Lawyer purchased a building and land at a cost of $500,000, $300,000 allocable to the building and $200,000 allocable to the land on June 14, 1985. The property is held an investment. On August 15, 2022, a point when the building has been totally depreciated (under the straight-line method), he transfers the building and the land now worth $800,000 for another building and land also to be held as an investment. The fair market value of the replacement building is $400,000, and the fair market value of the replacement land is $400,000.

1. Can Lawyer apply IRC Sec 1031 to the exchange?

2. Is Lawyer entitled to take depreciation deductions with respect to the replacement building?