DECONSTRUCTION APPRAISAL SPECIALISTS
What is deconstruction and how does it differ from typical demolition?
Deconstruction is the process of carefully dismantling a building to salvage its components for reuse and recycling. Whereas traditional demolition is highly mechanized, capital intensive, and waste-generating; deconstruction is labor intensive, low-tech, and environmentally sound. Deconstruction transforms a quick-and-dirty chore into an undertaking that supports community development with environmental, economic, and social benefits.
These benefits include:
- Re-using highly demanded vintage and thrift building materials for use in remodeling projects as well as new construction; certain building materials possess strong market appeal and value.
- Reducing pollution, greenhouse gas emissions, and the need for landfilling and incineration by diverting these materials from the waste stream; an estimated 30 percent of the waste in our landfills comes from construction and demolition, so reducing such waste increases the lifespan of our landfill.
- Conserving energy and natural resources; the repurposing of these materials means the natural resources, labor hours and energy (i.e. electricity) invested in their creation are also salvaged from landfills.
- Creating job training, employment opportunities, and small business development.
- Providing inventory for building materials stores and value-added manufacturing enterprises.
- Retaining the historical significance of buildings.
Three key benefits of donation:
- Economic: your donation is eligible for tax benefits based on the fair market value of the materials.
- Environment: your donation will have a direct and noticeable impact in your local community because the donated material will remain outside the waste stream, thereby extending the lifespan of local landfills.
- Philanthropic: your donation will help provide local support for charitable organizations such as Habitat for Humanity and many others.
The process of qualifying for the tax benefits of deconstruction:
- You can choose to give the donation to any qualified 501(c)3 charity. The IRS maintains a list of eligible charities on its website: www.irs.gov.
- For any donation over $5,000, the IRS requires an appraisal.
- A deconstruction firm that can dismantle the structure must be retained. Most non-profit firms either complete the deconstruction themselves or maintain a list of qualified firms.
- Once the deconstruction is complete, you will receive the appraisal and the signed 8283 form to be forwarded to your tax accountant for inclusion in your tax return.