In 2011, before the US Bank National Association received court permission to put the mall up for auction, the property assessment, upon which the mall’s property taxes are based, was challenged.
The challenge is still ongoing and will continue even while the auction process moves forward.
So why does that matter?
The property taxes on the mall are major income sourced for North Coventry, the Owen J. Roberts School District, and for the County, as each levies a tax on property.
No court date has been set for the assessment challenge, but it reportedly will not occur prior to November 30.
Before the court date, a new “fair market price” for the mall will be set at the auction, which could potentially help or hurt the challenge. A “common level ratio factor” formula can then be used to calculate the property’s market value.
If the property is purchased at a price less than the assessment suggests, then the bank may convince the court to lower the property’s assessment, which would in turn decrease the revenue received by the county, township, and school district.
There’s still much speculation about what could happen to the property, but the public won’t have many answers until the auction date. To learn more read the Daily Local News article.