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Residential Use Dedication

click this link for the original article and form

Containing info on list of condos that may qualify for this dedication to lower the property tax

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Certain condominium owners may now consider dedicating their properties for Residential Use for a five-year period if their units are being used as a primary residence, or a long-term rental (longer than 30 days at a time). This option will allow the properties that are currently on land zoned as mixed use, hotel, or commercial, and whose Declaration of Condominium or Horizontal Property Regime specifically states that the unit is allowed to be used as residential, to be classified as Residential, and thereby eligible for the historically lower real property tax rate. On June 16, 2017, the Real Property Assessment Division will be mailing out letters and petition forms to approximately 8,000 owners whose properties may qualify for the dedication. If approved, the owner must commit to a five-year dedication, which is automatically renewable for additional five-year periods unless cancelled by either the property owner or the Director of Budget and Fiscal Services. Upon sale or transfer of the dedicated property, the dedication will continue for the remainder of the dedication, but will not be automatically renewed. Once expired, the dedication will be cancelled, and the new owner must file a new petition to dedicate in order to continue with the Residential Classification. Failure to observe the restrictions will result in a paramount lien upon the property, as well as rollback taxes and penalties. This Residential Use Dedication will replace any previous methods by which condominiums on non-residential zoned lands were allowed to be classified as Residential. Previously approved Declaration Regarding Condominium Use forms are deemed to be invalid. A Home exemption will no longer automatically qualify a property for a classification as Residential. The deadline to file this dedication is September 1, 2017. There will be no grace period or extension. Should you have any questions please contact our offices at (808) 768-3799.

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