Dr. Brandon Schwindt is a pediatric dentist who practices in Portland, Oregon. He started Kona Kids Dentistry from scratch in 2003, and practiced for 6 years in a leased space before making the investment and buying land to build a new office. He discusses the conversations he had with his financial team to determine if building a large office was the right move from a growth and tax perspective.

In 2011, he completed the building with 3800 sq ft and 8 op chairs plus a hygiene bay. He practices in the location with his wife, who works as a GP seeing adolescent patients, along with an additional new associate.

Dr. Schwindt and I spend a lot of time discussing the process of transitioning from a leased space into a ground-up build, and the lending and tax consequences that go along with it. We review how deductible rent expenses from the practice can go towards paying the mortgage on the building. He explains how depreciating components of the building and smart accounting work helped to lower his tax liability while building equity that he can use to boost his retirement. He also gives advice to new pediatric dentists who are trying to decide if building or leasing is the right choice for their practice.