Thanks for everyone's input. Ultimately the reason why this was not showing up on line 19 of Schedule D is because on line 16 there was a capital loss. So the depreciation recapture amount just reduced the capital loss rather than showing up on line 19. The net capital loss on line 15 reduced from $1,238,510 to $1,231,611 resulting in a $3k loss for the year. 

So doing this disposition from the depreciation screen works, it's just that it will only show up on Line 19 if there is no net capital loss coming from line 16.