A newly constructed 245,000-square-foot multifamily development in Austin, TX, was completed in July 2023 with a total project cost of $40.5 million. The property consists of 183 residential units, incorporating energy-efficient features and solar energy systems to enhance sustainability.

Under the guidance of TaxTaker, the project effectively utilized three major federal energy tax incentives to optimize its financial strategy. These incentives included the Section 179D Energy Efficient Commercial Buildings Deduction, Section 48 Investment Tax Credit (ITC), and Cost Segregation.

Through these incentives, the project secured substantial financial benefits: a $373,019 deduction under Section 179D and a $24,881 credit under Section 48 for the small solar install serving the community clubhouse. By strategically stacking these incentives, the development immediately improved cash flow after the project and reduced its tax liability, enhancing its long-term financial performance and positioning it as a leading example of cost-effective sustainable construction in the region.