Commercial vacancies prompt appeals
February 15, 2019
The owners of two retail complexes in northern Douglas County are seeking a break on their assessed valuation due to vacancies.
CV Development Corp. is scheduled to appear before the Board of Equalization on Wednesday to ask for a nearly $5 million reduction in the value of its buildings.
Nevada bases property taxes on the value of property determined by the Assessor's Office.
The company is disputing the $23.63 million value of Carson Valley Plaza located south of Topsy Lane saying 30 percent of its retail spaces are vacant.
They are asking the board to reduce the value of their structures to $18.85 million.
Out of the 47 units available for lease, 33 are occupied by stores like Best Buy, Michael's and Bed, Bath and Beyond. Fourteen of the units, including the former Borders, remain without steady tenants, though a Halloween store has rented the old bookstore in October.
Recommended Stories For You
However, Appraiser Ann Prinz said the actual vacant square footage is closer to 17 percent using the rent roll average of $1.29 a square foot.
The owner of the two large vacant retail spaces next to Target is seeking a reduction in their value.
The former home of Staples and Ross Dress For Less, the taxable valuation is $3.56 million.
The two stores left shortly after Shaheen purchased the building in August 2012
One of the spaces was rented out to the Federal Emergency Management Administration in 2017 as a hurricane call center. That space has been empty since January 2018, according to owner Roger Shaheen.
Shaheen didn't suggest a different valuation for the property, according to the agenda packet. But in a letter to the board he said there appeared to be no market for commercial retail leasing.
"I have a major real estate marketing firm trying to lease or sell this property with no results so far," he said.
He also asked the board for a rebate of taxes paid over the last few years.
The only residential property owner seeking a reduction in assessed valuation is for a home located on Jack Circle in Stateline.
Owner Bernard Hittner paid $4.25 million for the property in 2013 and estimates its value at $4 million today.
The 14,381-square-foot single-family home is on 2.63 acres and has a view of Lake Tahoe and is valued at $4.67 million.
Because Nevada assesses taxes on 35 percent of the property, its assessed valuation is $1.63 million.
The Board of Equalization meets 10 a.m. in the historic Douglas County Courthouse, 1616 Eighth St., Minden.