The Lessor's Exemption is available on certain types of leased property when the exemption of property taxes benefits the lessee institution in the form of rental reduction or a refund. The Lessor's Exemption is available to property that is leased as of the January 1 lien date for the following uses (see Revenue and Taxation Code §202.2):
Public libraries that are free and open to the public
Museums that are free and open to the public
Leased property used exclusively for public schools, community colleges, state colleges, or state universities, including the University of California
Leased property used exclusively for educational purposes by a nonprofit institution of higher education
Additionally, §206.2 allows the Lessor's Exemption on property used exclusively for religious worship, including church parking for congregations of 500 or less.
The claimant must annually file a claim form with the county assessor of the county in which the property is located.