Commercial Property Tax Appeals
The commercial real estate sector slowed last quarter as the economy grew sluggish and debt financing began to dry up. According to Real Capital Analytics, Inc. (RCA) the dollar volume of commercial real estate transactions fell 15% in the third quarter vs. the second quarter. RCA only includes property transaction with values above 2.5 million dollars. CoStar Group, Inc. which includes all commercial transactions showed a drop in transaction volume of 29%. There is increasing concern that the European debt crisis will surge onto the U.S.A.'s weak economic shores and cause major damage.
The PwC Real Estate Investor Survey shows that capitalization rates on the majority of property types were down slightly in the third quarter vs. the second quarter, with only power centers and regional malls ticking up slightly. Atlanta has the distinction of being the only city included that shows an increase in office property capitalization rates. The Atlanta office market cap rate is essentially unchanged this calendar year, however.
Fair Assessments, LLC was formed in 2010 to produce outstanding commercial property tax reduction services for property owners throughout the Southeast. In our first full year of service our clients are enjoying an average property tax assessment reduction of 21%. If you would like to be a satisfied 2012 property tax reduction client please contact us at Fair Assessments