Michigan Tax Tribunal Values Self-Storage Building at $6 Million

A self-storage facility is worth about $5.67 million for property tax purposes based on its costs, the Michigan Tax Tribunal said.

Eastpointe Storage Center LLC’s property in the city of Eastpointe, a Detroit-area suburb, was newly constructed so it couldn’t be reliably measured based on its income due to limited operations, according to the tribunal. But the costs of construction provided reliable data for the true cash value of the building, the Tuesday opinion said.

The comparable sales valuation method was also unreliable because there were few other similar properties that were sold in the area recently, the tribunal said. ...