The owner of the former Arthur D. Ingalls school building in Farmington, which Regional School Unit 9 voters declined to buy for $1.6 million, wants the valuation reduced to $371,300.

The town denied the owner’s request in 2024 and the owner’s appeal of that denial will come before the Farmington Board of Assessment Review on Sept. 3. The meeting is set for 6 p.m. at the Town Office, 153 Farmington Falls Road.

Voters in nine of 10 towns in Regional School Unit 9 on March 24 rejected accepting up to $1.6 million of a $1.8 million federal grant to purchase the former Arthur D. Ingalls school building by a collective 755 no votes to 405 yeses. The building at 144 High St. in Farmington is owned by Ingalls Leasing LLC.

The town had assessed the property value in 2024 at $1.26 million, including $31,700 for the land.

Frank Xu, the tax assessor for Farmington, denied the 2024 tax abatement request. The attorney representing the company says it wants the property valuation reduced to $371,300. The 2023 purchase price for the property was $470,000.

According to Xu, the $1.26 million valuation for the property in 2024 was determined using a state-approved appraisal system. He sent his denial letter June 2 to an attorney representing the company, Scott Herrick of Drummond & Drummond LLP in Portland.

KRT Appraisal, which has offices in Maine, Massachusetts and other New England states, conducted a complete review and market reassessment of the property in 2024, resulting in a preliminary valuation exceeding $1.85 million. It reinforces the “conclusion that the current assessment is accurate, and in fact, conservative,” Xu wrote in his denial letter.

“While the 2023 purchase price of $470,000 may seem relevant on its face, the circumstances of the sale (that) raise significant concerns about its reliability as a representation of the full market value include:

• The seller was a nonprofit entity, and the sale included a favorable leaseback agreement, likely influencing the transition price.

• The property had been on the market for an extended period of time (over two years), often a condition associated with seller concessions or atypical motivation.

• The sale price does not align with subsequent market indicators and valuations for similar commercial properties with the city,” according to Xu.

“Notably, in early 2025, the current owner entered into an agreement to sell the property to the local school district for $1.55 million. Although the sale was ultimately voted down by the community, this offer clearly demonstrates the owner’s own recognition of a market value that is substantially higher than the original 2023 purchase price,” Xu wrote.

Xu’s conclusion is the assessment of $1.26 million, reflecting a certified ratio of 79%, is supported by both mass appraisal methodology and independent third-party valuation.

“There is no evidence of manifest error, unjust discrimination, or overvaluation,” Xu wrote.

The agent representing Ingalls Leasing LLC was not immediately available for comment.

If the RSU 9 vote had been approved, leasing agreements would cover utilities and maintenance costs, Director Mary Redmond-Luce of the Franklin County Adult Education said before the school district vote. The cost for heat and electricity is about $80,000, she said. The current owner would have reimbursed 80% of those costs the first year, 60% in year two, 40% in year three and 20% in year four, she said.

It would have given the district time to secure leases for the large building.

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