HomeMy WebLinkAbout(0014) M&C 20-0525City of Fort Worth,
Mayor and
DATE: 08/11 /20
Texas
Council Communication
LOG NAME: 19NEZ6008LANTANA
SUBJECT
M&C FILE NUMBER: M&C 20-0525
(CD 4) Authorize Execution of a Five -Year Tax Abatement Agreement with Christopher J. Heim and Jacquelyn Heim, David J. Heim, Jr. and Kate
P. Heim, for the Construction of a Single -Family Dwelling of Approximately 2,007 Square Feet and Having a Cost of at Least $215,000.00 on
Property Located at 6008 Lantana Lane in the Woodhaven Neighborhood and Within Neighborhood Empowerment Zone and Reinvestment Zone
Area Five (Continued from a Previous Meeting)
RECOMMENDATION:
It is recommended that the City Council authorize the execution of a Five -Year Tax Abatement Agreement with Christopher J. Heim and Jacquelyn
Heim, David J. Heim, Jr. and Kate P. Heim, for the construction of a single-family dwelling of approximately 2,007 square feet and having a cost of
at least $215,000.00 on property located at 6008 Lantana Lane in the Woodhaven Neighborhood and within Neighborhood Empowerment Zone
and Reinvestment Zone Area Five, in accordance with the Neighborhood Empowerment Zone Basic Incentives and Tax Abatement Policy.
DISCUSSION:
Christopher J. Heim and Jacquelyn Heim, David J. Heim, Jr. and Kate P. Heim (Property Owners) are the owners of the property described as
Lot 12, Block 16, Woodhaven Country Club Estates, Sixth Filing, an Addition to the City of Fort Worth, Tarrant County, Texas, according to the plat
recorded in Volume 388-76, Page 13, Deed Records, Tarrant County, Texas, at 6008 Lantana Lane, Fort Worth, Texas. The property is located in
the Woodhaven neighborhood and within Neighborhood Empowerment Zone (NEZ) Area Five. This property is outside Tax Increment Finance
district thirteen.
The Property Owners plan to invest an estimated amount of $215,000.00 to construct a single-family residence of approximately 2,007 square feet
(Project). The Project will be used as the homeowner's primary residence.
The Neighborhood Services Department reviewed the application and certified that the Property Owners and Project met the eligibility criteria to
receive a NEZ Municipal Property Tax Abatement. The NEZ Basic Incentives include a Five -Year Municipal Property Tax Abatement on the
increased value of improvements to the qualified owner of any new construction or rehabilitation within the NEZ.
Upon execution of the Agreement, the total assessed value of the improvements used for calculating municipal property tax will be frozen for a
period of five years starting January 2021 at the estimated pre -improvement value as defined by the Tarrant Appraisal District (TAD) in July 2020
for the property as follows:
Pre -Improvement TAD Value of Improvements
$ 0.00
Pre -Improvement Estimated Value of Land
$15,000.00
Total Pre -Improvement Estimated Value
$15,000.00
The municipal property tax on the improved value of the Project after construction is estimated in the amount of $1,607.13 per year for a total
amount of $8,035.65 over the five-year period. However, this estimate may differ from the actual tax abatement value, which will be calculated
based on the Tarrant Appraisal District appraised value of the property.
In the event of a sale of this property, the Tax Abatement Agreement may be assigned to a new owner's first mortgage or a new owner as a primary
residence. All other assignments must be approved by the City Council.
This property is located in COUNCIL DISTRICT 4
A Form 1295 is not required because: This M&C does not request approval of a contract with a business entity.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies that upon final approval of the Tax Abatement Agreement, a loss of an estimated $8,035.65 in property tax
revenue may occur over the next five year period. This reduction in revenue will be incorporated into the long term financial forecast upon the Tax
Abatement being officially granted.
Submitted for City Manager's Office b� Fernando Costa 6122
Originating Business Unit Head: Victor Turner 8187
Additional Information Contact: Sarah Odle 7316