By: Geoff Bryce
The Chicagoland AGC (Association of General Contractors) on August 27, 2019 sent a very well written letter to the Honorable Lori Lightfoot. The letter expressed concern that the huge increases in real estate assessments will stifle development. The CAGC seeks to work with the city of Chicago to foster development. Here are a few excerpts from the letter:
“Recently implemented assessment policies are disrupting the marketplace and creating significant uncertainty. Alarmingly, property owners and businesses are reporting the total assessed value of commercial and industrial properties in Northern Cook County rose 90 percent in the current reassessment cycle. In Evanston alone, the commercial properties have experienced a 125% assessment increase and estimated 90% tax increase. These increases do not appear to be phased-in, and as such will not allow for taxpaying businesses or planned developments to prepare for the severe negative impact.”
“As we work together on this important mission, we have recognized that we must speak out together against policies that threaten our progress. The rapid and unsystematic implementation of this new assessment model is one of those threats. For that reason, we ask that you join us in calling for a modification – a modification to the newly enacted property tax assessment system. A modification that calls for a methodical and strategic consideration of the economic impacts resulting from increases in commercial property taxes, with implementation of any beneficial changes to the longstanding approach over a multi-year period, rather than so abruptly in a single year.”
It will be interesting to see how this plays out.