Successful Base Year Appeal for Vacated Special Needs School

Results

Overview

A client of Protax LLC purchased an industrial building on Venice Blvd that had been vacated by a special needs private school for $4,526,000. However, the county assessed the property at $10,375,000—an over-assessment of $5,849,000, or more than double the purchase price.

Challenge

Protax LLC faced the challenge of pursuing a base year appeal with the county to ensure the property’s assessed value accurately reflected its fair market value.

Solution

In California, the sales price is generally presumed to be the correct value unless proven otherwise. Protax LLC presented compelling evidence to support the purchase price, including:

• Proof that the property had been exposed to the open market by local real estate brokers.
• Documentation confirming an arm’s-length transaction between unrelated parties.

Results

Following a thorough review of the evidence and analysis provided by Protax LLC, the assessor agreed to the purchase price. This agreement led to refunds totaling approximately $125,000 and a significantly reduced long-term property tax liability for the client.

Conclusion

This case underscores the value of engaging a knowledgeable professional in property tax matters. The annual tax savings secured by Protax LLC will continue to benefit the client for the duration of the property ownership, demonstrating the long-term impact of expert advocacy.