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The Tax rEvolution

rEvolution Timeline

• Pre-1980 – Local practitioners control the “market” for property tax services
• Mid-80s to Early 90s – The formation of national firms is fueled by the commercial real estate bust
• Mid-90s – The beginning of downsizing and elimination of national firms due to increasing property values; there become fewer single-source options for owners of geographically-diverse commercial portfolios
• Mid-to-late 90s – Elite professional in the industry begin their migration to smaller groups and start locally-owned firms; local expertise is again available but fragmented and, therefore, cumbersome to manage for many property owners
• 1999-Present Day – NTRG introduces and continues to provide a uniquely successful business model that coordinates the fragmented expertise for the benefit of commercial property owners across North America.

The rEvolution of the Property Tax Consulting Industry in America

In the 1970’s, the business of property tax consulting was a very local business indeed.  Local practitioners were retained in the event a property owner was unhappy with their tax assessment.  By 1985, the business had blossomed in the early days of the real estate “bust” in Texas and throughout the southwest.  By June 1990, the real estate recession had even reached the shores of Southern California…and the national property tax industry was born. Fueled by large profits gained in places like Texas and Arizona, tax firms that once had fewer than 20 employees were opening offices in major cities such as Los Angeles, New York, and Washington D.C.  The recession continued and large reductions in assessments were widely available in most any large city in America.

The height of the industry was the early nineties; and then slowly the economy improved.  Once it was evident that market values would once again meet assessments, the large reductions went away and so did the large profits for the national firms.  This was the beginning of the decline in large-scale national property tax consulting.  During the boom period for consultants in the late eighties, these firms had paid large salaries and bonuses and attracted the most elite professionals in the business.  Once the decline in profits set in, these professionals became subject to salary decreases and reduced or eliminated bonus programs.  The Big 5, after getting into the industry via acquisitions and mergers, forced key employees to sign contracts and non-compete statements virtually eliminating their right to leave and compete until January 2000.  Once those contracts expired, the key players resigned with very few exceptions and all within a month’s time. 

A “mass exodus” ensued as the elite consultants chose to form their own firms so that they could control their own destiny and compensation.  It is estimated that over 90 such firms were started between 1994 and 2000.  I personally have knowledge of over 35 such start up companies just in a nine-state region.  With very few exceptions, these small firms now provide the “best in class” consultants.  These professionals tend to get the best results because they have the best relationships with the local assessor’s office and strive to do the very best job possible.  They are typically principals or sole owners of their firms and therefore take “ownership” of their results.

In the aftermath of these events, the national consulting team concept was (and is today) very fragmented.  For a company with geographically diverse assets it may be necessary to contract with 10 or possibly 20 different consulting firms to get the best results or, in some cases, just to get local expertise.  NTRG was formed in 1999 to alleviate this imposition.  We are the one firm that provides our clients the service of the best consultants in the industry and consolidates every aspect of the engagement including information flow, invoicing, reporting, communications, and valuation management.

NTRG does not compete with other tax firms, instead we hire them where and when they are qualified to provide the “best in class” results.  We group the once fragmented team of consultants together again and manage and monitor their success for our clients.  Our relationship with these elite professionals is based on performance, trust, and, in most cases, years of personal history.back to top

Tax Consultants

Our consulting teams posses an extensive variety of experience in the processes utilized to value all commercial properties.  Property types include the following:

• Office
• Hotel and Resort
• Industrial and Warehouse
• Land
• Mixed Use
• Retail and Mall
• Multi-Family
• High-Tech Manufacturing
• Food Processing
• Distribution
• Vehicle Fleets
• Business Personal Property

The average NTRG consultant has more than twenty years of experience in the property tax field.  Some have spent their entire careers representing property owners while others began their careers in an assessor’s office and bring that experience to the benefit of our clients.  Many are tax attorneys.  All must maintain their proper registration and/or licensing through attending continuing education classes.  In many cases, our consultants are distinguished by their specialization in certain property types (e.g., hotels, industrial, malls, etc.) and this distinction is used in conjunction with their extent of local expertise to determine how they can be utilized to best serve our clients.back to top