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Nordstrom Property Tax Appeal Stipulation of Settlement NoticeCity of Dubuque City Council Meeting Consent Items # 010. Copyrighted November 20, 2023 ITEM TITLE: Nordstrom Property Tax Appeal Stipulation of Settlement Notice SUMMARY: Senior Counsel transmitting notice of a stipulation of settlement for a property tax appeal filed by Nordstrom, Parcel No. 1029300009. SUGGESTED Suggested Disposition: Receive and File DISPOSITION: ATTACHMENTS: Description Agenda Letter Stipulation of Settlement Notice of Voluntary Settlement Type Supporting Documentation Supporting Documentation Supporting Documentation Barry A. Lindahl, Esq. Senior Counsel Suite 330, Harbor View Place 300 Main Street Dubuque, Iowa 52001-6944 (563) 583-4113 office (563) 583-1040 fax balesq@cityofdubuque.org Office Hours: 8:00 AM — 5:00 PM, T-W-Th 8:00 AM — 12:00 PM, F Dubuque THE CITY OF All z*l c" DI'll' UB E ;��:� 2007,2012 Masterpiece on the Mississippi 2013-2017 AGENDA LETTER November 8, 2023 Mayor and Members of the City Council of the City of Dubuque City Hall 50 West 13th Street Dubuque, IA 52001 Chairperson of the Dubuque County Board of Supervisors Dubuque County Courthouse 720 Central Avenue Dubuque, IA 52001 Chairperson of the School Board Dubuque Community School District Central Administration Offices 2300 Chaney Road Dubuque, IA 52001 Chairperson of the Conference Board of the City of Dubuque City Hall 50 West 13th Street Dubuque, IA 52001 President of the Board of Directors Northeast Iowa Community College P.O. Box 400 Calmar, IA 52132 Chairperson of the Board of Trustees Dubuque County Hospital Sunnycrest Manor 2375 Roosevelt Street Dubuque, IA 52001 Chairperson of the Council of the Dubuque County Agricultural Extension Service 14858 West Ridge Lane, Suite 2 Dubuque, IA 52003 RE: Nordstrom Inc. vs. City of Dubuque Board of Review 2023 Property Tax Appeal Enclosed is a copy of the Stipulation of Settlement regarding a tax assessment appeal filed by Nordstrom Inc. with the Property Assessment Appeal Board. Iowa 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. The appeal is for the January 1, 2023, assessed value. The Nordstrom Property The property sits on 29.95 acres and has a one-story concrete tilt up building built in 1991 and is used as a distribution warehouse. The facility is 479,054 square feet in size with a wall height of 26 feet. 2023 Appeal Nordstrom filed a protest with the Dubuque City Board of Review in April 2023 protesting the January 1, 2023 assessed value of $18,322,900. The prior year's assessed value was $14,500,000. The protest claimed the assessed value of the property should be $15,000,000. The Board of Review denied the protest and Nordstrom filed an appeal to the Iowa Property Assessment Appeal Board for the 2023 valuation, requesting a reduction to $15,000,000. Proposed Settlement Sales of large distribution warehouses across Iowa were used in determining a proposed agreement. The sale prices ranged from $12,420,000 to $24,500,000 and the size of the warehouses ranged from 327,250 to 410,000 with building wall heights hetwePn 24 to 38 fePJ_ Factors such as age_ wall height and construction tune were analyzed between the properties. The parties have reached a proposed settlement agreement. The tentative settlement is for an assessed value for January 1, 2023 and January 1, 2024, of $17,725,000, Pursuant to the Stipulation of Settlement the appeal will be dismissed, and the assessed value will be adjusted to $17,725,000 for the January 1, 2023 and January 1, 2024 assessed value. The value for 2023 will be apportioned as follows_ Land $1,873,100 Building $15,851,900 Total $17,725,000 The annual total tax loss to all taxing bodies is estimated to be $17,263. The proposed settlement will be presented to the Property Assessment Appeal Board after fourteen (14) 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 Troy Patzner at (563) 589-7800. 4 Enclosure Attachment Very sincerely, Barry A. Lindahl, Esq. Senior Counsel cc: Michael C. Van Milligen, City Manager Adrienne N. Breitfelder, City Clerk Troy Patzner, City Assessor 3 IOWA PROPERTY ASSESSMENT APPEAL BOARD PAAB Docket No. 2023-104-00240C Parcel No. 1029300009 NORDSTROM INC. Appellant, Vs. CITY OF DUBUQUE BOARD OF REVIEW, Appellee. STIPULATION OF SETTLEMENT Appellant Nordstrom Inc. and Appellee City of Dubuque Board of Review state to the Iowa Property Assessment Appeal Board that the pending litigation with regard to the tax assessment for the following -described property as of January 1, 2023 and January 1, 2024: Parcel No. 1029300009 has been settled and agreed upon as follows: Valuation: Land $1,873,100 Building $15,851,900 Total $17,725,000 It is further agreed that upon entry of an Iowa Property Assessment Appeal Board Order confirming the above settlement, the above pending litigation shall be dismissed with prejudice. Dated this 1 day of NORDSTROM INC. Appellant a CTX5X_V1- .2023. CITY OF DUBUQUE BOARD OF REVIEW Appellee Andrew DeBord (Vorys, Sater, Seymour and Pease LLP) �arry A. Lindahl, Esq. IOWA PROPERTY ASSESSMENT APPEAL BOARD PAAB Docket No. 2023-104-00240C Parcel No. 1029300009 NORDSTROM INC, Appellant, vs. CITY OF DUBUQUE BOARD OF REVIEW, Appellee. NOTICE OF VOLUNTARY SETTLEMENT TO: City of Dubuque, Iowa County of Dubuque, Iowa Dubuque Community School District Northeast Iowa Community College Dubuque County Hospital Dubuque County Agricultural Extension Service Conference Board of the City of Dubuque YOU ARE HEREBY NOTIFIED, pursuant to Iowa 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 Iowa Property Assessment Appeal Board for approval no sooner than fourteen (14) days from the date of this Notice. Dated this U day of t,tVku_jqL_ 2023. CITY OF DUBUQUE BOARD OF REVIEW Appellee. x-? 0 B Furry A. Lindahl, Esq. uite 330, Harbor View Place 300 Main Street Dubuque, IA 52001-6944 (563) 583-4113