78th Street OwnerCo, LLC v. County of Hennepin

Summary

The Minnesota Supreme Court affirmed dismissal of 78th Street OwnerCo’s petitions challenging Hennepin County property tax assessments. The court held that Minnesota’s 60-day rule required disclosure of available percentage-rent information for the 2007 petition and specified rent-roll information for the 2008 petition, and concluded that the rule was not unconstitutionally vague as applied.

Holdings

1. A petitioner contesting property valuation must provide all information in its possession bearing on income and expenses, including available information concerning base rent, percentage rent paid, and the mechanism for determining percentage rent. Because 78th Street failed to provide that information within the statutory period, dismissal of the 2007 petition was proper.
2. The 2008 version of the 60-day rule required 78th Street to provide information in its possession corresponding to the statutorily specified rent-roll categories, even though it did not maintain a document formally titled a rent roll. Because it omitted tenant names, lease dates, option terms, and base-rent information, dismissal of the 2008 petition was proper.
3. Minn. Stat. § 278.05, subd. 6(a), as applied under both the 2006 and 2008 versions, was not unconstitutionally vague. The 2008 rent-roll requirement was particularly clear because the statute specifically enumerated the information required.

Questions Presented

1. Whether the 2007 petition was properly dismissed because 78th Street failed to provide percentage-rent information within the statutory 60-day period.
2. Whether the 2008 petition was properly dismissed because 78th Street failed to provide all information required for a rent roll within the statutory 60-day period.
3. Whether the Minnesota statutory 60-day documentation rule was unconstitutionally vague as applied to 78th Street.

Disposition

affirmed