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Friday, October 07, 2016

Ind. Gov't. - "Property's sale price confirms original assessment, which owners had successfully appealed"

Interesting story in the $$$ Bloomington Herald-Times, reported by Ernest Rollins. The story begins:

The owners of an eastside Bloomington apartment complex, who appealed their property assessment and won, have sold that property for just about what Monroe County Assessor Judy Sharp argued all along was the market value of the property.

According to a September sales disclosure form, IA Bloomington Fields LLC of Oak Brook, Illinois, sold three parcels of The Fields, an apartment complex on Fenbrook Lane, to The Fields SH LLC, of Houston, Texas, for $33.3 million.

According to a 2014 Herald-Times article, the Fields originally was assessed at $33 million, but following an appeal from the owners and several years of waiting for a decision from the Indiana Board of Tax Review, both parties agreed to settle on an assessment value of $28 million. As part of that settlement, the owners were refunded just over $732,000 in taxes paid along with interest while the property was still going through the appeal. The county council at that time moved some money out of the rainy day fund to help cover that mandated expense.

Sharp said the sale of the property at around $33 million is frustrating for her.

“We knew that our value was right on the dollar,” Sharp said. “I have been upset ever since it happened, because I knew my values were correct.”

There is much more in the story, including:
If an appeal reaches the state level, she noted, it can take years before it is resolved, and this is potentially problematic for a county.

“The breakdown is once it leaves the county office and you have to wait for years for resolution to a hearing,” Sharp said.

She said the longer it takes for a decision to be made on an appeal, the more the county has to take into account the potentially growing cost of things such as interest, penalties and refunding taxes if the taxpayer prevails.

Posted by Marcia Oddi on October 7, 2016 09:34 AM
Posted to Indiana Government