Carl
Level 15

Investors & landlords

The actual rental property itself must be depreciated over 27.5 years.

The safe harbor is only if the property improvement cost less than $2,500 or less that 2% of the structure value.

Safe harbor has nothing to do with the special depreciation allowance. You can not use the special depreciation allowance on the structure itself. It must be depreciated over 27.5 years.