The Portland, Ore., City Council approved a 1% construction excise tax. The tax is expected to raise $8 million a year to fund affordable housing initiatives.
Both residential and commercial projects are subject to the tax. The Oregon Legislature repealed a 17-year-old ban on inclusionary housing rules earlier this year, opening the door for Portland’s tax.
Portland will start collecting the tax August 1, with proceeds earmarked for the city’s Inclusionary Housing Fund and the Oregon Department of Housing and Community Services. Certain projects, those costing less than $100,000, qualified affordable housing developments, some owner-occupied residential projects, public works, private schools, religious buildings, agricultural buildings, nonprofit care facilities, and accessory dwellings, are exempt.
Portland currently has a hot housing market, with low availability of homes for sale. The excise tax collected is meant to help build housing projects targeting those who earn 80% or less of the city’s median family income.
Related Stories
High-rise Construction | Mar 3, 2016
HOK’s Hertsmere House will be Western Europe’s tallest residential tower
Recently approved for development, the 67-story building will have more than 900 units.
University Buildings | Feb 29, 2016
4 factors driving the student housing market
In the hyper-competitive higher education sector, colleges and universities view residence halls as extensions of their academic brands, both on and off campus.
Multifamily Housing | Feb 24, 2016
Senior housing sector experiences record-setting year, says CBRE
Senior housing occupancy is at its highest level since 2007, and 2015 was a record year for sales and institutional transactions, according to CBRE.
Industry Research | Feb 22, 2016
8 of the most interesting trends from Gensler’s Design Forecast 2016
Technology is running wild in Gensler’s 2016 forecast, as things like virtual reality, "smart" buildings and products, and fully connected online and offline worlds are making their presence felt throughout many of the future's top trends.
Multifamily Housing | Feb 10, 2016
Miami review board recommends approval for Arquitectonica’s top-heavy condo tower
The 57-story Elysee Miami will offer residents impeccable views and plenty of amenities.
Multifamily Housing | Feb 5, 2016
Design guidelines for retail space in NYC affordable housing projects released
Aimed at designing efficient, flexible ground-floor space.
Multifamily Housing | Feb 2, 2016
10 top bathroom design trends for 2016
Floating vanities, tricked-out showers, and freestanding tubs highlight the top bathroom design trends, according to a survey of kitchen and bath design professionals by the National Kitchen and Bath Association.
Multifamily Housing | Feb 1, 2016
Top 10 kitchen design trends for 2016
Charging stations, built-in coffeemakers, and pet stations—these are among the top kitchen design trends for the coming year, according to a new survey of kitchen and bath designers by the National Kitchen & Bath Association.
Codes and Standards | Jan 22, 2016
Treasury Dept. will start crackdown on illicit money in luxury real estate
The move is expected to impact high-end condo development.
| Jan 14, 2016
How to succeed with EIFS: exterior insulation and finish systems
This AIA CES Discovery course discusses the six elements of an EIFS wall assembly; common EIFS failures and how to prevent them; and EIFS and sustainability.