Braemar Partnership v. County of San Deigo CA4/1

DISCUSSION

In this court, Braemar continues to argue there was no change in ownership to justify reassessment. The County responds that reassessment was proper under the plain language of section 61, subdivision (c)(1)(D). We agree with the County. “Proposition 13, adopted in 1978, limits the amount that the assessed value of real property may be increased to reflect increases in the property’s actual market value. When ownership of the property changes, however, the property may be reassessed at its current market value.” (Auerbach v. Assessment Appeals Bd. No. 1 (2006) 39 Cal.4th 153, 157; see Cal. Const., art XIII A, §§ 1–2.) “Changing the assessed value of real property to its current market value can result in a substantial increase in the tax on that property. Thus, determining whether and when a change of ownership has occurred can have significant tax consequences.” (Auerbach, at p. 157.) “Change in ownership” is defined in section 60. This statute effectively created a three-part test to determine whether a particular transaction resulted in a change in ownership. (Pacific Southwest Realty Co. v. County of Los Angeles (1991) 1 Cal.4th 155, 162 (Pacific Southwest).) To…