59-2-301.1.  Assessment of property subject to a conservation easement — Assessment of golf course or hunting club — Assessment of common areas.

(1)  In assessing the fair market value of property subject to a conservation easement under Title 57, Chapter 18, Land Conservation Easement Act, a county assessor shall consider factors relating to the property and neighboring property that affect the fair market value of the property being assessed, including:

Terms Used In Utah Code 59-2-301.1

  • Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
  • Fair market value: means the amount at which property would change hands between a willing buyer and a willing seller, neither being under any compulsion to buy or sell and both having reasonable knowledge of the relevant facts. See Utah Code 59-2-102
  • Land: includes :Utah Code 68-3-12.5
  • Property: means property that is subject to assessment and taxation according to its value. See Utah Code 59-2-102
(a)  value that transfers to neighboring property because of the presence of a conservation easement on the property being assessed;

(b)  practical and legal restrictions on the development potential of the property because of the presence of the conservation easement;

(c)  the absence of neighboring property similarly subject to a conservation easement to provide a basis for comparing values between properties; and

(d)  any other factor that causes the fair market value of the property to be affected because of the presence of a conservation easement.

(2) 

(a)  In assessing the fair market value of a golf course or hunting club, a county assessor shall consider factors relating to the golf course or hunting club and neighboring property that affect the fair market value of the golf course or hunting club, including:

(i)  value that transfers to neighboring property because of the presence of the golf course or hunting club;

(ii)  practical and legal restrictions on the development potential of the golf course or hunting club; and

(iii)  the history of operation of the golf course or hunting club and the likelihood that the present use will continue into the future.

(b)  The valuation method a county assessor may use in determining the fair market value of a golf course or hunting club includes:

(i)  the cost approach;

(ii)  the income capitalization approach; and

(iii)  the sales comparison approach.

(3)  In assessing the fair market value of property that is a common area or facility under Title 57, Chapter 8, Condominium Ownership Act, or a common area under Title 57, Chapter 8a, Community Association Act, a county assessor shall consider factors relating to the property and neighboring property that affect the fair market value of the property being assessed, including:

(a)  value that transfers to neighboring property because the property is a common area or facility;

(b)  practical and legal restrictions on the development potential of the property because the property is a common area or facility;

(c)  the absence of neighboring property similarly situated as a common area or facility to provide a basis for comparing values between properties; and

(d)  any other factor that causes the fair market value of the property to be affected because the property is a common area or facility.

Amended by Chapter 49, 2017 General Session

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