Commercial & Business Property
Colorado Commercial Property Tax Appeals
Office, retail, industrial, multifamily, and special-purpose buildings in Colorado are frequently over-assessed. Here's how commercial assessments work, the deadline to challenge yours, and what it takes to win.
How commercial is assessed
Colorado assesses commercial at a substantially higher ratio than residential (commercial has historically been near 27–29% of actual value vs roughly 6.7–7.15% for homes). This gap makes commercial valuation disputes high-stakes.
Commercial assessment ratio (~27–29%) is several times the residential ratio (~6.7–7.15%).
Burden of proof
The property owner (or their authorized agent) bears the burden of proving the assessment exceeds market value. The assessor's value is presumed correct until rebutted with credible evidence.
Key to a Colorado commercial appeal: A wide commercial-vs-residential ratio gap
Because commercial is assessed at roughly four times the residential ratio, even a modest market-value reduction produces an outsized tax cut. Protest to the Assessor by the spring deadline, then the County Board of Equalization.
Colorado Filing Deadline & Where to File
File With
County Assessor, then County Board of Equalization
Deadline
June 1 (to assessor) or June 15 (to Board of Equalization)
Window Opens
Notices mailed by May 1 (odd years for residential)
Typical Duration
2–4 months
Colorado reassesses residential every 2 years (odd years). Assessment rate is 6.7% of actual value. Informal protest to assessor first, then formal appeal.
How commercial value is proven
Income-producing commercial property is usually valued by capitalizing net operating income (NOI ÷ market cap rate). The strongest appeals come with a clean rent roll, a trailing-12-month operating statement, current vacancy, and market cap-rate support. Where the property is owner-occupied or special-purpose, the cost and sales-comparison approaches carry more weight.
Evidence that wins a commercial appeal
- Current rent roll and a trailing-12-month operating statement
- Actual vacancy and collection loss (vs the assessor's stabilized assumption)
- Market capitalization rate support for the property type and submarket
- Recent arm's-length sales of comparable commercial buildings
- Evidence of physical, functional, or economic obsolescence
- Any change in use, tenancy, or condition since the assessment date
How to appeal a commercial assessment in Colorado
- 1Pull the assessment — confirm the assessed value, the assessment ratio/class, and how the assessor derived it (income, cost, or sales).
- 2Build the valuation — capitalize actual net operating income and gather comparable sales to establish market value as of the assessment date.
- 3File before the deadline — submit to County Assessor, then County Board of Equalization by June 1 (to assessor) or June 15 (to Board of Equalization), with the authorization signed by someone able to bind the owning entity.
- 4Present at the hearing — commercial hearings are evidence-driven; a clean income approach and credible comps carry the day.
Think your Colorado commercial property is over-assessed?
We pull the assessment, build the income-approach case, and file the appeal. Fee: 20% of first-year savings — only if we win. Nothing upfront, and the reduction can hold for years.
Assessment ratios, class rates, and deadlines in Colorado are set by statute and can change year to year, and often vary by county or municipality. Verify current figures and dates with your county assessor or clerk of the board before filing. This page is general information, not legal or tax advice. TaxedFairly is a product of WebLab LLC.