Click the link above to hear more about the City of Syracuse’s new business plan for housing, or read the transcript.
By Dominick Muccilo, SYRACUSE, N.Y. (NCC NEWS) — The City of Syracuse is prioritizing new building projects to help revitalize the housing market.
Three new complexes for student housing at Syracuse University were given tax breaks as they are being constructed. Honora Spillane, the Director of Business Development in Onondaga County, says getting investors to build has proven to be a challenge.
“With high construction costs and sort of low market value, we have to figure out how to get people to build stuff,” said Spillane.
The three new projects going up on Marshall, Walnut, and East Genesse Streets all received tax reductions as an effort by the local government to make an incentive for potential investors. The complex on Marshall Street known as “The Marshall” received a $1.5 million tax break. The complex on Walnut Street known as “The 505” received a $1.4 million break and “Theory” on East Genesse Street received a $1.3 million tax break.
Spillane says all of these projects qualify for the 485a exemption, allowing a 12-year buffer before they are charged annually for sales taxes on their respective buildings. She added that this buy-right exemption makes them pay property tax eventually, but just fades it into the market value over time.
Spillane spoke on Mayor Walsh’s logic behind the new movement to implement more developments in Syracuse.
“His focus is on how do we continue to facilitate investment in a positive way that really brings the whole city along,” she said.
Before Mayor Walsh was elected as Mayor in January, he held the same position as Spillane did as Director of Business Development.