Miami-Dade Property Appraiser Challenges Tax Reductions On Major Properties

Miami-Dade Property Appraiser Tomas Regalado is pushing back against steep tax breaks granted to several high-profile property owners, filing lawsuits to restore what he argues are more accurate market values.

Over two days in late July, Regalado’s office sued 17 property owners in Miami-Dade Circuit Court after they successfully lowered their 2024 valuations, resulting in reduced property tax bills. The list of defendants includes major players like Blackstone, Simon Property Group, Royal Caribbean Group, Prologis, KAR Properties, Midtown Development, Swire Properties, Melo Group, and RER Ventures.

The move continues a strategy first used by former Property Appraiser Pedro Garcia, though Regalado emphasized he is pursuing fewer cases than his predecessor.

“Last year, my predecessor filed 65 cases,” Regalado said. “We only filed 17 this year. The bottom line is that we are diminishing the number of cases that this agency used to file.”

Still, Regalado argued that the reductions granted by the county’s Value Adjustment Board were excessive, giving property owners “a huge discount” they didn’t deserve. His office has already started settlement discussions with more than half of the owners.

Among the targeted properties are:

• Cruise Terminal A (Royal Caribbean/Icon Infrastructure): Valuation reduced from $68.8M to $53.7M.
• Dolphin Mall (Simon Property Group): Reduced from $603M to $500M.
• Blackstone’s industrial portfolio (21 sites, mostly Doral): Reduced from $549.6M to $460M.
• Midtown Development sites in Miami: Valuations cut nearly in half on two parcels slated for mixed-use projects.
• Former Swire Brickell site (now owned by Melo): Reduced from $98.8M to $67.9M before its $200M sale.
• Melo’s Aria Reserve site in Edgewater: Reduced from $81.6M to $66.3M.
• KAR Properties’ Miami River site (future Faena Residences): Reduced from $55M to $39.2M.
• RER Ventures sites in Coral Gables and Kendall: Slashed from $46.2M to just $6.5M.
• Prologis warehouse in Hialeah: Reduced from $78.7M to $53.9M.

KAR Properties’ CEO Shahab Karmely was the only defendant to comment, criticizing how appraisers often overvalue land that produces no income while ignoring economic realities like high construction costs, interest rates, and slowing development.

Regalado acknowledged the challenges but stressed that the cuts were too steep. He has instructed his legal team to negotiate settlements and said his office will not appeal if courts side with the property owners.