Jul. 31—EAU CLAIRE — The out-of-state owner of a low-income housing complex in Eau Claire is suing the city to seek a full refund of its 2020 property taxes.
Woodsedge Harmony Housing, which is incorporated in Delaware but headquartered in New York, filed the lawsuit during mid-July in Eau Claire County Court.
The company owns a group of apartment buildings on Boardwalk Circle on Eau Claire's south side, providing 64 rental units to low- and very-low-income persons, the lawsuit stated.
Because the apartment complex is owned by a nonprofit benevolent association and is used for low-income housing, Woodsedge stated it is entitled to property tax exemption.
Woodsedge contends in the lawsuit that it did file a timely and complete request for property tax exemption in February 2020.
However, City Attorney Stephen Nick said that was not the case.
"For the 2020 tax year those steps were not properly and timely taken by the owner so an exemption could not be granted," Nick stated in an email.
The city had not been officially served with the lawsuit as of last week, but Nick was familiar with the situation. The lawsuit requires the city to issue its written response within 20 days of being served.
For 2020, the city valued the apartment buildings at $2.85 million and sent a bill for $57,000 in property taxes to the owner in December. Online tax records show that Woodsedge paid that bill in full.
The nonprofit sent a letter in January seeking a tax refund from the city, which was automatically disallowed in April after the city did not formally reply.
Woodsedge is seeking a refund with interest and any other costs or fees allowed by law.