Kmart Property Value Reduced $140,000

Wallace businessman Harry Magnuson received a $140,000 reduction this week in the assessed value of one of his Coeur d’Alene retail operations.

The Kootenai County board of commissioners unanimously agreed to lower the value of Magnuson’s Kmart property on Neider Road. However, they maintained the assessed value of his Appleway Square shopping center at the intersection of U.S. Highway 95 and Appleway.

The commissioners act as the board of equalization to hear property tax appeals.

The county assessor appraised the Kmart property at $2.42 million. After debate on Monday between senior commercial appraiser Louise Weed and Magnuson, the commissioners lowered the value to $2.28 million.

Magnuson had asked that the value be reduced to $1.9 million, based on the center’s performance and the fact that rent paid by Kmart is lower than comparable retail operations. Weed responded that Kmart’s income in 1997 was 16 percent higher than in 1995.

The commissioners disagreed on the value of Appleway Square. Commissioner Ron Rankin made a motion to reduce the value from the $1.76 million set by the assessor to $1.65 million. Magnuson had requested a reduction to $1.52 million.

Commissioners Dick Compton and Dick Panabaker overrode Rankin, voting to retain the value set by the assessor.