The estimated value of the grant represents 100% of the increase in the municipal portion of property taxes for a period of 5 years. The Downtown CIP stipulates that the grant cannot be more than the eligible costs. The estimated total tax increment grant of $131,872, plus the $50,000 from the Commercial/Mixed Use Building Facade Improvement Grant, the total grant funds equals $181,872 over 5 years. The applicant estimates $2,355,000 in investment into properties including the interior fit up for the tenant. The grant represents approximately 7.7% of the estimated investment for this development.
119 Chatham Street
| Estimate Property/Building Improvement Tax Increment Grant Calculation 119 Chatham StreetWest | |||
|---|---|---|---|
| Year of Grant | Pre DevelopmentMunicipal Taxes (lessVacancy RebateAllowance) | Post Development MunicipalTaxes | Estimate Value of Grant |
| 1 | $37,732 | $48,836 | $11,104 |
| 2 | $37,732 | $48,836 | $11,104 |
| 3 | $37,732 | $48,836 | $11,104 |
| 4 | $37,732 | $48,836 | $11,104 |
| 5 | $37,732 | $48,836 | $11,104 |
| Total Grant Estimate | $55,518 | ||
Assumptions
| Current Property Value Assessment (2019 - Commercial) | $ | 610,155 |
| Current Property Value Assessment (2019 - Residential) | $ | 747,345 |
| Current Municipal Tax Levy (2019) | $ | 44,396.68 |
| Estimate Post Development Property Assessment (Commercial) | $ | 671,171 |
| Estimate Post Development Property Assessment (Residential) | $ | 822,080 |
| Estimate Post Development Municipal Taxes (Commercial New Construction) | $ | 22,063 |
| Estimate Post Development Municipal Taxes (Multi-Residential) | $ | 26,773 |
| Municipal Multi-Residential Tax Rate | 0.03256788 | |
| Municipal Commercial Tax Rate | 0.03287237 | |
| Vacancy Rebate Allowance | $ | 6,664 |