Relator, the owner of a hotel in Bloomington, challenged the value that the Tax Court placed on the hotel for tax assessment purposes. The tax court determined that the taxable 2018 market value of the hotel was $25,500,000, an amount that exceeded the valuations offered by relator and respondent county.
The Supreme Court held that (1) the tax court’s assessment of the market value of a full-service hotel using the income capitalization approach, including its use of the management fee method, was not erroneous; (2) the tax court’s assessment of the value of a full-service hotel under the sales comparison approach was generally not erroneous, however, the tax court erred to the extent that nothing in the record showed that it correctly adjusted its percentage reduction in the total value of a comparator hotel used in the sales comparison approach. Affirmed in part, vacated in part, and remanded.
Fred W. Inman was indefinitely suspended from the practice of law, with no right to petition for reinstatement for 5 years.