Teledyne Continental Motors v. Muskegon Township

Respondent appeals as of right from a Michigan Tax Tribunal decision reducing the property tax assessment on petitioner’s real property for 1982, 1983, and 1984. The property is the site of a large industrial plant built in 1941 and 1942 for the purpose of manufacturing diesel tank engines. The Tax Tribunal found the true cash value of the property to be $3,765,000 for 1982, $3,770,000 for 1983, and $4,200,000 for 1984.

Respondent’s appraiser offered a cost approach to valuation. Under this approach, the industrial plant’s value was computed at replacement cost minus flat rate physical…