In this case, it would be appropriate to allocate only a nominal amount, if any, of the building’s sale price to carpeting.

In most states even nominal transfers to single member LLC's still require paying transfer taxes based on the properties assessed value. 

And one thing I think you’d need to add to your analysis is the total return on retaining the property — that is, the equity appreciation too.If you buy a CD, when it matures you get back the nominal principal but inflation has eroded its real value in the meantime.

Perhaps not for the economy on the whole, especially with the insane amounts of debt being racked up, but real estate prices have effectively depreciated for about 2 years given even when RE prices were going up, inflation was higher so while the nominal prices have increased, real prices have (or at least had, I haven't looked for a while) declined since their peak.  

In most municipalities you will have to pay transfer taxes equal to the assessed value even if transferred for a nominal amount plus deed prep and recording fees.

A competent PMC will simply rent your property to the best tenants -quickly- and they will charge a nominal fee to manage your investment property with competence.

With cash value life insurance whatever is left after paying salesperson's commissions is earning a nominal return, you don't have the ability to invest these funds (unless you take a loan from the policy, think of this, you have to borrow your own money and pay interest to the insurance company on the loan!

That said I'm thinking about throwing a nominal amount of money at it to see how it does.

Keep in mind you will also have to pay transfer taxes based on the properties assessed value, even if the property is transferred from your name to an LLC for a nominal amount + incur deed prep and recording fees.

Equities, stocks, bonds, real estate, gold, silver and everything else is going to increase in nominal value but not necessarily in real value.