City of Alexandria, Virginia
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MEMORANDUM
DATE: FEBRUARY 7, 2023
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
THROUGH: JAMES F. PARAJON, CITY MANAGER /s/
FROM: KENDEL TAYLOR, INTERIM DEPUTY CITY MANAGER
DOCKET TITLE:
TITLE
Consideration of the Calendar Year 2023 Real Property Assessments.
BODY
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ISSUE: (1) 2023 Notices of Assessment, which include the previous two calendar years and percentage change in the tax levy when applicable and practicable, will be mailed to property owners on February 15; and (2) staff will present the new real estate values at the February 14 City Council legislative meeting.
RECOMMENDATION: That City Council receives the report.
BACKGROUND: Included in the attached report are the annual changes in real property assessments from CY 2022 to CY 2023 and historical statistics related to assessment appreciation/depreciation, new construction, and residential sales activities.
The CY 2023 real property tax rate applicable to the January 1 assessments is scheduled to be set by the City Council on May 3, 2023.
DISCUSSION:
OVERALL CHANGE IN CY 2023 REAL PROPERTY TAX BASE
The City's overall assessed real property tax base increased 3.81%, or $1.78 billion on a year-over-year basis, from $46.5 billion in CY 2022 to $48.3 billion1 in CY 2023 (Attachment 1, Page 2, Line 73). The overall increase marks the continued improvement in the residential market and substantial growth in the multi-family sectors that began in 2020 and delivered in 2022.
The following table shows the year-over-year Land Book changes in grand total taxable real property assessments from CY 2017 to CY 2023. Of the $577,875,663 in new growth reported as of January 1, 2023, $302,656,840 (52.37%) was attributable to multifamily rental projects. Another $206,301,372 (35.7%) was attributable to residential condominiums. This development accounted for 88% of the City'...
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