2013 Ohio 1112
Ohio Ct. App.2013Background
- SSN II, Ltd. and Sadler own two Warren County parcels forming an 18-hole golf course with golf features on both parcels.
- Sadler parcel: 32.2230 acres, holes 1–9; SSN II parcel: 53.1865 acres, holes 10–18; driving range canopy deck and clubhouse on SSN II.
- 2009 Warren County Auditor valuation; BOR denied most reductions for Sadler and reduced SSN II slightly.
- Common Pleas magistrate held golf features and driving range canopy deck were real property; sprinkler systems potentially personal property, but no valuation on them.
- On appeal, court reviewed classification under R.C. 5701.02 and 5701.03, applying Funtime framework and BTA guidance; affirmed the magistrate’s classification.
- Court generally held golf features are real property and canopy deck is real property; burden to separate-valuate sprinklers not met lead to no adjustment.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Golf features and canopy deck: real property or business fixtures | SSN II argues features are personal property under 5701.03(B). | BOR and common pleas treated features as real property/ improvements. | Golf features and canopy deck classified as real property. |
| Whether court erred by requiring tangible personal property to be a business fixture | Funtime framework not require tangible personal property for business fixtures. | Court properly applied requirement of tangible personal property for business fixtures or foundations. | Court did not err; burden on taxpayer to prove right to reduction; no separate sprinkler valuation." |
Key Cases Cited
- Funtime, Inc. v. Wilkins, 105 Ohio St.3d 74 (Ohio Supreme Court 2004) (explains interaction of real property vs. personal property and 'otherwise specified')
- Black v. Cuyahoga Cty. Bd. of Revision, 16 Ohio St.3d 11 (Ohio 1985) (requires independent review and weighs evidence; not mere rubber stamp)