2. LEVERAGE OUR EXPERIENCE
REAL ESTATE TAX CONSULTING
Real Estate taxes are often the single largest component of operating expenses for income
producing real estate, representing between 20-30% of annual expenses. Advantage Properties has
a proven record of lowering property real estate tax assessments by 10 - 15% per year for clients.
This reduction translates into higher property NOI, more cash flow, and higher property values.
Real estate tax accounting has its own set of books. Income and expense adjustments are
necessary and we know what works and what does not. We can achieve these results because we
are owners and understand how expensive it is to own and operate income producing real estate.
In order to determine the feasibility of a property tax appeal, all we need is the following:
a year-end financial statement, the property’s tax assessment with the commercial worksheet,
and 24 hours to turn it around.
Our experience has taught us the best way to manage a property’s real estate tax assessment
is to perform a thorough analysis of the property’s operations when submitting the annual/
triannual income and expense questionnaire to the state and local jurisdictions. Properly
completing this paperwork with an understanding of how the local jurisdiction values real
estate makes an enormous difference in helping avoid increased tax assessments in the future and
the need for tax appeals altogether.
Nonetheless, local authorities may
ignore the submitted information
and/or use inappropriate
assumptions to value properties
for tax assessments. When this
happens, tax appeals are needed.
For over three decades, we have leveraged our financial and real estate knowledge of multi-
family assets to develop presentations for specific tax appeals. This has proven to be very
effective at the first and second level property appeal process in the District of Columbia,
Maryland and Virginia.
In order to ensure our clients’ tax appeal needs are met at all levels of the appeal process,
Advantage Properties has teamed up with David Freishtat, a highly respected and accomplished
attorney at Shulman Rogers, to handle the appeals that need to be made at tax court, the third
level of the appeal process.
Advisory Board
In 2014, we saved
$264,000in real estate taxes across 8 properties
Gerald Burg, Greysteel
Jeffrey Byrd, Legacy Partners Residential
David Freishtat, Shulman Rogers
Douglas Margerum, Cove Property Management
Stephen Margerum, Cove Property Management
John McIlwain
Ryland Mitchell, Valbridge Property Advisors
John Potvin, Equity Management
William Roohan, CB Richard Ellis
David Sislen, Bristol Capital Corporation
3. LEADERSHIP
Alex Gross is President of Advantage Properties. He joined the company
in 2003. Mr. Gross provides strategic real estate tax advice to clients with
properties located throughout the mid-Atlantic region of the United States.
In addition to his consulting efforts, he also oversees a 1,200 unit multifamily
apartment portfolio valued at over $150M located in the Washington, DC
and Baltimore, MD metropolitan areas. For the existing portfolio, Mr. Gross
provides asset management services as well as financial underwriting and
valuation analysis for potential dispositions and/or debt restructuring.
For potential acquisitions, Mr. Gross actively engages the broker community
and other relationships to source attractive deals, and works with lenders and equity partners to
structure the transactions.
Prior to joining Advantage Properties, Inc., Mr. Gross worked in Strategic Planning for AT&T where
he analyzed business results and supported the Executive Leadership Team. Previously, he worked
at Goldman Sachs in its emerging markets research group where he covered Brazil. He also worked
at the Americas Society where he developed specialized programs that addressed investment issues
facing the Americas.
Mr. Gross has a Bachelor of Arts degree in Latin American Studies from the University of Michigan and
Masters Degrees in International Economics from Columbia University and in International Real Estate
from Johns Hopkins University.
Michael Gross is chairman of Advantage Properties and an owner and
developer of commercial real estate with investment properties in the State
of Maryland. Mr. Gross has worked with his partner, Douglas Margerum, the
president of Cove Property Management LLC (and formerly president of
Equity Management Inc., which he founded in 1980). At present, these men
have controlling interests in entities that own more than 1,200 multi-family
apartment units in nine properties in the States of Maryland and Virginia.
Over the past 30 years, they have had controlling interests in 36 properties.
Mr. Gross has been in the real estate business full-time for more than 3
decades. Prior to devoting his efforts full-time to real estate, Mr. Gross practiced law. He was a founder
and principal of the law firm of Grove Engelberg and Gross from 1976 to 1985.
Mr. Gross has a Bachelor of Arts degree from the University of Michigan. He has a Juris Doctor from
New York University Law School, where he was a member of the Law Review.
Advantage Properties has an Advisory Board composed of leading professionals in the real estate
community. These board members offer a wide range of expertise in their specialized areas to ensure
Advantage Properties is able to meet the diverse needs of its clients.
4. 6917 Arlington Road, Suite 224, Bethesda, MD 20814
P. 301-986-1400 • F. 301-986-1401
www.ad-prop.com
