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Old 01-11-2017, 11:07 AM   #40
Hack&Lube
Atomic Nerd
 
Join Date: Jul 2004
Location: Calgary
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Quote:
Originally Posted by GGG View Post
THis affects property owners more than businesses. Although businesses who own property will be affected.

Business who are currently under lease will not be affected by the pass through costs. Businesses whose leases are up will be getting rent discounts far greater than property tax increases due to the market vacancies.

Land owners without current leases will take the brunt of the hit here as land values have gone down, vacancies are up, rents are down and taxes are up.

From a tax and spending perspective I think we should have fixed rate 3% plus pop growth baked into the budget. Then every fifth year is a 3% budget cut to the city budget. The budget cutting phase being used to force departments to justify their spending
In my experience, the landlords adjust op costs on a yearly basis and often use "property tax increases" as a primary reason to tack on extra dollars per square foot on the operating costs which can be adjusted every year as opposed to lease rates which are fixed for the term because they are bundled as management/upkeep fees.

Last edited by Hack&Lube; 01-11-2017 at 11:10 AM.
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