Its pretty amazing once you put pencil to paper on the cost advantages of NV compared to CA or OR  both being the highest tax states in the country..

I have a solid relationship with the seller of a 5-unit (4 apartment, 1 commercial) building in Mercer County, PA. I currently have a reliable team with my managed properties in the area; however, I don't have a comme...

Land + soft costs (architect, engineering, water, etc. - any cost accounted for prior to permit) should be considered as equity in the deal once ready to build. 

Also you need differentiate your construction costs (hard cost) vs the development costs (soft costs). 

@Sean Graham isn’t your example paying for another cost segregation, which will cost more than a 1031, just to break even on taxes?

It doesn’t matter if you sell it for more or less than your purchase price as you’ve adjusted your cost basis with the depreciation.

Quote from @Lee Ripma: @Sean Pedeflous - I have not personally used this company but they have an algorithm based rapid cost seg which is similar to the two others I have used, KBKG and DIYcostseg.com.

Yet, by your own words you told the tenants that the heating cost would be “a bit” high.  

Whether or not you would benefit from a cost segregation study depends on multiple factors. 

That's like asking how much a car costs.