PREIT's Exton mall losing value, judge rules
Vanguard Group also wants to pay less for local schools, cops
PREIT's Exton mall losing value, judge rules
Joseph N. DiStefano
Chester County Common Pleas Court Judge Thomas Gavin has ruled for Philadelphia-based Pennsylvania Real Estate Investment Trust in cutting PREIT's Exton Mall property tax assessment and the dollars the wealthy county's biggest shopping center will have to pay West Chester Area School District, West Whiteland Township, and Chester County, reports the Daily Local News here.
The cuts will come at an inconvenient time for school officials struggling to cope with rising pension costs and for township and county officials trying to maintain public service in the face of residents' resistance to higher property tax rates.
Excerpts:
"Gavin, in a ruling made Friday, agreed with the mall’s real estate appraiser that the assessed value of the 39-year-old regional mall was $52.6 million: about $10 million below the county and school district assessors' estiamtes.
That implies a $17 million drop in the mall's total value: "In a hearing before Gavin earlier this year, the mall owners argued that the downturn in the economy has reduced the mall’s overall rental income, and that the property is now worth approximately $95 million," not the district's estimated $112 million.
"At least 20 retail spaces at the mall are vacant, and gone are formerly popular businesses like The Disney Store, Suncoast Video and Houlihan’s Restaurant."
Another big Chester County landlord, Vanguard Group, the nation's largest mutual fund company, is also trying to cut its property taxes. Vanguard headquarters is mostly in Tredyffrin-Easttown School District (NOT Great Valley as incorrectly noted in a previous version of this item).
Comment removed.- Um...anyone can appeal their taxes ... Moreover, why should the corp that owns the mall pay more in taxes just to fund government employees and their non-competitive pensions?!? Wake up and realize its not "corp. worshipping" that's killing America...its people like you and overpaid goverment employees.
Well, you can appeal too, KelProd... Our democracy is open to all... Just ask your personal staff of lawyers and tax accountants to prepare your appeal...— Joe D
-Joe D I think you just made his point, it's a rich mans game. How many working class people have the time and money to organize a class action law suit or counter with an appeal? I left Chester county for that very reason and Montgomery county. Unreasonable 1.5 to 2.1 % local city and/or school tax rates for residents regardless of whether you rent or own. It's unconstitutional but based on some ACT bill passed at the state bill like 30 years ago. Like anyone has a fighting chance at fighting that. It's cheaper to move, back to Delco where I was originally from.- Comment removed.
- Then sue your twp. You have access to the same rights as a Corporation. Stop whining and get to it.
- Exton Mall is a 15 minute drive to KOP Mall. The population base is not there to support 2 big malls. Then you have Main Street at Exton right across the street.Philadelphia Premium Outlets 1/2 hour away.
KOP has vaccumed all the mall energy in Delaware County,Chester County,Montgomery County. I was in the Exton mall and Granite Run Mall in the past month and you wonder how they stay afloat.— joe smith - Doesn't anybody get it yet??? There is NO More money. THe Country and maybe the world is in a major RECESSION. Property and money values are falling thru the floor. The good old days are GONE. This head in the sand is the attitude that got us into the recession originally. Wise Up— rduexpress
- why shop at mall when you can purchase same item online, possibly free shipping and no sales tax.NJ and other states give Amazon money to build and not charge sales tax, sounds like a winning combination to kill stores. (HTML deleted)— ald
- While everyone can appeal the assessed value of their home or business, it doesn't make any sense. Everyone's property value went down. Does that mean that tax revenue should decline in lock step with the decline in real estate value? To keep this from happening, they should cut the assessed value of every tax payer and raise the tax rate so thet it is revenue nuetral. Why spend all of this money to challenge the assessed value? As far as the idiotic "There is NO more money" claim goes, not true. Corporations are reporting record net profits rates. When corporate CEOs are asked what issues are preventing growth, taxes are way down the list. Demand is at the top and laying off teachers, fire fighters and police is making matters worse in both the short and long term.— MikeP
