So you think your property taxes would be lower because there are no structures on it, in the case of vacant land....Today I just got out of a Clark county assessor appeals hearing, at the State level. Just argued about an egregious property tax increase of over 400% on now vacant land that gets assessed much higher at its “highest and best use” JUST BECAUSE the dilapidated structures were demolished.

In the downtown Las Vegas redevelopment area, there is a large bid-ask spread between buyers and seller, and this is precisely why deals don’t get done. At the same time, this high ask, low bid environment leads assessors to utilize this information against property owners, in error.

County appraisers only use the data available to them, and at times, like in this case, the comparable sales and active listings of properties surrounding a subject property may not be relevant, and or maybe far superior or far inferior. They may be too old or too small, or fall just outside of a psychological barrier for development, but not a physical barrier for development, such as a freeway, or Major Boulevard.

Even the MAYOR OF LAS VEGAS verbally told the owners that taxes will go down by demolishing the structures, in grave error in advice. One government department may not have your best interest in mind when it comes to the subsequent, consequential actions of another government department, as was the case here.

Moral of the story? Consult your property tax advisor always, and make sure they’re knowledgeable on the jurisdiction your property is in. Make sure you communicate with them regularly about planned improvements, or in this case, demolition.