House Bill No. 7001 establishes a specific methodology for assessors to determine the fair market value of retail sales facilities for property tax purposes, effective October 1, 2025. The bill defines "retail sales facility" as a structure serving customers in-person for the selection and purchase of goods or rental of tangible personal property. It mandates that assessors utilize three approaches—cost less depreciation, income, and comparable sales—when valuing these properties. The comparable sales approach requires assessors to consider properties that are reasonably similar in age, condition, use, construction type, location, design, physical features, and economic characteristics.

The bill modifies existing law, which previously allowed assessors to use any acceptable mass appraisal methods without the requirement to apply all three approaches specifically for retail sales facilities. The new legal language clarifies that the valuation methods must be applied starting from the assessment year commencing on or after October 1, 2025. This change may lead to fluctuations in the grand list for municipalities, depending on how retail properties would have been valued under the previous guidelines.