CASE STUDIES

Apartment Complex – Case Study 1

Summary: Lane Property Tax Advocates (LPTA) decreased the assessed value almost 30% for the Pointe Plaza Apartments.

Initial assessed value: $1,928,656

Client Profile: Houston based business owner and real estate investor who owns and manages several apartment complexes in the Houston area.

Problem: This apartment complex suffered from a high amount of deferred maintenance and a low occupancy of 82% which was lower than the market stabilized occupancy for the neighborhood. This property is also an “all bills paid” apartment complex which results in higher than typical operating expenses.

Solution: We reviewed the income and operating expenses, as well as the estimated costs for deferred maintenance. We prepared an income analysis and a uniform and equal comparable analysis which considered the occupancy, expenses, and deferred maintenance. We presented our findings to the appraisal review board and achieved a $571,656 reduction in value resulting in a $13,973 tax saving to our client.

Final value: $1,375,000

Office Building – Case Study 2

Summary: LPTA decreased the assessed value almost 30% for the client’s multi-tenant office building at 10448 Westoffice Drive.

Initial assessed value: $736,778

Client Profile: Edmister, Hinshaw, Russ and Associates is a civil engineering, surveying, land planning, construction management services and landscaping design firm. Founded in 1936, they are the second oldest engineering firm in Houston.

Problem: This property was suffering low occupancy at 50% and was excessively over valued by the appraisal district.

Solution: We reviewed the income and operating expenses and then we prepared an income analysis and a uniform and equal comparable analysis. We presented our findings to the appraisal review board and achieved a $183,122 reduction in value resulting in a $5,559 tax saving to our client.

Final value: $553,656

Retail Automotive – Case Study 3

Summary: LPTA decreased the assessed value over 30% for the client’s retail automotive store at 9105 Jones Road.

Initial assessed value: $631,768

Client Profile: My Mechanic is an automotive repair company with eight Houston area stores. My Mechanic is the largest locally-owned and operated automotive repair firm in the City of Houston.

Problem: The property was excessively over valued by the appraisal district.

Solution: We analyzed the surrounding area sales and tax comparables and determined that the appraisal district had not uniformly and equally assessed the land. We determined that the property’s land value was over $4.00 per square foot higher then comparable sites. We presented our findings to the appraisal review board and achieved a $194,968 reduction in value resulting in a $5,313 tax saving to our client.

Final value: $436,800