

179D & 45L have been extended


Claim Your Benefits

Lighting

Interior & Parking Garages

.60¢ Per Sq. Ft.

HVAC

Heating, Cooling, Ventilation and Hot Water

.60¢ Per Sq. Ft.

Building Envelope

Envelope Systems, Windows, Doors, Roofs and Insulation

.60¢ Per Sq. Ft.

80,000 X $1.80 =
$144,000​

How Do You Qualify Based on Your Industry?

The 179D Tax Deduction is for Architects, Engineering Firms, Commercial Building Owners, and Construction Firms. This deduction is especially profitable for renovation projects, usually performed by these professional teams.

Qualifying Energy-Savings Are All Around You

It can be difficult to figure out if your building’s energy efficiency improvements qualify for this deduction. National Tax Group makes it easy with an in-depth study of your project and how it qualifies.

EPAct 179D studies are applicable for the following:

  • New construction of commercial buildings
  • Upgrades, renovations and retrofits, improvements to lighting, HVAC, envelope (roof, insulation, and windows), energy performance contracting, CRA redevelopment
  • LEED-certified buildings
  • Green/energy-efficient buildings
  • Residential apartment buildings
  • Public buildings


Business colleagues discussing with blueprint in corridor at office

Commercial Building Owners


Architect with drawing close up

Architects & Designers

GO GREEN, SAVE GREEN

179D is a tax incentive that is available for newly constructed or renovated buildings that have installed energy-saving elements. This tax deduction provides tax-saving benefits for commercial building owners, as well as architectural and design firms that have worked on projects for public agency-owned facilities.

 

Originally passed under the 2005 Energy Policy, the 179D tax provision allows a tax deduction of up to $5 per square foot for both new and existing buildings.