Disney renews legal fight over property assessments for resorts

DCBaker

Premium Member
Original Poster
"Disney is fighting over the tax bills for several hotels and administrative buildings nearly a year after Disney was refunded millions of dollars in tax refunds for the theme parks.

The company filed 10 lawsuits against Property Appraiser Amy Mercado late last week in Orange County Circuit Court. Disney wants the property assessments to be declared “excessive” and to get a new tax bill as well as have its legal fees covered.

The tax dispute is over multiple resorts from Disney’s Pop Century Resort to the Grand Floridian Resort & Spa and several in between as well as Disney administrative properties, including the Team Disney Building across from Disney Springs. The Wyndham Lake Buena Vista, which leases from Disney, is also included in one of the lawsuits.

In the lawsuits, Disney contends “the assessments do not represent the just value… because they exceed the market value.”

For instance, Disney lists the Grand Floridian Resort’s assessed value at $268 million, Polynesian Resort’s at $138 million and the Contemporary Resort’s at $165 million. Port Orleans Resort’s assessed value is set at $379 million while Coronado Springs Resort’s at $238 million and the Caribbean Beach Resort’s at $169 million. The Disney Yacht & Beach Club’s assessed value is set at $266 million while Pop Century Resort’s is at $212 million.

Disney has already paid the disputed tax bills in full, the lawsuits noted.

Disney doesn’t say what it believes the properties should be assessed at.

When reached for comment, Ana Torres, who is Mercado’s chief deputy property appraiser and general counsel, said the properties Disney is suing over have been in litigation since 2015 before Mercado took office.

“It is common practice for a plaintiff to continue to file suit on subsequent years to preserve their litigation rights,” Torres said in an email, adding Mercado’s office has not been served any of the Disney lawsuits yet.

The issue is over the appraiser’s methodology, which Disney argues violates the Florida constitution.

Disney said in court documents the “appraiser has included the value of certain intangible property.” Disney doesn’t provide further details on what Disney takes issue with specifically regarding intangible property.

For years, Disney sued Orange County Property Appraiser Rick Singh over the tax assessments for many of its properties — including the theme parks and hotels.

Orange County voters ousted Singh, and Mercado took office in 2021.

Last year, she reached a settlement deal with Disney; The Mouse received $9 million in refunds from the tax years 2015 through 2020 for the four theme parks plus several smaller properties including the Transportation and Ticket Center, the Wedding Pavilion at Disney’s Grand Floridian Resort & Spa and Fantasia Fairways Miniature Golf Course.

Disney did not respond for comment Monday."

Full story -

 

lazyboy97o

Well-Known Member
This is almost certainly going to be used as a reason for why the Reedy Creek Improvement District needs to be dissolved or controlled by the governor.
 

Lilofan

Well-Known Member
"Disney is fighting over the tax bills for several hotels and administrative buildings nearly a year after Disney was refunded millions of dollars in tax refunds for the theme parks.

The company filed 10 lawsuits against Property Appraiser Amy Mercado late last week in Orange County Circuit Court. Disney wants the property assessments to be declared “excessive” and to get a new tax bill as well as have its legal fees covered.

The tax dispute is over multiple resorts from Disney’s Pop Century Resort to the Grand Floridian Resort & Spa and several in between as well as Disney administrative properties, including the Team Disney Building across from Disney Springs. The Wyndham Lake Buena Vista, which leases from Disney, is also included in one of the lawsuits.

In the lawsuits, Disney contends “the assessments do not represent the just value… because they exceed the market value.”

For instance, Disney lists the Grand Floridian Resort’s assessed value at $268 million, Polynesian Resort’s at $138 million and the Contemporary Resort’s at $165 million. Port Orleans Resort’s assessed value is set at $379 million while Coronado Springs Resort’s at $238 million and the Caribbean Beach Resort’s at $169 million. The Disney Yacht & Beach Club’s assessed value is set at $266 million while Pop Century Resort’s is at $212 million.

Disney has already paid the disputed tax bills in full, the lawsuits noted.

Disney doesn’t say what it believes the properties should be assessed at.

When reached for comment, Ana Torres, who is Mercado’s chief deputy property appraiser and general counsel, said the properties Disney is suing over have been in litigation since 2015 before Mercado took office.

“It is common practice for a plaintiff to continue to file suit on subsequent years to preserve their litigation rights,” Torres said in an email, adding Mercado’s office has not been served any of the Disney lawsuits yet.

The issue is over the appraiser’s methodology, which Disney argues violates the Florida constitution.

Disney said in court documents the “appraiser has included the value of certain intangible property.” Disney doesn’t provide further details on what Disney takes issue with specifically regarding intangible property.

For years, Disney sued Orange County Property Appraiser Rick Singh over the tax assessments for many of its properties — including the theme parks and hotels.

Orange County voters ousted Singh, and Mercado took office in 2021.

Last year, she reached a settlement deal with Disney; The Mouse received $9 million in refunds from the tax years 2015 through 2020 for the four theme parks plus several smaller properties including the Transportation and Ticket Center, the Wedding Pavilion at Disney’s Grand Floridian Resort & Spa and Fantasia Fairways Miniature Golf Course.

Disney did not respond for comment Monday."

Full story -

Same fight different OC tax appraiser. Singh lost badly , now it’s Mercado taking on the Mouse.
 

donsullivan

Premium Member
People were already using the prior suits to claim Disney doesn’t pay their taxes. Being true isn’t really relevant to the political attacks.
The property tax issues triggering these lawsuits with Orange County are not unique to Disney.

 

lazyboy97o

Well-Known Member

Sirwalterraleigh

Premium Member
Correct. I’m not saying Disney shouldn’t fight the appraisals. But it will be used against them politically and in public opinion.
Only in Florida is public opinion “against them”…lost in the shuffle is most of the modern world/country sees little reason to be appalled at their dispute of things that affect no one who isn’t directly affected.

Actually…if they polled honestly I bet Florida isn’t against them either
 

TheGuyThatMakesSwords

Well-Known Member
The BIG hammer - and the one I worry about...

"Eminent Domain" .

This has been used before to seize property (with "just compensation"), and not always for a road or sidewalk :(.
So a question - would the General PUBLIC of the State of FL be better, or worse off, if WDW became a State Owned Entity?
 

lazyboy97o

Well-Known Member
The BIG hammer - and the one I worry about...

"Eminent Domain" .

This has been used before to seize property (with "just compensation"), and not always for a road or sidewalk :(.
So a question - would the General PUBLIC of the State of FL be better, or worse off, if WDW became a State Owned Entity?
Huh? Why would Orange County take Walt Disney World land? You’d want to under value the land if you intended to take it, not over value it.
 

gsimpson

Well-Known Member
This issue has nothing to do with politics. The Tax assessor want to get as much as he can, and Disney wants to pay as little as they can. This is at least the 4th time they've had this fight in the last 20 years and it probably went on before that. Universal had the same fight, several hotels have had the same fight, Medieval knights show had the same fight (albeit with a different county) as did probably a couple hundred other large businesses. Part of the reason these fights crop up as often as they do is the company(ies) will tell bankers that property such-and-so is worth this much for collateral on a loan(bond) and that information becomes public, the assessor gets excited when he sees all that money, then the company tells the county assessor the property is worth significantly less than what they told the bankers. Bring in the dancing lawyers and singing accountants (the only ones who typically make out).
 

Brian

Well-Known Member
I fight the property appraiser every time my properties are reassessed. I want to pay as little as possible. Disney has the same motivation.
 

larryz

I'm Just A Tourist!
This issue has nothing to do with politics. The Tax assessor want to get as much as he can, and Disney wants to pay as little as they can. This is at least the 4th time they've had this fight in the last 20 years and it probably went on before that. Universal had the same fight, several hotels have had the same fight, Medieval knights show had the same fight (albeit with a different county) as did probably a couple hundred other large businesses. Part of the reason these fights crop up as often as they do is the company(ies) will tell bankers that property such-and-so is worth this much for collateral on a loan(bond) and that information becomes public, the assessor gets excited when he sees all that money, then the company tells the county assessor the property is worth significantly less than what they told the bankers. Bring in the dancing lawyers and singing accountants (the only ones who typically make out).
It's logical that an assessor will value property at whatever value the owner claims. Cue the Creedence Clearwater Revival song, Fortunate Son.



However, I've always felt property owners should have a legal right to force the assessor's office to buy any property at the appraised value.

Those dynamics should keep owners and assessors in balance.
 

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