In order to implement the legislation locally, each municipality must adopt a plan and designate an area in which they want to promote revitalization and development or redevelopment. It is a refund of the property taxes which are paid on the actual value added to a property due to the improvement. Under the Neighborhood Revitalization Plan legislation, the taxes relating to the assessed value on the property prior to the improvement may not be reduced and will continue to be payable.
Qualified improvement includes new construction, rehabilitation and additions.
New construction, additions and major rehabilitation will increase the assessed value. Repairs generally will not increase the assessed value unless there are several major repairs or improvements completed at the same time. One dollar spent is not necessarily equal to one dollar of increased value. New, as well as existing improvements must conform with all codes, rules and regulations in effect. You should secure a building permit for most improvements, where applicable.