WE EFFECTIVELY CONTROL SPENDING TO EASE YOUR TAXES

Increased costs caused by inflation have made controlling spending a challenge that Jim Zeoli and his team have met. The frequency of state-mandated property revaluation, now required every 3 years, has made our task even more difficult.

In the most recent property revaluation, residential property values in Orange went up an average of 38%, while commercial property values increased 16%. The good news is your house is worth more. However, this change in values has caused a shift in the property tax burden from commercial property to homeowners. Across the state, homeowners are seeing significant increases in their annual property tax bills.

We mitigated the impact of these changes by phasing in the increase over three years.

More importantly, despite price pressure caused by inflation, we have controlled spending without cutting important services or education.

In addition, the robust economic development that Jim Zeoli and his team have brought to Orange over many years still plays a major role in the mitigation of your tax burden.

 

Commercial Property Values, a Statewide Problem

  • Higher Interest Rates: 
    Elevated interest rates since 2022 have made borrowing more expensive, putting downward pressure on commerical property values. 
  • Remote Work & Office Demand: 
    The widespread adoption of remote work has depressed the demand for commercial office space.
  • Low GDP growth starting in early 2023 has contributed to a slowdown in the Connecticut economy impacting the commercial real estate.
  • Reduced Sales Volume: 
    The combination of these pressures has led to a significant drop in commercial property sales, with one report noting a 67% plunge in deal volume in the first half of 2023. 
  • Higher Vacancy Rates: 
    With less demand for office and retail space vacancy rates are increasing, further contributing to lower values.