Commercial property owners got hit harder this year from the City through real estate assessments than did condo owners. Now, if the City raises taxes again, that hit will be even bigger.
Michael Neibauer at the Washington Business Journal:
Real property in Alexandria increased 3.5 percent in value, or $1.15 billion, over the course of the last year, according to new assessment numbers. The city’s real property tax base now totals $33.78 billion, returning to the level before the financial crisis.
The increase “signifies a reversal from the previous two years,” wrote Ted Jankowski, director of real estate assessments, in a Jan. 18 memo to the City Council and Mayor Bill Euille. And it “also reflects a general improvement in most sectors of the real estate market.”
The upward trend in assessments was led by a 6.6 percent rise in commercial property values — itself led by a 17.69 percent jump in multifamily rental values. The 2012 assessments of midrise apartments will soar by 35 percent. Commercial and hotel/motel market recoveries are “uneven,” city staff found, but multifamily “was very strong.”
Residential property, which accounts for 55.4 percent of the city’s total property tax base, moved up just a bit, by 1.55 percent. Garden and high-rise condominium values fell slightly, offset by increases in co-ops and townhouses. The averaged assessed value of a residential, single-family home increased 1.91 percent, from $621,095 in 2011 to $632,958 in 2012.
Another good sign for Alexandria: 2011 foreclosures totaled 179, down from 308 in 2010 and 289 in 2009.
Alexandria is the first area jurisdiction to release its 2012 tax assessment data. An upward swing is critical to the Northern Virginia’s local governments, as their budgets depend heavily on real property taxes.
Feature photo via S.E.B. on Flickr