Use property tax incentives to your benefit.
Let us make property tax incentives work for you.
We are one of the most experienced property tax incentive firms
with the largest filings of property tax incentives in the area.
Because of our location in south Cook County, we are extremely well versed in 6b and Class 8 property tax incentives. We have successfully completed the incentive process for numerous commercial/industrial developers and property owners. When you are contemplating new construction or purchasing a vacant building, these incentives can provide tremendous tax savings opportunities. However, there are strict time-sensitive guidelines that must be adhered to so you don’t lose a great opportunity to save significant property taxes.
Know the incentive rules: Part 1.
Being current with changes in the property tax laws and intimately familiar with our clients’ real estate portfolios
allows us to recognize opportunities to save substantial property tax dollars.
One of our clients owned a sizeable south suburban industrial facility. It had been sitting vacant for approximately 23 months when they were contacted by a neighboring business about leasing opportunities.
We were current on the then recent changes to the Cook County Classification Ordinance that allowed for an owner to receive a Class 8 Tax Incentive on his property without change of ownership. When our client notified us of the potential new occupant, we advised him to hold off re-occupancy – in this case just two weeks – until the duration of vacancy had exceeded 24 continuous months.
Client’s Tax Savings
Our client received one of the first Class 8 Incentives for a building that did not change ownership. By deferring the lease signing by two weeks we were able to reduce the annual taxes by 60 percent.
Know the incentive rules: Part 2
This case highlights the importance of calling Sandrick Law Firm before buying a piece of property.
Unfortunately in this case the client called us too late.
A client contacted us after purchasing and occupying a south suburban restaurant building. Because the property had been vacant at the time of sale, the owner attempted to obtain a Class 8 Incentive on his own. If successful this would have reduced the property taxes by 60 percent. Unfortunately, the owner did not fully understand the Class 8 process and did not properly follow the procedures and statutes that govern obtaining a Class 8 Tax Incentive. The owner only received a Class 8 Incentive for the parking lot improvements he made, but not for the restaurant building.
We encourage clients to call us prior to purchasing or leasing property to ensure that all opportunities to reduce future taxes are explored. Conversely, we have identified numerous potential property tax pitfalls that our clients have avoided.
Client’s Tax Savings
Unfortunately, this owner only received a Class 8 Incentive for the minor improvements to the parking lot under the heading of “substantial rehabilitation.” As a result, the owner has forgone significant Class 8 Incentive tax savings that could have been obtained for the entire building.
“I know Sandrick Law Firm takes a hands-on and personal approach with each individual property. They understand the unique south suburban real estate market and how high taxes and value are interrelated. And they are very knowledgeable about the various tax incentives available, particularly Class 8 Incentives, as well as the ever-changing rules and laws of property tax appeals. I have the utmost confidence in recommending Sandrick Law Firm to a commercial or industrial property owner.” Don De Graff, MB Financial – South Holland, Illinois