Ada County appraiser confirms SONA Building value following flood damage evaluation

Ada County's Board of Equalization convened on July 2, 2025, to address significant property assessment appeals, notably concerning the SONA Building in downtown Boise. Bill Dunlap, a commercial appraiser from the Ada County Assessor's Office, presented a detailed analysis of the building's assessed value, which was recently adjusted due to floodwater damage.

The SONA Building, located at Ninth and Main Street, underwent a reappraisal for the 2024 tax year, resulting in a reduction of its assessed value from $7,361,400 to $6,711,400. This adjustment accounted for $650,000 in estimated remediation costs following water damage incurred in late 2023. Dunlap noted that the assessed value for the 2025 tax year reflects a modest market value increase of 2.34%, a stark contrast to the previous year's figures.

Dunlap emphasized the importance of using a comprehensive income approach to determine the building's assessed value, which incorporates market data on rents, expenses, and vacancy rates. He highlighted that the area surrounding the SONA Building boasts the highest rents and lowest vacancy rates in downtown Boise, reinforcing its prime location.

Despite the appellant's concerns regarding the assessed value's support based on net operating income and stabilization issues from water damage, Dunlap recommended no changes to the assessed value. He asserted that the assessment process adheres to established market data and statutory guidelines, which consider potential income and vacancy factors.

The board's decision to uphold the assessed value reflects a commitment to maintaining fair property evaluations in Ada County, ensuring that property owners are assessed based on accurate market conditions. As the county continues to navigate the impacts of recent flooding, the outcome of this appeal underscores the importance of transparent and data-driven assessment practices.