Share
The Connecticut General Assembly recently passed a bill requiring municipalities to assess properties used solely for low and moderate-income housing based on the capitalized value of their net rental income.
Public Act No. 24-143, Sec. 9 — which was signed into law by Governor Lamont on June 6, 2024 — amends Connecticut General Statutes (C.G.S.) § 8-216a and instructs towns and cities on how to value affordable housing properties for property tax assessment purposes.
The amended statute now applies to “any real property used for housing solely for low or moderate-income persons or families” and mandates that the true and actual value “shall be based upon and shall not exceed the capitalized value of the net rental income of such real property.” “Net rental income” as defined in the statute means the actual income generated by the property less “reasonable operating expenses and property taxes.”
The aim of the amendment is to clarify that the statute is intended to apply to any property used solely for affordable housing as defined in C.G.S. § 8-202. The amendment goes into effect on October 1, 2024 and should improve the consistency and transparency of the assessment of affordable housing properties throughout Connecticut for property tax purposes.
Please contact Michael Marafito if you have any questions about C.G.S. § 8-216a or the tax assessment of your affordable housing property.
Related Practices & Industries
This blog/web site presents general information only. The information you obtain at this site is not, nor is it intended to be, legal advice, and you should not consider or rely on it as such. You should consult an attorney for individual advice regarding your own situation. This website is not an offer to represent you. You should not act, or refrain from acting, based upon any information at this website. Neither our presentation of such information nor your receipt of it creates nor will create an attorney-client relationship with any reader of this blog. Any links from another site to the blog are beyond the control of Pullman & Comley, LLC and do not convey their approval, support or any relationship to any site or organization. Any description of a result obtained for a client in the past is not intended to be, and is not, a guarantee or promise the firm can or will achieve a similar outcome.
About Our Property Tax and Valuation Law Blog
Alerts, commentary, and insights from the attorneys of Pullman & Comley’s Property Tax and Valuation practice with timely information for businesses, nonprofits and individuals in commercial property tax appeals and eminent domain matters.