Would you like to save money? In March, I wrote about 10 Ways Landlords Can Cut Costs and Increase Income Now. A great way to cut costs and add value now is by reducing real estate taxes.
Tax Appeals Can Lower Costs and Add Value. A tax appeal can reduce your property costs and have other benefits. Lower costs can help you and your tenants save money, survive, and thrive. Lower costs can also add value to your property by helping you attract and retain the best tenants and giving you a competitive advantage over others paying higher taxes. Furthermore, having this competitive advantage can help you close deals fast and lease current and future vacancies.
Improved Leases Can Lower Costs and Add Value. Landlords can also reduce taxes by structuring deals and improving language to maximize recovery of taxes from tenants as additional rent. For example, you can include adequate language to ensure that tenants are responsible for all obligations, including, without limitation, all taxes, assessments, charges, substitute taxes, and the fees and costs relating to tax appeals. You can also include language to ensure that you have the right to file and control tax appeals. Additionally, you can cut costs and add value by reducing risks that may be hidden in your leases like landmines, such as risks that tenants may force you to pay for some unexpected tax bills, or terminate and leave you with the entire tax burden.
Outside Counsel Can Help. An experienced tax appeal lawyer can help you lower costs and add value by properly evaluating and handling your case and working closely with experienced real estate appraisers, municipal tax assessors and others. An experienced real estate attorney can also help reduce costs and add value by improving your leases and related documents. Moreover, it is critical that you timely call counsel since failure to timely file a tax appeal or related documents can result in dismissal and failure to properly prepare lease documents can result in lost rent and other damages.
These are just a few examples of how you can, with the help of experienced counsel, improve the bottom line now. Evaluating your tax appeal, leases and other legal issues requires careful review on an individual basis with experienced counsel. The attorneys in Stark & Stark’s Commercial and Industrial Real Estate Group can help you minimize costs, maximize opportunities, and meet your needs.