The apparent failure of Longvue and a residential development in Mt. Lebanon highlight risks inherent in projects backed by tax-increment financing plans, and they could cost state taxpayers at least $7.3 million.
It is costing Mt. Lebanon taxpayers, as well. The Mt. Lebanon School Board and Commission must approve giving up a portion of property tax revenues when authorizing a TIF.
Yes, Steve Feller is correct. However, as it was pointed out in a previous comment:Neither the municipality nor the school district lost any money on the project, Feller said. Both collect taxes on the value of the unimproved land; only tax money from any buildings would go into the debt service fund.Zamagias controls the land, through several extensions Mt. Lebanon commissioners granted; the company bought the site from the defunct Mt. Lebanon Parking Authority. The board in January granted the most recent extension, lasting until December 2013.After consolidating its properties along Washington Road and Kenmont Avenue, Zamagias cleared the site, which remains empty.
The Mt. Lebanon Parking Authority (MLPA) purchased the property during the 1970's for around $200,000 that it sold to Zamagias in 2005 for $520,000. That $520,000 was based on an independent appraisal by a state certified appraiser and agreed to by both buyer & seller.
There are also some interesting questions about the consolidation of Zamagias property parcels, County assessments, reassessments and owner appeals that I would like to see addressed by Municipal officials. In reviewing the County 2013 assessment website for the Zamagias properties (i.e. 098-P-100), one wonders how 8 former parcels that Zamagias paid a total of $1,520,000 for, reportedly with TIF loan proceeds, can be shown consolidated into a single parcel now comprising 1.7115 acres, has a cost basis of only $520,000, a 2012 assessed value of $609,100, and a 2013 reassessed value of only $428,000 that Zamagias is appealing as being too high ?
Now you see, Anonymous, why I rail against this and expose Posti...? You wonder why you aren't getting the fundraising support that you need. These decisions are costing us money. Don't forget to sign the petition.
Links:
Letter to the Editor: The Importance of Being Earnest UPDATED 2x
This is disgusting!
Mt. Lebanon developer may avoid repaying tax-aided loan
Links:
Letter to the Editor: The Importance of Being Earnest UPDATED 2x
This is disgusting!
Mt. Lebanon developer may avoid repaying tax-aided loan
7 comments:
The only problem with your comment is, that Posti was the only director who voted against the TIF.
It is nice to know that she has one redeeming quality about her.
Elaine
12:08 Yes, Posti voted against the TIF, but only because the high end ($350,000 - $1,000,000 per unit)condo project was not "affordable housing" for lower income residents. Her definition of "affordable housing" was housing that Mt. Lebanon teachers & staff could afford. It was a political statement. She knew that the majority of the school board would vote yea.
2:51 Of course it was a political statement, just like yours. Should we assume from your statement that you do not want "affordable housing" in Mt. Lebanon?
2:51 I only quoted facts. In fact a statement made by Posti herself in a public meeting ! Drop the hissy fit and deal with facts.
3:37 PM, There is plenty of affordable housing in Mount Lebanon and lots of apartments that can be rented until kids graduate. Then the parents move out, with their kids taking an expensive education, and they don't even have to sell their house.
Jason Todd
The new rule attempts to prevent fraud by “forbid[ding] brokers from hiring their own appraisers and requir[ing] intermediaries—called appraisal management companies—to choose them instead.” This clause has significantly reduced business for independent appraisers while “pushing up fees and derailing sales” at a time when the market isn’t strong enough to withstand it. Certified Appraiser
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