Exec Homes: Ritzy Rockcliffe still the tax man's favourite part of town
By Ottawa Business Journal Staff
Wed, Mar 14, 2007 1:00 PM EST

 

The home of Marlen and Michael Cowpland at 234 Perley Ct. (Darren Brown, OBJ)

Technology and real estate are where the big money is in Ottawa. Everyone knows that. Still, it's striking that most of the priciest homes in the city are now owned by technology tycoons, real estate moguls or members of their families.

Almost all of Ottawa's top 10 private homes – as determined by provincial property assessors – are owned by people in those two categories.

This emerges from the latest property values compiled by the Municipal Property Assessment Corporation (MPAC). It is an independent agency created by the Ontario government to determine how property taxes should be spread among property owners.

This year's assessments have created far less furor than usual, because the assessments of most home-owners are unchanged from last year.

Ontario's Liberal government froze most assessments at last year's levels while it looks for ways to ensure that these assessments will in future be closer to the true value of residential and commercial property.

The irony of the freeze is that it most adversely affects property owners who have most to complain about.

That is to say, if your home is assessed to be worth more than it is really worth, you will pay more than your fair share in property tax this year, just as you did last year – unless you successfully appeal, a lengthy and time-consuming process.

It's anyone's guess how long the freeze will last, since we may have a change of provincial government before the McGuinty Liberals make up their minds what to do about property taxes.

Where this year's assessments differ from last year's is on new or nearly new properties that have been assessed for the first time, and on properties that have been upgraded or had additions built.

In addition, assessments have changed where property owners successfully challenged the value MPAC put on their home or business premises. And, in some cases, assessments have gone up because MPAC decided its earlier assessment was too low.

Among the city's most expensive residential properties, the biggest change is in the property taxes to be paid by Cognos founder Michael Potter.

Mr. Potter will pay taxes on an extra $3 million in assessed value following his purchase of about one acre of land from his Rockcliffe neighbour to expand his backyard as a place for his three children to play.

The semi-retired technology wizard acquired the land from the U.S. government. It was part of the grounds of the American ambassador's residence. In return, Mr. Potter handed over to the Americans a house that he had bought on the opposite side of the ambassador's residence.

The new assessment on Mr. Potter's enlarged property is about $8.6 million. That almost brought his property's assessed value up to that of the second-highest private home in the city. As it is, Mr. Potter remains third.

Just ahead of Mr. Potter is the Rockcliffe home of Philip and Beata Garel-Jones, assessed to be worth $8.66 million. That property, on the edge of the village and close to a busy road, was formerly the home of Antoine Paquin, maker of one of the largest fortunes in the technology boom a few years ago.

Mr. and Mrs. Garel-Jones, who made their money in the boom years of JDS Uniphase, paid $8.25 million for the property several years ago when Mr. Paquin moved his base of operations to California. It had been on the market for $12.8 million.

Marlen Cowpland, flamboyant wife of former Corel boss Michael Cowpland, remains Ottawa's highest property-tax payer. She's grumbled in the past at how much she pays in property taxes. She is listed as sole owner of the huge Rockcliffe home that she shares with her husband. She also owns a big house just across the Champlain Bridge, in Aylmer, Que.

This year, Mrs. Cowpland will gain a little relief on the Rockcliffe property. The new assessment is about $11.82 million. Last year the home was assessed at $12.55 million. The reason for the slight reduction is not known. Mrs. Cowpland successfully appealed for a property tax cut on the home in the past. But each year assessors put a new – and usually higher – value on many properties.

Mrs. Cowpland's property taxes are about $150,000 a year.

Terry Matthews, the city's wealthiest citizen, lives in the fourth-highest assessed home, in a middle-class neighbourhood of suburban Kanata. It is assessed at $5.27 million.

Family members of home-builders Bill Malhotra and Kris Singhal also own homes in the top 10.

Twenty-five of the 30 highest-assessed homes are in Rockcliffe.

Apart from Mr. Matthews' home, the only one in the top 10 outside Rockcliffe is that of Albert Heller and Lisa Marie Wallace, who live on the Ottawa River in Kanata. He also made a fortune in technology. Their home, assessed at $3.72 million, was built and once owned by Robert Campeau, at one time Ottawa's richest real estate mogul.

Garry Galley, former NHL hockey player and now a TV hockey analyst, owns a home in Crystal Bay, near the Nepean Sailing Club, assessed at $2. 68 million.

By Michael Prentice

Special to the Ottawa Business Journal March 14, 2007