Property Updates

Serving Successor Agencies

On Friday, March 18, the Irwindale Successor Agency closed escrow on the sale of a property listed in its Long Range Property Management Plan. Located at 4954 Azusa Canyon Road, the property is 0.52 acres, zoned for light manufacturing, and improved with an approximately 10,000 square foot building.

RSG served as the broker for the transaction. We marketed the property, preparing and distributing an offering memorandum and other marketing materials to interested parties and local businesses and advertising the property in various online forums. In order to recommend the best offer to the Successor Agency, RSG reviewed all of the offers, guided by the Successor Agency’s vision for the property, the content of the offers, and the experience of those making the offers.

As consultants who provide Successor Agency services, we also drafted staff reports and resolutions for the Successor Agency and Oversight Board meetings in which the Exclusive Negotiation Agreement (ENA) and Purchase and Sale Agreement (PSA) were approved. We attended those meetings and coordinated with the State Department of Finance to ensure the approval of the sale.

Given RSG’s mission to improve communities, we provide more services than a traditional broker. In addition to wanting to sell the property, we endeavor to ascertain that the property is sold to a buyer who will develop or maintain it as an asset to the community.

Congratulations, Irwindale! If your city’s Successor Agency needs assistance in selling properties, give us a call.

Written by Dominique Clark, an Associate at RSG

An Introduction to Property Tax

Property taxes give state and local governments a dependable source of revenue to help pay for public schools, roads, parks, public safely, and government administration. Levied at every level of local government, from state to county to special districts, property taxes pay for public services. These taxes are often complex and not well understood.

Public schools are often the biggest line item for receiving funding from property taxes. Because the U.S. government contributes about 10 cents to every dollar spent on K-12 education, most of the money that pays for education comes from state and local governments. Thus, schools are highly dependent on the property wealth of a community.

In California, property tax is one of the largest taxes paid. Sometimes, Californians pay more in property taxes and charges than they do in state personal income taxes. Property tax is unpopular among taxpayers, partly because it varies between regions. Different assessments for similar properties seem unfair, and the tax may burden fixed-income property owners in high-growth areas.

RSG analyzes, projects, and explains property tax revenues for local government organizations to assist with budgeting, upholding the specifications in their tax sharing agreements, and presenting information to the public.

Written by Evanne Holloway, a Research Assistant at RSG

Top Priority Issues Identified at the League of California Cities Conference

On Monday, we told you about our attendance at the League of California Cities conference. As we live in a time of emails and social media, RSG truly enjoys face-to-face interaction with our existing clients, as well as staff and Councilmembers from other cities throughout the State.  We had many interesting and productive conversations with attendees about the important issues currently facing cities.

Many of these conversations were sparked by the unique game that we had at our booth. Using poker chips as voting tools, we had six jars representing six priority issues for many cities:
           •    Aging Infrastructure
           •    Affordable/Workforce Housing
           •    Sales Tax Generators
           •    Hotels
           •    Closing Budget Deficit
           •    Job Creation

We received over 100 votes over our two days at the exhibit hall.  And the winner was…….        

!!! Affordable/Workforce Housing !!!

Those who provided a business card at the conference will receive an infographic on Affordable/Workforce Housing that contains valuable data and research on the subject. We’ll delve a bit deeper into affordable/workforce housing solutions without tax increment financing in a post later this week.

At the booth, we also offered an infographic that summarizes the key points of both Senate Bill 107 (Redevelopment Dissolution Trailer Bill) and Assembly Bill 2 (Community Revitalization and Investment Areas that allow for tax increment financing). There was considerable interest from many conference attendees regarding both bills and how the new laws would affect their particular communities.  The infographics are shown here. 

All in all, the conference was a wonderful experience and gave RSG partners and staff the opportunity to connect with clients and others about the challenges and triumphs experienced by communities across the State.

For more information on any of the topics mentioned above, please contact Hitta Mosesman at hmosesman@webrsg.com

Written by Hitta Mosesman, a Principal at RSG.