Meaning, if you take the money only, you would have depreciation recapture from your cost basis up to the original purchase price of the building (not including the land cost because it wasn't depreciable), plus a capital gain up to the insurance proceeds.Hope this makes sense. 

I think working with an architect to build something really unique and custom is always the best move if you have the budget for it.

Its a 12 unit building so lets say 2 persons per unit . 60x2=120 a day per unit 120 x 12 units = 1440 gallons Depending on area lets round it up to an even 2000 gallons . 

I am from out of state so wanted less maintenance in the short term while I build my portfolio and grow to the point where I am comfortable hiring a manager!   

First build a team, then build a empire. 

A cost segregation study was performed on this apartment building in Knoxville, TN with a depreciable cost basis of $17,323,250.

@Cameron NordinA cost segregation study accelerates depreciation by classifying certain building components as personal property or land improvements, allowing them to be depreciated over shorter recovery periods (e.g., 5, 7, or 15 years instead of 27.5 or 39 years).By accelerating depreciation, cost segregation lowers your tax basis more quickly than standard straight-line depreciation.

Personally I like the work part and building up to something.

@Ella Marie the Pro's are you can build long term wealth, the Cons are you can lose money if you cannot properly quantify risk.

Empty buildings, not much to get excited about.