Our client owned a multi-family property that was assessed at $133M. However, we believed that the improvements enrolled exceeded the market value. The Assessor's estimate for rents was too high, and the land residual for a market extraction approach was not high enough.
At Paramount, we are committed to ensuring a fair assessment for our clients. We conducted a thorough analysis of the property, considering the actual cost of improvements and applying a market extraction approach. By comparing the actual cost and utilizing accurate market data, we were able to demonstrate that the Assessor's estimate was overstated for rents and underestimated for the land residual.
After presenting our findings and evidence, the Board agreed with Paramount's valuation. The assessed value was reduced to $110M, resulting in a $22.7 Million reduction. This reduction reflects the true market value of the property and provides significant tax savings for our client.