GUILDERLAND Walgreens reached an agreement with the Guilderland officials to reduce the assessed value of its Western Avenue store to $2.5 million, which is a reduction of $180,000.
The Guilderland Town Board on Tuesday, Jan. 7, approved the reduced assessment for Walgreens per Town Assessor Karen Van Wagenen’s recommendation. Walgreens would be refunded a total of $875 from the town for the last two years. The settlement represents a 6.72 percent reduction in assessed value.
Town Supervisor Ken Runion said Van Wagenen also projected continuing litigation would cost the town in more than $10,000.
“She feels that the assessment is justified based on comparable properties,” Runion said.
The land value for Walgreens is $438,000 and covers 2 acres. The store was built in 2006, and the land was purchased in July of 2005 for $380,000. The building is 12,722 square feet, which is assessed at nearly $170 per square-foot.
There were three comparable properties presented to the board in justification of the reduced settlement.
The CVS located on Carman Road is assessed at $1,466,100 and the building is 10,792 square feet, which is assessed at $134 per square-foot. The property is 1.8 acres and holds a land value of almost $391,500. The store was constructed in 1998.
Another CVS located on Western Avenue is slightly smaller than its Carman Road store and is assessed at around $1.05 million, or around $98 per square-foot. The property is 1.1 acres and holds a land value of around $396,500. The store was constructed in 1960.
An 11,180 square-foot Rite Aid store located in the town is assessed at $1.39 million, which is almost $125 per square-foot. The property is 1.9 acres and holds a land value of $437,800. The store was constructed in 1997.
The three stores used as examples are a different property class than Walgreens that is a 481 class commercial property, known as a “Downtown Row Type (with common wall).” The there examples are all 484 class commercial properties, referred to as “One Story Small Structure.”
The state defines a 481 property class as “usually a two or three story older structure with retail sales/services on the first floor and offices and/or apartments on the upper floors; little or no on-site parking.” It defines a 484 property class as “usually a modern, one occupant, building adaptable for several uses.”