CC BOARD OF REVIEW MINUTES 04141987

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-5- -he was also given to understand most commercial property values had dropped 17% since the new tax law had passed. The office condo owner said further: -his condo is divided into three 360 square foot offices for which he asks rents of $295, including utilities; -he has had a 30% vacancy for the past six months but, even with a 100% occupancy, he would be paying 1/3 of this income in taxes on the property; -he considered the rents in the complex to be realistic even though there is a 40% vacancy; and -he perceives it would be necessary for him to go to the bank for help before he could even sell his property or else continue to lose money every month. When he asked the realtors what he could do to solve his dilemma, Mr. Tromiczak said he was told, if he could get his taxes reduced, the condo might be perceived by prospective buyers to be more profitable and its value might even be raised up to the $75,900 he paid for it in the fall of 1985. • Assessors Response Mr. Holmes indicated it had been he who had set the assessed value on Mr. Tromiczak' s condo and had explained to him over the phone that: -all sales which had taken place at the Northgate had been original developer sales to first owners and each and every one of them had been in excess of what their 1987 assessed valuations were; -no secondary sales had occured which could provide a basis for reducing those valuations; -the condos which have been sold had been purchased over the last two years. There had been gradual price escalations for those properties during that period and those prices have all been met. Mr. Hanscom added that: -residential and commercial condos started out as very popular pro- perties to own; -assessors look at the sales a year prior to the assessments so any slide in value since January, 1987 , would not be reflected in this year' s evaluations; • -properties that sell in 1987 will be used to determine the 1988 assessment.