Wal-Mart Stores East, LP Property Tax Appeal Settlement Copyrighted
May 20, 2019
City of Dubuque Consent Items # 8.
ITEM TITLE: Wal-MartStores East, LP PropertyTaxAppeal Settlement
SUMMARY: Senior Counsel recommending approval of a Stipulation of
Settlement for a property tax appeal filed by Wal-Mart
Stores East, LP for their property (Sam's Club)at 4400
Asbury Road.
SUGGESTED DISPOSITION: Suggested Disposition: Receiveand File;Approve
ATTACHMENTS:
Description Type
Staff memo Staff Memo
Stipulation of Settlement Supporting Documentation
Notice of Voluntary Settlement Supporting Documentation
Dubuque
Barry A. Lindahl, Esq. THE CTTY OF „
Senior Counsel �'��6�1
Suite 330, Harbor Vie�v Place �� � ����'�"�����I
300 i�tain Street ��
Dubuque, Iowa 52001-6944
(�63)583-41 l3 oftice • 2007•2012
�s6>>ss3-lo�o ta� Masterpieee on the Mississippi 2o,3.Zo1,
balesq c citvofdubuc�ue.ore
Office Hours: 8:00 AYI—5:00 PM,T-W-Th
8:OOAM-12:00P�1,F
AGENDA LETTER
May 2, 2019
Mayor and Members of the City Council President of the Board of Directors
of the City of Dubuque Northeast lowa Community College
City Hall P.O. Box 400
13t" & Central Avenue Calmar, IA 52132
Dubuque, IA 52001
Chairperson of the Chairperson of the Board of Trustees
Dubuque County Board of Supervisors Dubuque County Hospital
Dubuque County Courthouse Sunnycrest Manor
720 Central Avenue 2375 Roosevelt Street
Dubuque, IA 52001 Dubuque, IA 52001
Chairperson of the School Board Chairperson of the Council of the
Dubuque Community School District Dubuque County Agricultural Extension
Central Administration Offices Service
2300 Chaney Road 14858 West Ridge Lane, Suite 2
Dubuque, IA 52001 Dubuque, IA 52003
Chairperson of the Conference Board
of the City of Dubuque
City Hall
13th & Central
Dubuque, IA 52001
RE: Wal-Mart Stores East, LP vs. City of Dubuque Board of Review
2017 Property Tax Appeal
Property Assessment Appeal Board Docket No. 2017-104-00289C
Enclosed is a copy of the Stipulation of Settlement regarding a tax assessment appeal
filed by Wal-Mart Stores East, LP (Wal-Mart) filed with the Property Assessment Appeal
Board. lowa Code Sec. 441.44 requires that the Stipulation of Settlement be served upon
each of you.
There is one property that is the subject of this appeal: Sam's Club property located at
4400 Asbury Road.
The Sam's Club Properfy
The property which is the subject of this appeal and proposed settlement is the Sam's
Club retail facility located at 4400 Asbury Road, parcel number 1016351037. The property
sits on 18.24 acres and has a one-story concrete block steel frame building with 134,532
square feet. The building is used as a retail facility and has a minimally finished interior.
The building has a sprinkler system throughout the entire building and an office
mezzanine of 3,884 square feet. The building was originally constructed in 2006. There
is also a gas service area with a small building and a large canopy. The land has a large
amount of paving covering the surFace.
2017 Appeal
Wal-Mart filed a protest with the City of Dubuque Board of Review in April of 2017
appealing the 2017 assessed value of $10,033,420. In the protest Wal-Mart supplied
some big box comparable sales and an equity comparison with other big box stores in
Dubuque. Wal-Mart claimed the assessed value should be $8,084,880. The Board of
Review reduced the property value to $8,700,000 but then reconsidered and changed the
value to $9,200,000. Wal-Mart then filed an appeal with the Property Assessment Appeal
Board for the 2017 assessment asking for a reduction to $7,409,820.
The Appraisals
An appraisal was completed for Wal-Mart by Chris Jenkins a MAI appraiser with CBRE
Valuation & Advisory Services of West Des Moines lowa. Mr. Jenkins reached a market
value conclusion of $8,000,000.
Dennis Cronk, an MAI with Cook Appraisal of lowa City, lowa, completed an appraisal for
the Dubuque City Board of Review. Cronk's values using the three approaches to value
- the cost approach, the comparable sales approach and the income approach - were
$8,980,000, $9,580,000, and $8,990,000. Cronk's final conclusion of value was
$9,300,000 for the 2017 assessment.
Proposed Settlement
The City Board of Review and Wal-Mart have reached a tentative settlement for an
assessed value for January 1 , 2017 and January 1, 2018 of$9,000,000.
The settlement will result in a total tax loss to all taxing bodies of $5,924 for each of the
2017 and 2018 assessment years.
Pursuant to the Stipulation of Settlement these appeals will be dismissed and the
assessed value will be adjusted to $9,000,000 for the 2017 and 2018 years. The value
for 2017 and 2018 will be apportioned as follows:
2
Land $1,760,500
Building $7,239,500
Total $9,000,000
The proposed settlement will be presented to the Property Assessment Appeal Board
after fourteen days from the date indicated on the attached Notice of Voluntary
Settlement. If there are any objections to the settlement they should be made known to
the Property Assessment Appeal Board prior to that time. If you have any questions about
the proposed settlement, please contact City Assessor Rick Engelken at 563-589-7800.
Very si rely,
B ry A. Lindahl, Esq.
C unsel for City of Dubuque Board of Review
Enclosure
Attachment
cc: Michael C. Van Milligen, City Manager
Kevin Firnstahl, City Clerk
Rick Engelken, City Assessor
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3
IOWA PROPERTY ASSESSMENT APPEAL BOARD
PAAB Docket No. 2017-104-00289C
Parcel No. 10-16-351-037
WAL-MART STORES EAST, LP,
Appellant,
vs.
CITY OF DUBUQUE BOARD OF REVIEW,
Appellee.
STIPULATION OF SETTLEMENT
Appellant Wal-Mart Stores East, LP, and Appellee City of Dubuque Board of
Review, state to the lowa Property Assessment Appeal Board that the pending litigation
with regard to the tax assessment for the following-described property as of January 1,
2017:
Parcel No. 1016351037
has been settied and agreed upon as follows:
Valuation:
Land $1,760,500
Building $7,239,500
Total $9,000,000
It is further agreed that the Valuation of $9,000,000 shall be effective for January
1, 2018.
It is further agreed that upon entry of an lowa Property Assessment Appeal Board
Order confirming the above settlement, the above pending litigation shall be dismissed
with prejudice.
Dated this 2nd day of May, 2019.
WAL-MART STORES EAST, LP CITY OF DUBIJQUE BOARD OF REVIEW
Appellant Appellee
�
By: �� � By: ;�
Matthew G. Barnd � �,arry A. i.indahl, Esq.
Bradley 8� Riley PC Suite 330, Harbor View Place
2007 First Avenue SE 300 Main Street
PO Box 2804 Dubuque, IA 52001
Cedar Rapids, IA 52406-2804
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2
IOWA PROPERTY ASSESSMENT APPEAL BOARD
PAAB Docket No. 2017-104-00289C
Parcel No. 10-16-351-037
WAL-MART STORES EAST, LP,
Appellant,
vs.
CITY OF DUBUQUE BOARD OF REVIEW,
Appellee.
NOTICE OF VOLUNTARY SETTLEMENT
TO: City of Dubuque, lowa
County of Dubuque, lowa
Dubuque Community School District
Northeast lowa Community College
Dubuque County Hospital
Dubuque County Agricultural Extension Service
Conference Board of the City of Dubuque
YOU ARE HEREBY NOTIFIED, pursuant to lowa Code Section 441.44, that the
above-named Appellant and the City of Dubuque Board of Review, Appellee, have
entered into a voluntary settlement of this assessment appeal.
A copy of the proposed Stipulation of Settlement is attached hereto.
This Stipulation of Settlement will be presented to the lowa Property Assessment
Appeal Board for approval no sooner than fourteen days from the date of this Notice.
Dated this 2nd day of May, 2019.
CITY OF DUBU: E BOARD OF REVIEW
Appeilee �
�
By:
Barr,� A. Lindahl, Esq.
Suit`e 330, Harbor View Place
300 Main Street
Dubuque, IA 52001-6944
(563) 583-4113
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