One business has been added to Luzerne County’s list of top assessed commercial and industrial properties, while another was removed, according to an analysis of the latest tax base report.
Romark Logistics in the Humboldt Industrial Park in Hazle Township is now on the list because its assessment increased $8.1 million, for a new total value of $27.16 million for real estate taxation purposes, records show.
Bounced from the list is Philips Lighting warehouse in the Crestwood Industrial Park in Wright Township. A $7.2 million assessment reduction reduced its assessment to $15.5 million.
The county assessor’s office completed the tax base report June 7 in preparation for the mailing of school tax bills.
Romark’s assessment increase was not due to new construction. Instead, the company reached an agreement with taxing bodies to close out an appeal filed by the Hazleton Area School District arguing the value was too low.
School districts and municipalities have the option to seek increases at any time — a process known as a “reverse appeal.”
Critics have been pushing state legislators to ban reverse appeals, arguing taxing bodies should not have the power to pick and choose properties for reconsideration out of the blue.
Local attorney Ray Wendolowski, who acted as co-counsel in the Hazleton Area reverse appeal, has been fighting to preserve the right, saying Monday its elimination would be a “huge mistake.”
Taxing bodies should not be forced to live with under-assessed properties until counties decide to conduct a reassessment of all properties, especially in light of property owners’ right to seek reductions annually if they believe their values are too high, said Wendolowski.
County officials have no plans for another reassessment, with most agreeing state comparisons of sales and assessments indicate the values are still accurate overall.
“It helps ease the burden on other property owners when we get assessments right,” Wendolowski said.
The increase for the Romark Logistics property, which is owned by Humboldt Realty, will equate to an additional $131,600 in real estate taxes for the county, school district and township based on current tax rates. The combined tax bill now totals $441,806 for the property.
Humboldt Realty and the taxing bodies agreed to the settlement based on the risks and costs of litigation, a court filing said. Both sides agreed to refrain from additional appeals through 2020, although the county always has the authority to revise assessments if properties have physically changed.
The reduction for the Philips Lighting property was approved through a court-level stipulation between the county and property owner — Icon Owner Pool 4 Northeast/Midwest, which is affiliated with Chicago-based GLP US Management.
Icon filed a court action last November contesting the county assessment appeal board’s decision to increase the value from $10 million to $22.7 million, saying the decision was improper and unjust.
Wendolowski had praised the appeal board’s decision, pointing to Icon’s $22.77 million purchase of the property in March 2015.
The reduction to $15.5 million means the school, county and township real estate taxes will total $256,914 under current rates, or $119,341 less than the payment on an assessment of $22.7 million.
The nuclear power plant in Salem Township owned by Susquehanna Nuclear LLC remains the top valued commercial property in the county, with an assessment of $248 million, the report shows.
Among the others in the top list:
• Mohegan Sun Pocono casino complex in Plains Township, $151.7 million
• Wyoming Valley Mall in Wilkes-Barre Township, $76.1 million
• Cargill Cocoa and Chocolate manufacturing plant in Hazle Township, $65 million
• American Eagle Outfitters distribution center in Hazle Township, $46.1 million
• TJ Maxx distribution center in Pittston Township, $42.3 million
• Amazon warehouse in Hazle Township, $40 million
• Lowe’s distribution center in the CenterPoint Commerce and Trade Park in Jenkins Township, $28.6 million
• Wilkes-Barre General Hospital in Wilkes-Barre, $27.9 million
