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ATTORNEY FOR PETITIONER: MARILYN S. MEIGHEN MEIGHEN & ASSOCIATES, PC Carmel, IN

ATTORNEYS FOR RESPONDENT: MATTHEW S. CARR ADAM C. SHIELDS KRIEG DEVAULT LLP Indianapolis, IN _____________________________________________________________________

CLERK _____________________________________________________________________
of the supreme court, court of appeals and tax court

IN THE INDIANA TAX COURT

FILED
Dec 06 2010, 2:19 pm

SHELBY COUNTY ASSESSOR,

) ) Petitioner, ) ) v. ) Cause No. 49T10-1004-TA-17 ) SHELBY'S LANDING-II, LP, ) ) Respondent. ) _____________________________________________________________________ ON APPEAL FROM THE FINAL DETERMINATION OF THE INDIANA BOARD OF TAX REVIEW NOT FOR PUBLICATION December 6, 2010 FISHER, J. The Shelby County Assessor (the Assessor) appeals the final determination of the Indiana Board of Tax Review (Indiana Board) valuing Shelby's Landing - II, LP's (hereinafter, "Shelby LP") two apartment complexes at $3,742,500 for the 2006 tax year (the year at issue). The issue for the Court to decide is whether the Indiana Board's final determination is arbitrary and capricious or not supported by substantial evidence. FACTS AND PROCEDURAL HISTORY During the year at issue, Shelby LP owned two low-income housing

developments, Shelby's Crest Apartments (hereinafter, "the Crests") and Shelby's Landing Apartments (hereinafter, "the Landings"), in Sh elbyville, Indiana (Addison and Madison Townships, respectively). The Crests was a newly constructed multi-family apartment complex consisting of ninety-eight rental units (each with one to four bedrooms), a clubhouse, swimming pool, and other recreational areas. ( See Cert.

Admin. R. at 1554, 1574-75.) The Landings was a recently renovated senior housing apartment complex with twenty-two rental units, each with one or two bedrooms.1 (See Cert. Admin. R. at 1652, 1657 (footnote added).) Both complexes were designed as low-income housing in order to qualify for tax credits pursuant to Section 42 of the Internal Revenue Code (the LIHTC program). 2 Under the LIHTC program, Shelby LP received tax credits to award to investors, over a period of ten years, who provided financing for the Crests and the Landings. In

exchange for these tax credits, Shelby LP agreed to rent all of the units in each of the complexes to individuals whose income was 60 percent or less of the county's median gross income (adjusted for family size) and subject to Indiana Housing Finance Authority rental guidelines. In addition, Shelby LP agreed to abide by these rental

restrictions for a period of thirty years.

The complexes were completed in early 2006; each commenced operations shortly thereafter. (See Cert. Admin. R. at 1995, 2008.) Federal law provides numerous tax incentives to encourage the production of affordable housing for low-income individuals, including the Low Income Housing Tax Credit (LIHTC) Program. See generally, 26 U.S.C.

Download Shelby County Assessor v. Shelby's Landing-II, LP.pdf

Indiana Law