First Federal Savings & Loan Ass'n v. City of Flint

The City of Flint assessed improvements to property owned by First Federal Savings & Loan Association of Flint on the basis of historical cost. The Tax Tribunal and the Court of Appeals approved the assessment, reasoning that the improvements had value to First Federal because they enhanced its image. Because the constitution and the General Property Tax Act require that property tax assessments be based on market value, not value to the owner, we reverse.

I

First Federal owns a building in downtown Flint that was constructed in 1926 and purchased by First Federal in 1966. First Federal…