Petition - 800 E Court (PVM) Flint.pdf
800 E. Court Street Village Limited Dividend Housing Association Limited PA, Petitioner Vs. Michigan Department Of Treasury, Respondent · 24-004101-TT
Text extracted from the reviewed PDF, organized by page. OCR and reading order may contain errors; confirm details in the PDF below.
Page 1
58002253.5 STATE OF MICHIGAN DEPARTMENT OF LICENSING AND REGULATORY AFFAIRS MICHIGAN TAX TRIBUNAL 800 E. COURT STREET VILLAGE LIMITED DIVIDEND HOUSING ASSOCIATION LIMITED PARTNERSHIP, Petitioner, v MTT Docket No. ____________ Parcel No. 41-18-209-058 CITY OF FLINT and MICHIGAN DEPARTMENT OF TREASURY, Respondents. / PETITION Petitioner, 800 E. Court Street Village Limited Dividend Housing Association Limited Partnership, through its attorneys, HONIGMAN LLP, says: 1. Petitioner’s current principal office address is 25200 Telegraph Road, Sue 400, Southfield, MI 48033. 2. Petitioner is a party in interest with respect to the property taxes for real property located in the City of Flint, County of Genessee, Michigan, with tax parcel number 41-18-209- 058 (“Petitioner’s Property”). 3. The Respondents are the City of Flint (the “City”), which assesses and collects property taxes on Petitioner’s Property, and the Michigan Department of Treasury (the “Department”). 4. The current 2024 assessed value, state equalized value and taxable value for Petitioner’s Property are $1,730,200.
Page 2
2 58002253.5 5. At issue is the property taxation resulting from both the aforementioned values and an October 16, 2024 decision by the Department. 6. Petitioner’s Property has an address of 800 E. Court Street, Flint, Michigan and is commonly known as Court Street Village. 7. Petitioner’s Property is a residential multifamily property that provides housing to low income seniors. 8. Petitioner has a regulatory agreement with the Michigan State Housing Development Authority, pursuant to which the dwelling units at Petitioner’s Property are required to be leased exclusively to low-income seniors. Additionally, Petitioner’s Property benefits from vouchers through Department of Housing and Urban Development (“HUD”) Section 202 and Section 8 programs. By virtue of the vouchers, tenants pay 30% of their income for rent, and HUD pays the difference between that and a HUD determined contract rent for each dwelling unit. Additionally, Petitioner received favorable below market financing terms. 9. The case involves a claim for property tax exemption under MCL 211.7d. 10. Petitioner’s Property consists of 149 residential housing units that were qualified, built or financed under section 202 of title II of the housing act of 1959, Public Law 86-372. Specifically, Petitioner’s Property received a $7,450,000 Capital Advance award from HUD under Section 202 of title II of the housing act of 1959. 11. Petitioner contends that Petitioner’s Property is and should continue to be exempt from taxation pursuant to MCL 211.7d. 12. Pursuant to the provisions of MCL 211.7d, Petitioner sought property tax exemption. 13. On July 3, 2024, the City approved Petitioner’s request for exemption.
Page 3
3 58002253.5 14. In addition to the City, the Department also is involved with processing claims for exemption under MCL 211.7d. 15. On October 16, 2024, the Department denied Petitioner’s claim for exemption of Petitioner’s Property. A copy of the Department’s denial letter is attached hereto. 16. The Department’s denial of exemption was unlawful and erroneous because Petitioner and Petitioner’s Property meet the requirements for exemption under MCL 211.7d. WHEREFORE, Petitioner requests that the Tax Tribunal enter an Order: 1) holding that Petitioner’s Property is exempt from taxation pursuant to MCL 211.7d; and 2) requiring the correction of any applicable records and payment to Petitioner of any refunds attributable to such exemption, plus interest and costs. HONIGMAN LLP Attorneys for Petitioner By:/s/ Stewart L. Mandell Stewart L. Mandell (P33781) Daniel L. Stanley (P57052) 39400 Woodward Avenue, Suite 101 Bloomfield Hills, MI 48304 (313) 465-7420 (517) 377-0714 slmandell@honigman.com dstanley@honigman.com Dated: November 15, 2024
Page 4
MICHIGAN DEPARTMENT OF TREASURY • LANSING, MICHIGAN 48922 www.michigan.gov/treasury • 517-335-7508 GRETCHEN WHITMER GOVERNOR STATE OF MICHIGAN DEPARTMENT OF TREASURY LANSING RACHAEL EUBANKS STATE TREASURER 10/16/2024 Mr. Albert A. Bogdan 800 E Court Street Village 800 E Court Street Flint, MI 48503 RE: Request for New Senior Citizen/Disabled Housing Exemption – 800 E Court Street Village, Parcel #41-18-209-058 Dear Mr. Bogdan, We have received the request for enrollment in the Senior Citizen/Disabled Housing Tax Exemption Program for the above listed parcel. We are unable to process an enrollment due to the following: - The limited dividend housing association (Owner) does not meet the requirements specified in MCL 211.7d(9)(e). “(9) As used in this section: (e) "Limited dividend housing corporation" means a corporation incorporated or qualified under the laws of this state and chapter 6 of the state housing development authority act of 1966, 1966 PA 346, MCL125.1481 to 125.1486, or a limited dividend housing association organized and qualified under chapter 7 of the state housing development authority act of 1966, 1966 PA 346, MCL 125.1491 to 125.1496, that will rehabilitate and own a housing facility or project previously qualified, built, or financed under section 202 of title II of the housing act of 1959, Public Law 86-372, section 236 of title II of the national housing act, chapter 847, 82 Stat 498, or section 811 of subtitle B of title VIII of the Cranston-Gonzalez national affordable housing act, Public Law 101-625.” Should you have any additional questions or concerns, please contact me at millera73@michigan.gov or by phone at (517) 636-0851. Sincerely, Amanda Miller, Accountant Accounting Services Division cc: Stacey Bliesener, Treasury, Accounting Services Division Tracie Richards, Treasury, Accounting Services Division Stacy Kaake, City of Flint, Assessor 3961 (Rev. 03-19)