Asphalt rubber binder has been used in chip seal applications for over 40 years and has proven to be very cost-effective. However, even asphalt rubber chip seals are limited to where they can be placed successfully. Asphalt rubber chip seals have proven to be very cost-effective in cape seal applications. In order to improve the smoothness and ride qualities in many applications a leveling course can be placed on the existing surface prior to placing the chip seal. By utilizing high quality slurry surfacing (microsurfacing) as a leveling material the cost and time can be significantly reduced in these types of applications. The purpose of this paper is to illustrate the cost-effectiveness of three layer cape seal pavement preservation strategies using asphalt rubber binder in combination with slurry surfacing. The paper will illustrate how the strategy has become a viable preservation alternative when considering the rehabilitation of severely deteriorated hot mix asphalt pavements