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Case <br /> <br />TAX STATUS OF DIFFERENT TYPES OF RESIDENTIAL DEVELOPMENT <br /> By: Amy Geisler, Community Development Department <br /> <br />Background: <br /> <br />At its February 20th meeting, the Housing Committee requeSted information on the tax <br />revenue status of different types of residential development. At its April 17, 2003 <br />meeting the Housing Committee voted to table this case until this month's meeting. <br /> <br />Observations: <br />Tax status is generally more a matter of market value than development type. The County <br />Assessor assigns a tax rate to different kinds of residential development, as follows: <br /> <br />Development Type <br />Single-family, townhomes, condominiums <br />(regardless of age restrictions) <br />Apartments, townhomes <br />(regardless of age restrictions) <br />Assisted living facilities <br /> <br />Taxed As: <br />Single-family (owner-OCcupied) <br /> <br />Apartments (rental) <br />Apartments (rental) <br /> <br />Nursing homes <br /> <br />Apartments (square footage basis) <br /> <br />Tax Example <br />Owner-occupied (includes single-family, townhomes, etc.) <br />Taxable market value $250,000.00 <br />Total estimated tax $3,113.45 <br />Estimated city portion $1,073.27 <br /> <br />Rental (non-owner occupied) <br />Taxable market value <br />Total estimated tax <br />Estimated city portion <br /> <br />$250,000.00 <br />$4,636.44 <br />$1,609.91 <br /> <br />Generally, ownership (private vs. non-profit vs. public) does not affect tax status. There <br />are a few exceptions: one example is Savannah Oaks in Ramsey. Anoka County owns the <br />building and has'the option to make an in-lieu payment instead of a regular tax payment. <br />An in-lieu payment is based on the revenue generated by the development instead of its <br />market value. The City still receives a portion of this payment, as in a regular market- <br />value assessment. <br /> <br /> <br />