Valuation of commercial real estate for Real Estate Tax in light of the COVID- 19 pandemic

Valuation of commercial real estate for Real Estate Tax in light of the COVID- 19 pandemic

As per January 1, 2021 the tax authorities will provide all owners of real estate on Bonaire with a new valuation for the properties owned for the purpose of Real Estate Tax assessments for the years 2021 up to 2025. The last valuations have been done in 2016. 

Valuations in times of the COVID-19 pandemic
Because of the unprecedented situation regarding the COVID19 pandemic we researched the impact on the real estate market on Bonaire, in particular the hotel, timeshare and lodging industry. According to our research and after consulting with US experts in the field of appraisal of commercial real estate, in particular for hotels, timeshares and lodgings, the hotel properties in the US specifically have in general devaluated between 20% and 35% in value due to the effects of the pandemic on the US economy and especially on the leisure market.