California Court of Appeal

In this property tax reassessment case, the Assessment Appeals Board and the trial court both concluded that reassessment of a retail shopping center was proper because there was a change of ownership of the subject property when it was purchased by the long-term lessee and a third party investor. The judgment is reversed, where: 1) the extension of the lease term did not constitute a change of ownership because the original lease was for a term exceeding 35 years; 2) the sale of the owner's fee interest to plaintiff Dyanlyn did not constitute a change of ownership because the property was encumbered by a long-term lease; 3) the two transactions, viewed together, were not a sham to avoid reassessment; and 4) thus, there was no change of ownership for property tax purposes.

Appellate Information

• Decided 02/23/2015
• Published 02/23/2015

Judges

• O'Leary

Court

• California Court of Appeal

Counsel