Modular offices are prefabricated office structures that can be installed in your existing warehouse space, providing an enclosed area within the warehouse itself and allowing the maximum utilization of the available floor space. Not all modular offices are the same shape or size, and they can meet a variety of needs. For example, a modular office may be built as a pressure-controlled cleanroom used for testing in a contained environment. In truth, a modular office does not have to serve as an office and can be a space that’s as versatile as its owner needs it to be.
Modular offices also offer significant financial advantages over building additions. From a tax standpoint, modular office construction qualifies for accelerated depreciation under the Section 179 deduction. This allows for a 100% write-off in the purchase year as opposed to over seven years in the past, and over 39 years for conventional construction. While conventional construction is required to have 39-year depreciation, modular offices have 7-year depreciation. They are also constructed in a fraction of the time it takes to construct an addition, saving both time and money in terms of opportunity costs.