Property Tax Legal Consultation and Due Diligence
Property tax due diligence and legal guidance for acquisitions and major transactions
We help owners and investors evaluate property tax exposure during acquisitions, dispositions, development, and refinancing. Our consultation focuses on current assessments, future values, and the tax consequences of planned transactions.
We estimate future liabilities, identify risk, and highlight savings opportunities so decisions are made with full information.
Our practice focuses on commercial and income producing properties.
What Our Property Tax Legal Consultation and Due Diligence Services Include
We help clients evaluate property tax implications before and after major transactions, so decisions are made with clear understanding of risk, cost, and opportunity. Our consultation and due diligence services commonly include the following areas.
Acquisition Due Diligence
Assessment review and modeling of likely post-sale values so buyers understand future tax exposure before closing.
Disposition and Exit Planning
Analysis of assessment history, pending appeals, and allocation of taxes at closing to help sellers plan negotiations.
Development and Redevelopment Projects
Guidance on valuation during and after construction, partial-completion rules, and eligibility for abatements or exemptions.
Refinancing and Portfolio Restructuring
Assessment risk review for lenders and owners, including projected value changes tied to refinancing events.
Projected Tax Estimates and Budgeting
Modeled tax outcomes under multiple scenarios so owners can plan cash flow and evaluate deal economics with clarity.
Contractual Allocation of Taxes and Risk
Review and drafting of provisions allocating current and future property taxes in purchase agreements and leases.
We help clients move forward with transactions confident that property tax exposure has been identified, quantified, and addressed.
When Property Tax Legal Consultation Is Recommended
Property tax consultation is most valuable when important transactions or changes may affect current or future assessments. Owners and investors often seek our guidance in situations such as the following:
Before Acquiring a Commercial Property
To understand likely post-sale reassessment risk, projected tax liability, and how taxes may affect cash flow and pricing assumptions.
Before Selling or Disposing of a Property
To address allocation of taxes at closing, outstanding appeals, and how assessment issues may influence negotiations.
During Refinancing or Restructuring
To help lenders and owners evaluate whether tax burden assumptions used in underwriting are reasonable and supportable.
Before or During New Development or Major Renovation
To anticipate how construction, change of use, or phased completion will affect taxable value and timing of assessments.
When Significant Value Change is Expected
Such as lease-up, loss of major tenants, market shifts, or large capital improvements that may draw assessor attention.
When Entering or Revising Contracts
Including purchase agreements, operating agreements, or leases where tax obligations are allocated between parties.
Early consultation helps prevent unpleasant tax surprises and supports better transaction decisions.
How Our Property Tax Consultation and Due Diligence Process Works
Step 1 – Understanding the Transaction and Objectives
We begin by clarifying the deal structure and your goals. This may include purchase terms, development plans, financing constraints, or anticipated changes in use. We identify the key tax questions that need to be answered.
Step 2 – Review of Current Assessment and Tax History
We examine existing assessed value, recent changes, pending appeals, and the assessor’s records. This establishes the baseline against which future tax exposure will be evaluated.
Step 3 – Modeled Projections of Future Assessments
We evaluate how assessments may change because of a sale, construction, renovation, or lease-up. Projections may be based on income, sales, or cost approaches depending on property type and market conditions.
Step 4 – Identification of Risks, Opportunities, and Abatement Programs
We identify circumstances that may increase tax liability and opportunities that may reduce it, including exemptions, abatements, and special valuation programs.
Step 5 – Practical Recommendations and Next Steps
We provide clear written guidance explaining likely outcomes, available strategies, and timing considerations. Clients use this information in negotiations, underwriting, budgeting, and transaction planning.
We focus on providing clear answers so clients can make informed business decisions.
Types of Properties We Advise On
Our consultation and due diligence work covers a wide range of commercial and income-producing real estate. We are engaged most often on transactions involving the following property types:
Office properties - Downtown office towers, suburban office parks, and medical office buildings
Retail properties - Shopping centers, strip retail, lifestyle centers, big-box stores, and mixed-use retail components
Industrial and warehouse properties - Manufacturing plants, logistics facilities, distribution centers, and flex industrial space
Multifamily and apartment communities - Market-rate, student housing, senior housing, and mixed-income developments
Hospitality properties - Hotels and extended-stay properties where income and market conditions heavily influence value
Special-purpose and institutional real estate - Healthcare, educational, religious, and government-leased facilities
Frequently Asked Questions About Property Tax Legal Consultation and Due Diligence
Ready to Discuss a Property Tax Consultation or Due Diligence Matter?
Property tax exposure can significantly affect pricing, underwriting, and long-term return. Early legal consultation helps identify risk, project future liability, and structure transactions with taxes in mind.
Contact us to discuss your property, your transaction, and your objectives.
National Property Tax Group’s sole Ohio representative