Missouri State Tax Commission Overturns County Assessment of Commercial Real Estate in Property Tax Appeal

On April 10, 2014, the State Tax Commission determined that the Board of Equalization’s assessment of commercial real estate owned by St. Charles Cine, LLC (the “Movie Theater”) was rebutted by substantial and persuasive evidence by the Movie Theater.

The Movie Theater owns real property on which sits an 18 screen movie theater in St. Charles, Missouri.  The assessor appraised the property at $8,905,370, an assessed commercial value of $2,849,720.  The St. Charles County Board of Equalization sustained that assessment.  At the State Tax Commission hearing, the Movie Theater presented the testimony of an appraiser along with his written appraisal.  The Move Theater’s appraiser opined that the true value of the real estate was $4,500,000.  The Assessor also presented the testimony of an appraiser.  He concluded that the true value of the real estate was $8,300,000.

The State Tax Commission concluded that the Assessor’s appraiser, unlike the Move Theater’s appraiser, had no prior experience in appraising movie theaters.  Consequently, the State Tax Commission set the true value of the property at $4,500,000, as requested by the Movie Theater.  The tax appeal resulted in in an almost 50% reduction in commercial real estate taxes.

Case Reference:  St. Charles Cine, LLC v. Shipman

The content on this post does not constitute legal advice and is for informational purposes only.  You should not act upon the information presented on this website without seeking the advice of legal counsel.  Should you wish to speak to an experienced commercial and residential real estate tax appeals attorney, please feel free to contact me directly. You may also view more information concerning my legal services and background.