HomeMy WebLinkAbout05-09-2016 Local Board of Appeal and Equalization MinutesBOARD OF REVIEW MINUTES
May 9, 2016
APPROVED
1 CITY OF LINO LAKES
2 MINUTES
3 BOARD OF APPEAL
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5 DATE :May 9, 2016
6 TIME STARTED 6:00 p.m.
7 TIME ENDED 6:20 p.m.
8 MEMBERS PRESENT :Council Member Maher, Manthey, Rafferty,
9 Kusterman and Mayor Reinert
l0 MEMBERS ABSENT :none
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12 Staff members present: Community Development Director Michael Grochala; Public Safety Director
13 John Swenson; City Clerk Julie Bartell
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is Anoka County Assessor Staff present: Molly Johnson, Commercial Appraiser; Scott Schutz,
16 Residential Appraiser.
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18 Mayor Reinert called the meeting to order.
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20 The council had reviewed the official board report at a recent work session.
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22 Anoka County Appraiser Schutz explained that County staff has taken a few phone calls from
23 property owners with questions. He believes they were able to answer all questions satisfactorily.
24 Overall, the residential assessments rose about four percent. He explained the average sales price, up
25 about six percent, and the number of sales on which they were able to base their valuations. Bank
26 owned properties are lower and new construction is rising.
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28 Molly Johnson, noted that there have been some larger increases on the commercial side. She has
29 received three or four calls. Some commercial property owners were present and she indicated that
3o she had not spoken with them.
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32 The Mayor noted that, based on the report of the Anoka County Assessor, there are not remaining
33 questions or concerns about residential properties.
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35 Jackie McNamara and Richard McNamara, stated that they are business partners with the Fogerty
36 family in ownership of Lino Lakes Business Center at 524 Apollo Drive. When they received their
37 valuation for 2017 and compared it with the previous two years, the increase was drastic. They
38 haven't been able to receive comparables to justify the increase but she did put together some
39 information on her own (which was distributed to council and staff). They are asking for
4o consideration of that data. They fear that the tax increase resulting from a drastic increase in valuation
41 would have to be passed on to the tenants and ultimately may cause vacancies. The facilities are at
42 the low end of the leasing scale and that keeps them rented. She added that they attempted to sell
43 the buildings last year and received very low offers. They are prepared to speak with County staff
44 about the situation.
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BOARD OF REVIEW MINUTES May 9, 2016
APPROVED
46 Mayor Reinert concurred. This is the first time the council and staff have heard the McNamara's
47 concern and so he would like to allow time for county staff to look at the numbers. The meeting will
48 be continued to May 23, 5*30 p.m. to allow for further review by the board. He recognized that they
49 are speaking about four buildings owned by Lino Lakes Business Center LLC but the McNamaras do
50 actually own one other property as M&M Financial Company.
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52 Mr. McNamara added that these buildings are block construction and that is less valuable than
53 concrete.
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55 The Board was informed of another appellant present. Patrick Fogerty, an officer for F&G Inc. as
56 well as Lino Lakes Business Center Phase 1 LTG, owners of three buildings at question. They are
57 also part owner of the four buildings addressed by the McNamaras. He provided some information
58 on the increase he is facing. He did his math per square foot, showing an increase from 2016 to 2017
59 from $1.77 to $2.16 per square foot with no improvements or changes in occupancy or rent. On the
60 property at 479 there is an increase of $190,000. He noted that he already took a big hit on that
61 building this year with a bad tenant who cost them $35,000 and caused a vacancy. Other units he
62 noted aren't premium units but are being charged premium rates.
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64 Mayor Reinert noted that the purpose of these meetings is to discuss such concerns. He asked that
65 the assessor report on Mr. Fogerty's situation as well.
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67 Motion by Maher to continue the meeting to a time prior to the deadline for city consideration and
68 when Anoka County has been able to gather more information (determined to be May 23). Council
69 Member Kusterman seconded the motion. Motion adopted on a voice vote.
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A map of the properties was requested by the council.
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73 These minutes were considered and approved at the
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76 u 1 e Bartell, City lerk
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