Issue No. 24-015 | September 24, 2024
Notable property tax developments:
- NYC > Despite Mayor Eric Adams' pledge to reform New York City’s property tax system, significant disparities persist. Adams promised to address the inequities in his first year as mayor, however, nearly identical homes in different boroughs continue to face dramatically different tax rates. Brownstone homes in Brooklyn often have lower effective tax rates compared to properties in the Bronx or Queens. An ongoing lawsuit aims to force the city to implement the promised reforms. Read more here.
- Maine > South Portland Mayor Misha Pride suggested that elderly residents consider reverse mortgages to manage increasing property tax burdens. During a recent City Council meeting, Pride highlighted the challenges posed by the city’s latest property revaluation, which shifted more tax responsibility onto residential properties. The council discussed allocating an additional $50,000 to the Senior Property Tax Relief Fund to mitigate the impact on seniors. This fund, established in 2011, has seen several amendments to increase eligibility and benefits, but the rising number of applicants may reduce the average benefit unless more funds are provided. Read more here.
- Florida > Pinellas County Commissioners approved a $4.3 billion budget for the 2024-2025 fiscal year, which includes a property tax rate reduction. This budget marks the third millage rate reduction in the past four years. Read more here.
- Texas > Harris County Commissioners Court approved an 8% property tax increase for the 2024 fiscal year. This decision, driven by the need to address budget shortfalls from recent natural disasters, will result in an additional $256 in property taxes for a $400,000 home. The new tax rate, effective October 1, aims to fund critical priorities such as mental health care, reducing the jail population, and enhancing public safety. The increase also supports the Harris County Flood Control District, which will generate $113 million in revenue to improve flood mitigation infrastructure. Read more here.
Notable multifamily developments:
- Tennessee > Chattanooga will donate 11 city-owned properties for affordable housing development as part of a new land bank program. The city will accept proposals from builders and begin distributing the properties in January 2025. Apartments built on these properties must be affordable to renters earning 80% or less of the area median income, approximately $56,000, and must remain affordable for 10 years. This initiative follows recent reforms to the city’s tax breaks for affordable housing developers and a new state law allowing voluntary affordable housing incentives. Read more here.
- Affordable Housing Conference > Partnership Home is hosting the 2024 Housing Summit on November 6th from 8:30am to 5:00pm at the Sheraton Fort Worth Downtown Hotel. Register and learn more here.
- Public-Private Partnerships > Eckberg Lammers, P.C. is hosting a seminar on development agreements and public-private partnerships. Register and learn more here.
- The Next Stage of the Credit Cycle with Danielle Poli, co-portfolio manager of Oaktree's Diversified Income Fund - Listen
- Shall we repeal the laws of economics? by Howard Marks - Listen
- How to think about risk with Howard Marks - Watch
