$80,000 in Savings For Life On Riverside Vacant Commercial Lot

Highlights

In determining property tax liability on a vacant commercial lot, the Riverside County Assessor choose to ignore a little something called “Proposition 13” and enroll a much higher value than the lot’s purchase price. Our client purchased this commercial lot in Palm Desert for $1.8 million. Because the property was an REO (real estate owned) that was listed for over 400 days on the market, the enrolled property price was $8 million. Yes this is not a typo. Tax liability from $1.8 million to $8 million! Imagine the increase in taxes.

Our research revealed that the Assessor used land sales of the parking lot at the Indian Wells Tennis Center and a lot next to PGA West to justify such a high value. We filed the appeal and brought our case to the Assessment Appeals Board. Because the Assessor’s office did not enroll the purchase price, it carried the burden of proof.  We developed an appraisal and legal case that proved the purchase price was indeed the correct value. Also we showed that the comps the Assessor was using were not comparable and the adjustments were not correct. The Assessment Appeals Board agreed and lowered the value for the life of ownership to $1.8 million, saving the taxpayer $80,000 per year in tax savings for life.

Yes: $80,000 per year in tax savings for life. Again, not a typo. But merely another success story for staff of Paramount Property Tax Appeal, fighting hard for your savings … and your business.

 

Success