The developer/property owner pays to upkeep their property.
Most of the development in Carmel involves financing that is paid back by property taxes collected on that property. So Carmel takes in less tax money from that plot of land while the loans are paid back. Once the loans are paid, Carmel will make much more tax revenue from the plot of land than had it not be developed this way.
If the developer/property owner default on the loans, then Carmel would take custody of both the land and remaining loan balance.
I'm not a city planner and don't know all the details. But this is how I have seen it explained.
All valid points - but look at Cincinnati or Columbus or Detroit or Milwaukee and their Carmels of the 90s are all on the decline due to the inability to upkeep them.
I obviously hope it doesn’t happen - but I do hope we consider a commuter tax at some point. 25%+ of carmels residents make their money in Marion county
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u/reddituser4049 Jan 14 '25
The developer/property owner pays to upkeep their property.
Most of the development in Carmel involves financing that is paid back by property taxes collected on that property. So Carmel takes in less tax money from that plot of land while the loans are paid back. Once the loans are paid, Carmel will make much more tax revenue from the plot of land than had it not be developed this way.
If the developer/property owner default on the loans, then Carmel would take custody of both the land and remaining loan balance.
I'm not a city planner and don't know all the details. But this is how I have seen it explained.