In Milwaukee Block 10 Properties, LLC v. City of Milwaukee (2019AP1424), the Court of Appeals District I upheld the property tax assessment for the Aloft Hotel in Milwaukee.

Milwaukee Block 10 Properties filed this lawsuit challenging its 2016 property tax assessment for the Aloft Hotel and seeking a refund of around $200,000. Block 10 argued the assessment improperly included income generated from guest parking in an offsite parking ramp owned by a third party that contracted with Block 10.

The appeals court disagreed, finding that the hotel property would continue to have the opportunity to generate parking income from guests if the hotel was sold. The parking income is “inextricably intertwined” with the business value of the Aloft property, so it was properly included in the assessment.