By: Derek Hawkins//August 11, 2020//
WI Court of Appeals – District I
Case Name: Milwaukee Block 10 Properties, LLC, et al., v. City of Milwaukee
Case No.: 2019AP1424
Officials: Brash, P.J., Blanchard and White, JJ.
Focus: Tax Assessment – Validity
The City of Milwaukee appeals an order of the trial court regarding the claims of excessive property tax assessments brought by Milwaukee Block 10 Properties, LLC and Milwaukee River Hotel, LLC (collectively “Block 10”) for its property, the Aloft Hotel. Block 10 argues that the 2016 tax assessments for the Aloft was excessive because it improperly included parking income generated from parking guests’ vehicles in a parking ramp that is off-site and owned by a third party.
The trial court found that the 2016 assessment should not have included the parking income because that business value would not be transferred upon a sale of the Aloft because the hotel does not own the ramp. The court therefore ordered reassessment for 2016, which resulted in reimbursement to Block 10 of more than $20,000.
We disagree. The relevant issue for consideration is whether the parking income would continue upon a theoretical sale of the Aloft, and the ownership of the parking ramp is not a pertinent factor in this analysis. We therefore reverse and remand this matter for the entry of a judgment in favor of the City, and the dismissal of Block 10’s complaint.