Commercial Property

MAXIMIZE YOUR BUSINESS POTENTIAL

Why Protesting Your Property Taxes is Critical for Your Commercial Success

As a commercial property owner, your property taxes significantly impact your bottom line. Regularly reviewing and protesting your property tax assessments can uncover valuable opportunities to reduce costs and improve financial performance. Here’s why it matters: 

Lower Your Tax Liability:

Over-assessed property values lead to unnecessarily high taxes. Protesting ensures you’re only paying your fair share.

Enhance Your Cash Flow:

Reducing your tax burden means more cash on hand to reinvest in your business operations, growth, or other strategic goals.

Protect Profit Margins:

In a competitive market, controlling costs is essential. Every dollar saved through a successful protest strengthens your profitability and can be passed along to incentivize tenants.

Uncover
Exemptions:

We’ll help you identify and apply for any exemptions or incentives your property qualifies for, further reducing your tax liability.

Gain Peace
of Mind:

Our expert team handles the entire process—from analyzing your assessment to representing you in hearings—so you can focus on running your business.

Your commercial property taxes shouldn’t be a mystery or a burden. Let us help you unlock savings and protect your business’s financial health.

COMMERCIAL PROPERTY TAX SERVICES

Valuation Appeals

We manage the entire protest and assessment lifecycle for our clients, lowering their property taxes through data analysis, appeals preparation, and representation before tax authorities both in informal negotiations and formal ARB arguments

Arbitration Representation

When disputes extend beyond hearings, we assist clients with property tax arbitration, offering an alternative dispute resolution process. Our team is skilled in presenting complex financial and legal information in an understandable way to arbitrators, helping to achieve fair resolutions and potentially lower tax liabilities.

Litigation Support

When litigation is required, we provide litigation support to navigate the judicial system. We partner with our client’s legal representation to assist with strategy, document and opinion preparation, and the coordination of expert witnesses, ensuring that our clients are well-represented throughout the entire legal process to contest an unjust property tax assessment.

Tax Bill Auditing

We meticulously audit your property tax bills to identify errors or discrepancies in the tax assessment or calculation. Our auditing process ensures that you’re not overpaying by uncovering any mistakes in the assessment that could lead to financial savings and prevent future issues with taxing authorities.

Annual Budgeting

Our property tax budgeting service helps businesses plan for their annual property tax obligations. We provide detailed projections and strategies to ensure your business stays ahead of potential tax increases. With our help, you can better manage cash flow, avoid surprises, and allocate funds efficiently.

Success Stories

Case Study: Securing a $65,000 Tax Savings for a New Warehouse Tenant

Our client, a major tenant in a newly built 300,000 sq. ft. warehouse, signed their lease at the end of 2023…

1. CHALLENGE

For tax year 2024, the appraisal district assessed the property based on cost, leading to an excessively high valuation…

2. Solution
  • We conducted our own cost analysis, demonstrating that the district’s valuation was inflated compared to actual market conditions…
3. Results

Our work secured a tax savings of approximately $65,000 for our client in 2024—directly reducing their operating expenses…

Case Study: Strategic Tax Planning for a Multi-Building Professional Office Development

Our client, a commercial developer, was in the final stages of developing a large parcel of land with multiple professional office buildings (POBs)…

1. CHALLENGE

Without proactive planning, the appraisal district could assess the entire development as a single taxable entity, significantly increasing the property tax liability…

2. Solution

By working with the client before assessments were finalized, we:

  • Facilitated the appraisal district’s creation of distinct tax accounts for each building and its corresponding land parcel….
3. Results

Through our strategic approach, we minimized the taxable portion of the project, ensuring only the land was assessed—resulting in substantial tax savings…

Case Study: Securing a $400,000 Tax Savings for a Luxury Hotel

A luxury hotel owner faced a staggeringly high property tax assessment, despite ongoing market challenges…

1. CHALLENGE

The appraisal district failed to account for the lingering effects of COVID on the hospitality sector, using an inflated income-based valuation model that did not reflect real-world performance…

2. Solution

We built a compelling argument for a lower valuation by:

  • Conducting a deep income analysis, factoring in real revenue performance, occupancy rates, and broader hospitality market trends…
3. Results

Our work secured a reduction of over $18 million in assessed value, resulting in nearly $400,000 in property tax savings for our client…

Case Study: Securing a $65,000 Tax Savings for a New Warehouse Tenant

Our client, a major tenant in a newly built 300,000 sq. ft. warehouse, signed their lease at the end of 2023. Under their triple-net lease structure, they were responsible for property taxes, making it crucial to challenge any overvaluation.

1. CHALLENGE

For tax year 2024, the appraisal district assessed the property based on cost, leading to an excessively high valuation. This placed a significant tax burden on our client, increasing their occupancy costs. As a tenant, they had the legal right to protest the assessment—but many tenants fail to exercise this right, leaving potential savings untapped.

2. Solution
  • We conducted our own cost analysis, demonstrating that the district’s valuation was inflated compared to actual market conditions.
  • Using industry data and comparable properties, we successfully argued for a reduction through the formal protest and appeal process.
  • Beyond the immediate appeal, we are supporting our client’s litigation efforts to pursue even further reductions.
3. Results

Our work secured a tax savings of approximately $65,000 for our client in 2024—directly reducing their operating expenses. This case highlights the importance of both tenants exercising their rights to protest assessments and property owners ensuring valuations are challenged to maintain competitive lease costs.

Case Study: Strategic Tax Planning for a Multi-Building Professional Office Development

Our client, a commercial developer, was in the final stages of developing a large parcel of land with multiple professional office buildings (POBs). As part of the most recent phase, two new buildings were constructed over the course of 2023 and 2024. Given the scale of the project, they needed a strategic tax plan to ensure they were minimizing their tax burden efficiently.

1. CHALLENGE

Without proactive planning, the appraisal district could assess the entire development as a single taxable entity, significantly increasing the property tax liability. Key challenges included:

  • Ensuring each building and its supporting land were assessed separately to allow for greater flexibility in managing tax obligations.
  • Applying for exemptions on the new improvements, ensuring only the land remained taxable during the development phase.
  • Navigating complex appraisal district procedures to correctly structure the tax accounts from the beginning.
2. Solution

By working with the client before assessments were finalized, we:

  • Facilitated the appraisal district’s creation of distinct tax accounts for each building and its corresponding land parcel.
  • Successfully applied for exemptions on the newly constructed improvements, ensuring that only the land was subject to taxation.
  • Optimized the tax structure to maximize efficiency, ensuring the lowest possible tax burden during the development phase.
3. Results

Through our strategic approach, we minimized the taxable portion of the project, ensuring only the land was assessed—resulting in substantial tax savings. This case highlights the importance of having a trusted partner from the beginning of a project, providing guidance on entity structuring and development strategies that can significantly impact long-term tax efficiency.

By proactively managing the process, we helped our client navigate complex tax rules, reduce costs, and position their development for long-term success.

Case Study: Securing a $400,000 Tax Savings for a Luxury Hotel

A luxury hotel owner faced a staggeringly high property tax assessment, despite ongoing market challenges. While the property had undergone renovations intended to enhance its value, the post-COVID hospitality market remained volatile, impacting revenue and overall valuation. The owner needed a strategic approach to ensure the property’s taxable value accurately reflected these realities.

1. CHALLENGE

Rather than accepting the status quo, we closely monitored the market and certification process throughout the year, looking for opportunities to secure a reduction. Eventually, we identified key changes that justified a substantial reassessment:

  • Newly certified values from comparable properties demonstrated a clear inequity in the client’s appraisal.
  • Recent sales data supported a significantly lower valuation.

Using this evidence, we filed a Chapter 25.25 appeal—a request for correction—on the grounds that the property was now over-assessed by more than one-third. This move re-opened negotiations with the appraisal district.

2. Solution

We built a compelling argument for a lower valuation by:

  • Conducting a deep income analysis, factoring in real revenue performance, occupancy rates, and broader hospitality market trends.
  • Leveraging equity analysis, comparing the property’s assessment to similar hotels facing the same market headwinds.
  • Navigating complex negotiations with the appraisal district, ensuring they fully understood the temporary financial challenges the hotel was facing.
3. Results

Our work secured a reduction of over $18 million in assessed value, resulting in nearly $400,000 in property tax savings for our client. This case underscores the importance of a nuanced approach to commercial property tax protests, especially in industries where market conditions can shift dramatically.
By staying proactive and digging deep into market trends, we delivered substantial, real savings—ensuring our client wasn’t overburdened by an assessment that failed to reflect current realities.

  • Newly certified values from comparable properties demonstrated a clear inequity in the client’s appraisal.
  • Recent sales data supported a significantly lower valuation.

Using this evidence, we filed a Chapter 25.25 appeal—a request for correction—on the grounds that the property was now over-assessed by more than one-third. This move re-opened negotiations with the appraisal district.

Regulated by The Texas Department of Licensing and Regulation | P. O. Box 12157, Austin, Texas 78711 1-800-803-9202 | 512-463-6599 | www.tdlr.texas.go