A real estate investor has filed two lawsuits against Adams County, Colorado, challenging a significant increase in the assessed value of a two-building office park in Westminster. The owner argues the new valuations fail to account for high vacancy rates and security issues that have plagued the properties since the pandemic.
The legal challenge centers on Park Centre Commons, a nearly 100,000-square-foot office complex. The owner claims the county’s assessment does not reflect the current market realities for suburban office space, which has been heavily impacted by shifts to remote work.
Key Takeaways
- A real estate investor is suing Adams County over the 2025 property valuations for the Park Centre Commons office park in Westminster.
- The lawsuit claims the county's valuation is too high, citing post-pandemic vacancies and local security concerns.
- The combined valuation for the two buildings increased by several million dollars, even after an initial appeal was filed.
- The case highlights the ongoing tension between official property assessments and the struggling commercial office market.
Details of the Valuation Dispute
The properties in question are located at 12000 and 12050 Pecos Street. According to public records, the buildings were valued at $6.9 million and $5.8 million, respectively, in 2024.
For the 2025 tax year, Adams County initially raised the valuations substantially. The property at 12000 Pecos Street was assessed at $10 million, while the neighboring 12050 Pecos Street building was valued at $8.3 million. This represented a combined increase of $5.6 million over the previous year.
Valuation Changes at a Glance
- 12000 Pecos St: From $6.9M (2024) to an initial $10M (2025), later adjusted to $7.2M after protest.
- 12050 Pecos St: From $5.8M (2024) to $8.3M (2025), which remained unchanged after protest.
The owner, Everett Clark of Clark Cos., filed protests against the new assessments. Following the appeal, the valuation for 12000 Pecos was lowered to $7.2 million. However, the $8.3 million valuation for 12050 Pecos remained unchanged. Unsatisfied with this outcome, Clark filed lawsuits on November 24 to have the courts determine the properties' "actual value."
Investor Cites Market Challenges
The lawsuits argue that the county's valuation does not align with the properties' performance. The filings state that Park Centre Commons has experienced "excessive vacancies" since the onset of the COVID-19 pandemic.
The legal documents attribute this decline to two primary factors:
- Tenants allowing employees to work remotely, reducing their need for physical office space.
- Tenants leaving due to what the lawsuit describes as "heightened security risks in the subject’s neighborhood."
The complaint emphasizes that vacancy levels have not recovered to pre-pandemic numbers, and it remains uncertain if they ever will. This situation, the owner contends, directly impacts the income-generating potential and therefore the market value of the buildings.
A Long-Term Investment
Everett Clark purchased the two buildings, constructed in the mid-1980s, back in 1997. He acquired 12000 Pecos St. for $4.2 million and 12050 Pecos St. for $3.5 million. The lawsuit notes that the properties are held by a "speculative investor, not as an owner-user," making them more susceptible to dramatic shifts in occupancy and market demand.
Broader Implications for Commercial Real Estate
This legal battle in Adams County is reflective of a wider trend affecting commercial real estate markets across the country. As companies embrace hybrid and fully remote work models, owners of older suburban office buildings face significant challenges in retaining tenants and maintaining property values.
Assessors, however, often rely on historical sales data and standardized formulas that may not immediately capture rapid shifts in market conditions. This can lead to a disconnect between a property's official valuation for tax purposes and its actual market worth, prompting disputes like the one involving Park Centre Commons.
The outcome of this case could set a precedent for other commercial property owners in the region who feel their tax assessments are out of step with the new economic reality. The lawsuits are filed in Adams County District Court and seek a trial to re-evaluate the properties' value.
When contacted for a statement, a spokeswoman for Adams County declined to comment on the specifics of the case, citing the pending litigation. The attorneys for the plaintiff, Michelle Bush and Mark Medina of the Denver firm Silverstein & Pomerantz, are specialists in tax law.
