Using figures from a study put together by the Service Employees International Union last year in support of striking janitors, Steve Jansen’s cover story in this week’s Houston Press highlights some spectacular feats of Houston highrise taxcutting: “For the 2011 tax year, if the owners of a class A skyscraper or office complex protested HCAD’s appraised value in front of HCAD’s appraisal review board or district court, they were 77 percent likely to have the value cut (and almost always by millions). By contrast, only 55 percent of owners of single-family homes won their appeals with HCAD.” Total resulting savings on those high-dollar tax bills: $58 million in 2011 alone. This year, HCAD is raising the market valuations on many of the city’s fanciest office buildings by more than 50 percent. But don’t expect those numbers to hold when the companies have lawyers at the ready. For 2012, 70 percent of large downtown commercial office property owners went ahead with property-tax lawsuits against HCAD. [Houston Press] Photo of Wells Fargo Plaza, which through lawsuits and negotiated settlements gained valuation reductions totaling $380 million between 2006 and 2011: Matthew Colvin de Valle [license]
“Across the city, prime office buildings are selling for far more than their tax values, leaving billions in potential tax revenue on the table at a time when city and county budgets are stretched,” writes business columnist Loren Steffy. “It’s almost as if there’s two sets of books: one for the buyers and sellers, and one for the tax man. 
Walmart’s ridiculously humungous Cedar Crossing distribution center near Baytown now belongs to . . . Walmart. 
Craig Malisow tries to unravel the ownership mystery behind the abandoned strip center that serves as a rather dilapidated Katy Freeway-facing welcome sign for 2010 Swamplot Award runner-up Sherwood Oaks: “The owner listed on the Harris County Appraisal District is J.E. Eisemann III, who died in 1981. Interestingly, he seems to have purchased the property in 1988. Apparently, HCAD inherited this information from the Harris County Tax Assessor’s Office, which never had any problem with a dead owner, because the dude, while dead, was paying his taxes. 
About Swamplot
Swamplot covers real estate, home design and renovation, architecture, and the landscape of Houston, Texas. Swamplot did not flood during Allison — or Ike! Honest!
Read moreSend us a tip
-
Advertise
Subscribe to Swamplot
Links
1031 Exchanges
Home Design
Houston Blogs
Houston Media
Mortgages & Financing
Neighborhood Associations
Property Research
Real Estate News
Sustainable Development & Green Design
Comment of the Day: Houston First Skips the Bully Sales Block
“Instead of ‘hoping’ to get residential/retail development on the site, why not REQUIRE such development on the site via deed restrictions or other contractual agreements with the buyer?
This is how HISD screwed themselves on the sale of their old administration building. They sold to the highest bidder and ‘hoped’ they would build something like the fancy mixed use rendering they were passing around. Instead we got a Costco and an LA Fitness.
When you consider that HISD pockets more than 50 percent of every tax dollar paid by the property, they might have made more money in the long run by GIVING AWAY their land to someone who would have developed it more intensely.” [Bernard, commenting on Headlines: Downtown Block for Sale; Accessing Remote Hermann Park]