L.A. County Improperly Valued Hotel, Owner Tells State Justices

The intangible assets of a Los Angeles hotel co-managed by Ritz-Carlton and Marriott should be deducted from its tax value under state law, the hotel owner told the California Supreme Court.

Olympic & Georgia Partners LLC said a lower court correctly applied “well-established law” in removing three nontaxable intangible assets from the property tax assessment in finding the county overvalued the property by $150 million.

The three claimed intangible assets are a city reimbursement of transient occupancy taxes—valued at $80 million—that the hotel can use to cover construction costs; a one-time $36 million payment from the hotel managers to secure ...