THE SPECTATOR: CRAZY PROPERTY VALUES

  

If I asked you what land is the most valuable in Brenham, what would you answer?  When I asked one of the appraisers from the Washington County Appraisal District that question, his immediate answer was the intersection of South Day and Highway 290, where Jack in the Box and the Chevron station sit. I then asked him how that could be, when the Jack in the Box land, along with the Chevron Station, are valued at $26 a square foot…while my radio station land at the corner of Main and Market Street, is now valued at $40.  In fact, every property on the Washington County Courthouse square in downtown is valued at $60, more than double the value of what had he just called “the most valuable property in Brenham”.  He quickly backtracked saying that he “misspoke, as downtown properties are obviously the most valuable”.  It’s funny how corporate America disagrees with him, as they’ve chosen the 290 Loop for properties like Starbucks, Chick-Fil-A and others.

This has become a serious problem for the economic vitality of our wonderful downtown.  Under the Appraisal District’s new uniform downtown valuation system, the property around the square is worth $2.6 million an acre!  That’s four times its valuation from just last year!  Over the last five years, the valuation of one of our properties downtown has increased by over 700%!  This cannot help but affect the rent being charged to downtown businesses.  You may have noticed the ever-increasing number of empty storefronts.

The disparity in how the Appraisal District has valued land that is across the street or right next to another piece of property is laughable.  The land beneath KWHI is $40 per square foot, while Bluebonnet Abstract, right across Market Street, is only $20.  Russell Noe’s law office at the corner of South Austin and Main Streets is valued at $19, while the Brenham National Bank ATM drive-thru right next door is $40.  I asked the appraiser how commercial property on one the busiest corners in Brenham, Blue Bell Road and North Park Street, could be valued at only $3.  His answer?  “We didn’t get to Blue Bell Road this year.”  

Well, it’s obvious that the Appraisal District has been sharply focused on increasing the valuations downtown the past three years. I think they’ve done enough damage to our downtown economy.  I suggest they spread their work out to other parts of the city and leave us alone for a bit. 

And that’s the way it looks to this Spectator.

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21 Comments

  1. Why is it the burden of property tax excludes the non profit 501 c class? These aren’t just Churches these are in many cases scam artists that use the tax exemption status to influence elections and bring people into the country illegally. Why are the Mexican Cartels not declared an enemy of the State? One rotten apple will spoil the barrel. So instead of these ridiculous high property tax which is just a means of punishment for working hard and trying to be successful spread the tax burden to all and have no tax exemption gifted non profit 501 c if you saw some of the salaries these 501 c people make it would make you wonder so where is the charity?

  2. When I raised the question of rising appraisal rates of downtown properties, I was told that because everyone was fixing up their buildings, and making them safer, and more appealing that appraisals should go up. Let’s talk about incentives! And why are we paying exorbitantly salaries for a “downtown development team “, should be run by chamber of commerce, and volunteers, just sayin!

    1. What’s a “downtown development team”? I haven’t heard of this. City run? Or something to do with the Appraisal District? Can you elaborate, KTever?

  3. We have been greatly affected by this too. So what can be done? Maybe there needs to be a town hall meeting about it or something. It’s going to drive us out of business.

  4. well you know what they say what is the most three important things in real estate LOCATION LOCATION LOCATION

    1. Apparently the big corporations see the prime “locations” being different from our Appraisal District.

  5. Property Tax may have been a good idea to pay for local programs over the last 150 years, Now it seems an outdated and tyrannical system used to pick winners and losers. No one should have to pay rent in the form of a wealth tax on ones homestead, or perhaps any property. I say rent because if you don’t pay the tax, the government gets it, but we all know that. The only truly Texas thing to do is abolish the property tax (no other state has done this by the way) and replace it with an income tax (which would require a Texas constitutional repeal) or a consumption tax that has a life expense essential minimum exclusion that is untaxed as well as a hefty tax Internet based consumption tax . A state income tax would be much easier to do because we could easily automate the local tax percentages per taxing entity, plus everyone gets the federal deduction. One can dream.

  6. If you follow the Almighty Lois Kohlkorst on social media she will scream to the heavens she has passed numerous bills to “lower” taxes! Don’t believe me go look, meanwhile my taxes have not gone down and I doubt many here have seen a decrease and now the Spectator is bringing it to light. Until the appraisal districts are reigned in it will continue to be an issue.

  7. I don’t view WCAD as typically or generally unfair, but clearly in this illustration they have failed. Hopefully this article brings some internal awareness within WCAD. What needs to happen in part is a concerted, educated, coordinated dispute process by downtown landlords to valuations. What should be obvious to anyone is the level of vacancy and turn over with downtown vendors. Rents are high and its hard to turn a profit.

  8. Keep in mind this is a cat and mouse game that they are playing. When the State of Texas voted for a tax cut last session, that meant the county would be loosing revenue, so to make up the difference they are bumping up the value on everything. We all new this was going to happen, if you did not than your leaving in a cave. Until the great State of Texas does away with property taxes this will continue to happen. They have to either come up with a higher sales tax, legalize gambling or some kind of revenue. But until than get ready to fork out more money. Like I said, it’s a cat and mouse game, they have to have money to operate. Also one other thing that people don’t realize is there is so much land that is Ag exempt even small acreage that they do not get revenue on. The county has to operate so they need funds to do it, not that they spend it wisely which I don’t think they do.

  9. Seems like people with old and new money are the ones that can afford to stay in this town without struggling. I have lived here for more than half my life 48yrs and my daughters BIBs, one at Blinn one still in BISD. How am I to tell her that we may have to move because the housing taxes are over $5k a year on a $275k home? Just because it’s “Brenham”?. This town is becoming a little to uppity for my liking tbh! It’s becoming not worth being here because of a name.

  10. I was told that property values are equal to what the same property is valued in Houston. Which is a very dumb way to value property…..we are not Houston.
    I had the lady try to explain this to me and her reply was people from other cities are buying property and pay 2 to 3 times or more than the property is worth and that causes the other inflation of the locals property taxes. This is not fair. I guess only way to fight this is everyone one sell their property to each other for a lot less than the value so that taxes can’t be raised as property can’t be valued higher than what was paid.

  11. It’s not just downtown that is overvalued and unfairly valued, It’s the whole county. All Washington County property owners need to contact the governor. Our legislators won’t even meet with you. Obviously they’re not going to do anything. According to what I was told all property in Washington county is valued the same. So I own farm land that has no public access, floods, has no electricity and it’s valued the same as land on Hwy 290 or downtown. Pretty soon no one local will be able to afford land in Washington County. Only people from California or China will be able to afford it. Don’t bother protesting because the board is worthless.

    1. Same insane issue our Sandtown property- taxes skyrocketing because valuation has tripled in 3 years. Private road, unimproved land, no utilities. Cheapest land in the county when we bought 20 years ago, and we love it.
      But we don’t love being allowed to “rent” the land that we own free & clear from the almighty State Government. Miss your tax payment they’ll seize your property & sell for pennies on that “valuation”.
      Texas NEEDS property tax reform- perhaps a consumption tax, excluding food, that all pay. And yes- jump through the hoops again for the almighty Government for your Ag exemption, then your Wildlife exemption if you want your land to remain in a somewhat natural state.
      Taxes on unrealized capital gains- starting to sound familiar???

  12. I sure wish you would name this individual. It is incomprehensible that someone that arbitrarily makes decisions of this magnitude is so utterly clueless!

  13. Hey Spectator, sounds like your eyes are beginning to open. Why it find out why taxes go up when there is a lot more to tax? Where have the shift in costs really are at in government? How is the city going to pay for maintenance and security at new park without raising taxes even more? Are the taxes going to come back down when the tel estate bubble bursts? Please get the facts for us.

  14. I would agree that downtown is home to the most profitable property tax revenue producing assets for the City, County, school district and Blinn. I am a building owner in downtown and have seen my property value rise significantly each year since 2020. But, if I were to sell that property, would my asking price exceed what the tax office has my property appraised at – hopefully. I certainly would ask for more than what they have it appraised. If you go back to 1980, some of the property values have barely changed in downtown since that time! That is over 40 years of undervalued buildings in downtown Brenham. It appears to me that our tax assessor is doing a “catch up” to the rest of the community. For years buildings in downtown have been under appraised, thus leaving downtown not paying their fair share of property tax. Downtown also gets special funding from BCDC that other areas in the community do not receive. Downtown has public spaces, pocket parks, special landscaping, benches, tourism attractions, events, etc. The City’s general fund pays for the maintenance and staffing for many of the downtown programs, with HOT funds contributing to some as well. I think before we complain about downtown property value adjustments, we should consider all of the funding and support that downtown property owners and businesses receive. I don’t like my taxes going up, but it is reflective of the value of my property in this market.

    1. It is interesting that you bring up “listing prices” for downtown property. Very high listing prices were one of the reasons the appraiser gave for higher property valuations. Of course just listing a property for a certain price doesn’t mean you are going to get that price. I believe you have a misunderstanding about what you call the “funding and support that downtown property owners and businesses receive” from the City. If you ask any Chamber of Commerce or Economic Development official, they would tell you that a city’s downtown area plays a vital role in recruiting businesses, industries and families to move to any community. The appearance and attractiveness of a downtown, along with parades, community events, concerts and festivals held there, are what drives tourists to visit. Of course it also takes property owners who are willing to renovate and update the very old downtown buildings while also preserving the authentic look of Brenham. To say that the City is doing all of that just for the business owners and building owners is misguided.

  15. We actually moved away from Brenham Because of the High property Tax rate We ended up in a small community outside of Bryan, The Brazos county tax appraisal district is a much more fair entity, Our home in Brenham would go up in value every year by $30,000 to $50,000.But here The Tax rate is almost the same as Washington co , BUT their appraisal of property ( Homes) is much more accurate. We paid around $412.000 for our property It is on the Tax roll at $390,000 they do not inflate the value like they do in Brenham. The City runs a “lean” Budget and services are less expensive and way better than anything we ever got in Benham, I cannot believe with all the new homes being built in Brenham that it would not Offset the high tax rate. With our current inflation issue people are truly struggling just to pay bills and buy groceries, So this high tax rate is no sustainable for many. I know for my family we were Forced to make a choice, so we left Brenham, It was hard to do, Hard for kids to change schools , Hard to leave friends but life is 100% better here and after all that is what is most important. the spectator is correct when he says that if you catch the people at the appraisal office in an untruth they will “Backtrack” Happened to me as well.

  16. I couldn’t agree more. It doesn’t make sense! The inconsistencies are just perplexing.

    I understand not getting to “see” every property yearly, but the drastic differences from one block to another are negligent.
    This has the potential to put businesses out! It’s playing with livelihoods! The property valuations have to be conducted fairly and accurately to ensure a level playing field for all property owners. Maybe if you didn’t see it, you should raise it!

    We are already giving tax credits and price breaks for new commercial businesses coming to town. What a way to slowly but surely squeeze the life out our downtown!

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