September 2021 – In a unanimous decision, the Supreme Court of Ohio ruled against a recent argument by attorneys representing Lowes that their big-box property should be valued as vacant for ad valorem tax purposes. The Court of Appeals ruled that a property can only be valued as vacant or “unencumbered” at the time of appraisal if it were free of an encumbrance such as a lease.
Ohio uses a “market-lease rule” in the valuation of income producing properties, thus prohibiting the valuation of a property as if vacant by an appraiser.
To read the full decision from the Supreme Court of Ohio, click here.
