Vacant parking lot deferral

From the 2024 DOR Tax Exemption Study

82.92.090 - Underdeveloped urban land redevelopment deferral Description A city with a population of at least 135,000 and not more than 250,000 may create a sales and use taxes deferral program for multifamily housing developed on vacant surface parking lots. To qualify for the deferral, the owner of the vacant parking lot must primarily build multifamily units with at least 50% of those units rented or sold as affordable housing to very low, low, and moderate-income households. If the property continues to qualify for this deferral for at least 10 years, the sales and use taxes do not need to be repaid. No new applications for deferral may be made after June 30, 2032. Purpose To encourage the redevelopment of underdeveloped land in targeted urban areas to provide additional affordable housing. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $1.020 $1.670 $1.720 $1.780 Local Taxes $0.494 $0.809 $0.836 $0.863 Repeal of Repealing this deferral would increase revenues. exemption Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $1.531 $1.720 $1.780 Local Taxes $0.000 $0.742 $0.836 $0.863 Assumptio