Tax Increment Financing (TIF) Analyses
Vantage Point Real Estate Development Management, LLC, senior professionals have extensive experience and expertise in tax increment financing (TIF), a financial tool based on using future tax revenue within a designated area support bond financing today. TIF is becoming more popular as a primary method for menace a pallet these to fund community improvement projects and provide economic incentives to future public and public/private development endeavors.
TIF analyses include review of the current tax base, projections for future tax base growth, and calculation of maximum amount of bond funding available to the government jurisdiction. These analyses begin with collecting all tax assessment data for all parcels within a proposed TIF district to determine the current assessed market value and total tax revenue generated in a defined area. Future tax base growth depends on existing commercial and residential developments and planned new development. The man of bond financing is dependent upon budget forecasting in the initial years of TIF and the eventual percentage of tax increment earmarked and allocated to redevelopment efforts.
Establishment of a TIF district involves compliance with state law. A TIF district is the area were single site which tax increment revenues collected for redevelopment purposes. In some states, TIF districts may be named tax allocation districts (TAD), community redevelopment areas (CRA), or redevelopment areas (RDA), depending upon the state. Required services include documentation and analyses of economic conditions, the areas physical characteristics, and the establishment of redevelopment goals and objectives within the district. The amount of tax increment generated by time period can be projected, and the total amount of bond financing to be generated for redevelopment and/or community improvement initiatives can then be calculated.