In retail valuation, all approaches to value are analyzed. In addition to the traditional approaches (Cost, Market, and Income), the subject assessment is compared to other similar retail properties to determine the Uniform and Equal approach based on comparable properties with similar characteristics. Then the best approach for each situation is pursued. Retail properties are either income producing or owner occupied. The appropriate approaches are analyzed to determine the optimum avenue for the best reduction.
For most Retail properties, the income approach is typically used. The actual rents, expenses, CAM charges (if any) and occupancy rates are analyzed and compared to the market and appropriate cap rates are employed. After thorough inspection of the subject property for specific negative issues such as: deferred maintenance, functional problems and any other issues, all the data is assembled.
The appraisal districts records are reviewed to determine the method used to set their value and comparisons are made to our models. An appeal summary is generated from our proprietary system that contains all pertinent information to effect the lowest valuation and we proceed to the informal appeal.
If we are not satisfied with the informal results, we proceed with the formal board hearing, which is the completion of the administrative appeal process. If a favorable result is still not achieved, we will determine whether pursuing judicial remedies in district court would be feasible.