New Rights for Cook County Taxpayers
Commercial and industrial property owners in Cook County can, for the first time, appeal their property assessments to the Illinois Property Tax Appeal Board (PTAB). This signals a new era of accountability for government and a new avenue of potential relief for taxpayers.
In addition to the valuation successes which FK&K has already experienced in its hearings before PTAB, we also see the potential for dramatic changes in the lowering of the level of assessment for commercial and industrial properties. This relates to a creative argument which may exist based on constitutional limitations in the assessment of one property class as compared to other classes.
The 1997 assessment appeals are now reaching the trial stage at PTAB and we shall continue to aggressively pursue all avenues of tax relief for our clients utilizing these and other legal and valuation concepts.
Contact Bob Tonos if you have any questions.
Economic Incentives
FK&K has limited its practice exclusively to property tax and assessment law for 58 years. Many of our clients will be pleased to learn that we are incorporating a valuable related service: Economic Incentive Opportunity Management. Under the skillful direction of Michael Haddad, we will seek to secure economic incentives for our clients who are expanding an existing location or developing new facilities elsewhere. These opportunities include:
Property tax abatements
Tax Increment Financing (TIFs)
Low interest loans
Outright grants for infrastructure
Employee training for new jobs or for changes in existing jobs
Proper negotiations with states and municipalities often result in financial considerations for projects at their inception. FK&K’s traditional services have resulted in significant tax dollar savings for our clients once their real estate has been built and then throughout the life of the project. We are now capable of securing appropriate pre-development financial contributions. Our comprehensive service includes advice regarding site selection, discovery of incentive opportunities, negotiation of incentives, and property tax appeals.
Mike Haddad will be pleased to reply to questions about economic incentives.
Fisk Kart and Katz News
Attorneys Jeffrey A. Brown and Robert J. Tonos have become partners in the firm.
Jeff will continue his focus in assessment matters involving major industrial complexes, office buildings, hotels, shopping centers and apartment developments as well as industrial incentive assessment applications and Tax Increment Finance (TIF) projects.
Bob’s partnership role will continue with his concentration in real estate taxation and assessment matters in Cook, DuPage, and downstate counties as well as assessment litigation in state courts and before the Property Tax Appeal Board. He will continue his long-time involvement with the Real Estate Taxation Committee of the Chicago Bar Association as well as his activities with the Civic Federation of Chicago.
Marty Katz addressed The Realty Club of Chicago on March 12th regarding current local and national developments in property taxation.
Michael Haddad has joined FK&K to lead the firm’s economic incentive practice. Haddad is a nationally known advocate for real estate growth and development through his longstanding active membership in the International Development Research Council (IDRC). In addition to private practice, Mike previously acted as Real Estate Attorney for the Great Lakes Region for Amoco, Vice President of Amoco Properties and Manager of Leasing, and Manager of Real Estate and Property Tax for USG Corporation and all its subsidiaries.
Bob Tonos recently spoke at a continuing legal education seminar for attorneys sponsored by the Chicago Bar Association. The seminar was entitled "Real Estate Taxation: An Overview for the Non-Specialist." Topics included constitutional and statutory bases of real estate taxation, procedures in and outside Cook County, and the various remedies available to the property owner and the timing of those remedies.
Jim Regan participated in the joint American Bar Association / Institute for Property Tax Professionals Seminar in New Orleans on March 25th. He addressed property tax considerations involving REIT acquired properties. Six other American Property Tax Counsel attorneys were featured speakers as well.
American Property Tax Counsel News
Our most recent APTC Seminar addressed Reducing the Real Estate Tax Impact on REIT and Trophy Properties. Presentations included: "Critical Issues from Negotiation to Closing," "Explaining REIT Acquisitions to the Tax Man," "Allocating Real Estate Value: Avoiding Federal Tax Problems" and "A Road Map for the Taxable Valuation of Securitized Real Estate." Industry experts and APTC members participated and agreed that non-real estate assets were being included in the ad valorem tax process and that institutional owners were being forced to shoulder tax burdens well beyond the value of their real estate.
As a result of the Seminar, a Joint Task Force was formed, chaired by Jim Regan, consisting of APTC members, industry representatives, an economist, and a representative of NAREIT to monitor legislation, court decisions and track the assessments of securitized real estate.
More information about the REIT Seminar can be obtained at www.aptcnet.com
APTC announced that this year’s Seminar will address both issues concerning the valuation of utility properties emanating from deregulation and the unlawful ad valorem taxation of intangibles.
Steve Paul of Baker & Daniels in Indiana was elected Corporate Secretary. Andy Raines of Evans & Petree in Tennessee and James Popp of Popp & Ikard in Texas were appointed to the APTC Nominating Committee and John Garippa of Garippa & Davenport in New Jersey and Stanley Fineman of Wilkes, Artis, Hedrick and Lane in Washington D.C., were named to the Executive Board by APTC’s President, Marty Katz.
National Real Estate Investor selected APTC to furnish several of its Tax Notes Columns in 1999. The January issue featured "Eliminating Intangible Value Reduces Real Estate Taxes" by Marty Katz. The March article was written by James Popp on "Determining Hotel Business Value for Property Tax Purposes."
National Real Estate Investor also featured a Corporate Profile of APTC in their annual Sourcebook for 1999.
Reprints of these articles are available through Linda Frattura.