Oh I agree on the 709 - Gift Tax Return. But in the interest of not "adding to the mix", since that's not the owner's issue, I didn't address it since this gift occurred years ago. Probably should have though.
As far as documentation on costs of those improvements, that may or may not be available. However, all the filings for the work would still be available at the courthouse. That is of course, assuming such filings for property improvements were required and were actually done. In my experience, a property improvement that does not change the amount of floor space will generally not be filed - though it probably should. For example, when someone is going to remodel their bathroom.
