Depreciation on a building built in 1979

[LM2020]

What depreciation would you use on a commercial building that was built in 1979, bought in 2006?  It is an older structure - do you still use 39 years?  Since it is an older building - makes sense that the useful life of the building should be less than 39 years or it does not matter?  Thank you for your help!

[Anonymous_]

Nonresidential real estate has a 39 year recovery period under GDS.

See https://www.irs.gov/publications/p946#en_US_2019_publink1000107522

It makes no difference when the building was constructed. The determinative factor is the date the building is placed in service.

[LM2020]

Used as a warehouse since 1979 as well.

[Anonymous_]

Used by whom? You stated it was "bought in 2006". Is that when you bought it and placed it in service?

[LM2020]

I am sorry -  it is a rental - it had different tenants.  Bought in 2006 with a tenant already there.  New tenant since 2007.

[Anonymous_]

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@LM2020 wrote:

Bought in 2006 with a tenant already there.

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Then you would use a 39 year recovery period under GDS (placed in service in 2006).

[LM2020]

Great, thank you so much!