Wednesday, August 1, 2012
Saturday, November 26, 2011
Thursday, September 6, 2007
Will County versus Cook County Taxes
Many clients ask us about the relative property taxes in Will County versus Cook County since we have offices and clients in both counties. It's frankly not a simple answer. An office user in Will County may have taxes of $3 or $4 per sf, while the same office in Cook County may have taxes of $8 to $10 per sf. On first blush this appears like in easy decision.
However, many of our clients have chosen to pay the higher taxes for various reasons: 1. proximity to key employees; 2. proximity to major highways for industrial clients or proximity to high population centers of traffic patterns for retail clients; or 3. Costs of relocating; to name a few.
In addition, their are a number of programs, including Cook County Class 6b, 7, or 8 programs, as well as TIF (tax increment financing) which can many times close the gap entirely.
Finally, and most importantly, we always look at the gross dollars. For example, a 2,000 sf office may pay $4 in one place and $8 in another. This differential, although double, amounts to "only" $8,000 annually. For many, that cost does not justify a move. Moreover, the cost of the property in Cook County may be less expensive to purchase, and therefore the economic savings on the mortgage payment may justify the higher taxes.
However, many of our clients have chosen to pay the higher taxes for various reasons: 1. proximity to key employees; 2. proximity to major highways for industrial clients or proximity to high population centers of traffic patterns for retail clients; or 3. Costs of relocating; to name a few.
In addition, their are a number of programs, including Cook County Class 6b, 7, or 8 programs, as well as TIF (tax increment financing) which can many times close the gap entirely.
Finally, and most importantly, we always look at the gross dollars. For example, a 2,000 sf office may pay $4 in one place and $8 in another. This differential, although double, amounts to "only" $8,000 annually. For many, that cost does not justify a move. Moreover, the cost of the property in Cook County may be less expensive to purchase, and therefore the economic savings on the mortgage payment may justify the higher taxes.
Sunday, August 5, 2007
Intro
I've created this blog as a way of posting some general advice on buying and selling commercial real estate in the suburbs of Chicago and Northwest Indiana. Our company website is http://www.lmteam.com. Our company builds, buys, and sells all manner of commercial real estate, especially in Will County, Cook County, and DuPage County. I have also negotiated on a number of tax increment financing districts (TIF), industrial revenue bonds, and sales tax incentive agreements.
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