Title
Approval of Multi-family Housing Limited Property Tax Exemption Agreement for 924 State Avenue NE
Recommended Action
Not referred to a committee.
City Manager Recommendation:
Move to approve the attached Multi-family Housing Limited Property Tax Exemption Agreement and authorize the City Manager to execute the agreement with 924 State, LLC.
Body
Issue:
Whether to enter a Multi-family Housing Limited Property Tax Exemption Agreement for four new residential apartments located at 924 State Avenue NE.
Staff Contact:
Leonard Bauer, Deputy Director Community Planning & Development, 360.753.8206
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
Mixed Use Project.
924 State, LLC, (represented by Mr. Mike Auderer), is constructing a three-story mixed use building at 924 State Avenue NE (the site of the previously-approved Tanasse building). The exterior of the building is nearly identical to the previously-approved building. On the interior, the project now consists of three market-rate residential apartments on the first floor, a 2,656 square foot medical office on the second floor, and one market-rate apartment on the third floor. The building is approximately 8,110 sq. ft. and is currently under construction. 924 State, LLC seeks the eight-year tax exemption for the four market rate units.
Tax Exemption Code.
State law authorizes the City of Olympia to adopt a multi-family housing tax exemption program (RCW 84.14). The Multi-Family Tax Exemption provisions contained in Olympia Municipal Code Chapter 5.86 were first passed in August 1997 (Ordinance 5713) with a 10-year property tax exemption for downtown multi-family projects. The ordinance was amended in December 1997 (Ordinance 5734) to add new residential target areas. The State Legislature revised the 10-year exemption into an 8-year market rate or 12-year affordable housing tax exemption. On January 26, 2009, the City Council adopted the 8- and 12-year provisions along ...
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