There’s a mix of good news and bad news for commercial property owners in the Ramsey County Assessor’s Report 2021. According to County Assessor Luis Rosario, the report is based on the 2021 assessment (assessed values as of January 2 of this year).
Ramsey County’s commercial properties lost an average of .8 percent in assessed value this year.
Pizza up, banking down
The Pioneer Press recently pointed out that there’s variation in commercial property assessments, however, noting that the downtown U.S. Bank Place on 5th Street will likely see a small drop in property tax. In 2022, the owners of the property will pay about $878,000 in property taxes, which will be about $38,000, or 4 percent, less than this year’s tax bill.
St. Paul’s North End Mama’s Pizza is likely to have an increase of $216 in commercial property taxes in 2022, or an increase of about 3.5 percent. The tax hike would bring its tax bill to $6,387 next year, the Pioneer Press reports.
St. Paul’s office market
The Assessor’s Office reported that the future of St. Paul’s office market is unclear. Rosario acknowledges that it’s possible that there will be a long-term shift in workplaces for some employees who will permanently work remotely (a change that would soften office space demand and result in lowered rents). He writes that because there has been little office market activity in St. Paul, in both sales and new leases, “the level of possible market contraction is not entirely known.”
We’ll have more on the Ramsey County Assessor’s Office report in an upcoming post to our Minnesota Commercial Property Tax Appeals Blog. Please check back.