You will need figure out the depreciation for the time that it was available for rent in 2016 (using 27.5 s/l mid month convention). The IRS will assume that you took the depreciation. Then you will need to report the total amount of depreciation taken in 2016 when you report the sale (and this depreciation will be subject to a depreciation recapture).
If the property was never available for rent, then you will not have to figure any depreciation.
