Sales, Dispositions and Recapture

Why is a net $1231$ loss especially valuable to a taxpayer?

It is fully deductible as an ordinary loss.

Why is a net $1231$ gain taxed favorably?

It is treated as long-term capital gain.

Why is gain on $1245$ property ordinary at first?

Because all depreciation taken is recaptured as ordinary income.

When does excess gain on $1245$ property receive $1231$ treatment?

Only after ordinary recapture equals total depreciation taken.