The new assessment roll compiled by city officials show commercial property values rising after years of decline or stagnation. Residential properties, meanwhile, experienced a more modest increase. The numbers, compiled by the city assessor, will be used to calculate 2019 tax bills.
Overall, the total taxable assessed value of all properties in the city rose 5.49 percent from last year to just over $1.5 billion. Commercial properties saw a 10.3 percent rise on total taxable assessed value while the value of residential parcels rose by 3.16 percent. The city is divided into 15 “valuation areas” for assessment purposes. City Assessor Dan Baker said that the most significant hikes in assessed value came in valuation areas spread throughout the city, while residential values went up most in the Stockade and Downtown districts. Mayor Steve Noble said that the total assessed value in the “non-homestead” commercial sector had begun rising in last year’s assessment roll. The trend has accelerated in the most recent numbers. “Commercial real estate has really started skyrocketing,” said Noble.
Kingston operates under a dual tax rate system, where non-homestead (commercial) and residential parcels are assigned separate rates. Each year the Kingston Common Council determines what portion of the total tax levy will be borne by each sector. This year, the non-homestead sector, which comprises 33 percent of total taxable assessed value in the city, took on 45.8 percent of the levy. The remainder was taken on by the residential sector.
In recent years, the city has gradually increased the residential tax burden to more accurately reflect its proportion of total value. Noble said that he expected the gradual shift to continue next year.
Property owners who wish to challenge their assessments have until Tuesday, May 22 to file a grievance with the assessor’s office. On May 22, the city’s Board of Assessment Review will meet to go over grievances and adjust assessments accordingly before compiling the final tax roll.
Home rule does not mean “make things up as you go along” for taxation of real-property? “Valuation areas”? Supposed to be income capitalization for commercial properties and your assessment log is as messed up as the rest of Up state NYl
PILOTS are driving commercial values. Increasing commercial assessments and property taxes is not fair to tax-paying business owners when the likes of RUPCO (Lace Mill, MetLife, ESquare…each of which competes with for-profit existing businesses), Bender ( bought Woolworth Bldg that has an approved PILOT), Blaichman ( PILOT), ridiculous price paid for Clinton/Yosman…yup 35-year PILOT…are paying significantly lower property taxes. These lower property tax deals provide these developers with additional cash flow that fund these inflated prices.
Meanwhile approval of these PILOTS is enabling developers to use valuable Kingaton real estate for purposes that are NOT creating any real, new, sustainable jobs.
What is Kingston’s Master Plan? Certainly not job creation.