The Knox County Commission on Monday will decide whether to sign off on tax breaks for two major downtown developments – one that will create 100 condominiums and the other that will call for almost 150 apartments.
At issue is whether to grant a PILOT for the second
phase of the Marble Alley project on State Street to help build an
underground parking garage inside the apartment complex.
proposal, the developers would make $51,450 payments a year for a
decade instead of paying the full amount of property taxes during that
time. The move saves developers money since they’re not paying
additional taxes on the improvements they make to the property during
The commission also will talk about whether to
approve a $5 million "tax increment financing" package for the
Jackson/Depot development near the Regas building.
Under the proposed plan,
condo developers would pay $45,745 to the county and $69,700 to the
city in taxes each year for up to 20 years. Afterward, the county would
get $223,000 a year and the city would receive $262,000.