For California Commercial Property Owners
2020 was a brutal year for many California property owners. Especially in the multi-family, office, retail and hospitality sectors. Revenues plunged, investment values took a significant dip, and uncertainty omnipresent. Fast forward to today, the future looks significantly brighter… even in the office sector. The lull in construction being a primary driver of the bullish outlook.
2020 Was a Different Universe. Don’t Leave Money on the Table
As we adjust and move forward, it is important to review the impact Covid had on your investment/business last year. The tax man never, sleeps and on-time has issued their annual property tax bills, without much proactive relief (if any).
If your property incurred significant revenue loss in 2020, it would be prudent to review and determine whether an adjustment of this year’s valuation is merited. This year’s 2021/22 valuation is based on your property’s value/performance from last year. The assessor takes a yearly snapshot on the lien date (the date of valuation of property on the local assessment roll) to determine your property tax bill. Even when considering Prop 13 valuation protection, the dip in the 2020 value may be worth review.
Bottom Line
It is your right to contest your property assessment through the property tax appeal process. While every property has a different story, it would not hurt to consult with property tax consultant to see whether your apartment, office building, retail center or hotel/motel. A short conversation with a specialist will cover the bases on whether an appeal is merited. That refund will not appear in your P.O. Box unless you challenge the assessment.
Jay is a founding partner of the property tax firm of Grant Lee Bradley, Inc. For the past 20 years he has led his company to be one of the top property tax consulting groups in California, Nevada and Arizona. Grant Lee Bradley is an elite group of property tax consultants dedicated to effectively contesting and collecting overpaid property taxes.
His clients include QUALCOMM, Siemens, Merck, PerkinElmer, SeaWorld, Fujifilm, Solar Turbines, Panasonic, DuPont, BD, LabCorp, Dell, Lockheed Martin, AirGas and many other Fortune 1000 companies.