bluto

mild apologies for the carpet bombing but still digesting it all. this 20% cap having a value threshold ($5m) as a qualifier is absolute lunacy. let’s say you have a vacant bldg A that the county bumps the value from 1M last yr to 5.1M next yr, but next door is a sister property B in same situation only it’s a few square feet smaller, so it goes from 1M to 4.9M in value. you are absolutely turbo fucked on bldg A, but bldg B is chilling bc under 5M so 20% cap … at least in yr 1, zero idea how it plays out if bldg B crosses the 5M threshold in yr 2. does it get raped having to essentially pay back taxes? if those bldgs are leased with the same value scenarios, tenant in A is severely handicapped vs tenant in B

Had the braised cabrito there, it was good but braised anything just tastes kinda bland/the same to me. Only ordered bc the server pushed it hard. The service was very very good though and it’s a cool spot. For big night out Grace is my rec.

And then there’s this which I have a difficult time imagining the pitfalls.

The ways/means hearing on it all today was some of the highest level of dipshittery our lege has to offer. “prop tax increases directly cause rent increases, so with this legislation reducing property taxes that means rents will come down!” then trying to say landlords will be able to lower their rents, and if they don’t lower rents then the rental next door will to undercut the neighbor and market forces will save the day. then TTARA president, a very intelligent lady with deep experience talks about how the cap part is really just shifting the tax burden to uncapped segments only to get shouted down by mentally challenged house reps.

One of the final senate volleys had it in there, can’t imagine it was anything more than a jolly f you to the house forcing them to strip it

Ways/means hearing now rep turner "do we have any data that tax cuts actually have eased rents?" Meyer 'No, we can check with comptroller. I absolutely believe it will'

Dutch please stop while you’re behind and read up on the current tax laws.

That math is off as that .015 rate will compress by 11 cents roughly the next yr with the isd rate buy down. So it will be more like 13,900 in taxes in that scenario for yr 2.

The 10% cap is still in place for annual assessed value growth.

That circuit breaker talk regarding this 20% cap, that tribune article looks like it’s off in its analysis. Reading the actual bill it’s just a standard 20% value cap like the 10% homestead cap, just applied to non homestead property under 5M in value. That 5M is set for 2024, then the following yrs will fluctuate based on state CPI figure.

Better with an example… Your personal residence was 500k last yr, 2023 bumped the market value to 600k. Your assessed value would be capped at 550k across city/county/isd etc bc of the homestead cap. Then you would apply your homestead exemptions from the various entities (some counties/cities grant it, the state mandates the isd homestead exemption amount) to that 550k value. So you would pay isd tax rate * 450k for the school portion

I haven't read through the nuts/bolts of the legislation but I'll give it a shot on my understanding as a semi-insider in the industry... the 100k homestead exemption is just an increase on the current homestead exemption that applies to the overall ISD rate for homestead properties. The 10% annual cap on assessed value across all assessment offices (city/county/isd etc) is still in play. the 20% cap on non homestead property is a doozy, no idea why they chose 3 year timeframe on it and no idea how it will work in practice with the gory details. in theory it appears that if your (non homestead) goes up more than 20% in one year, the increase in value will be capped at 20%. I would assume it will be similar to homestead cap where the assessed value will just play catchup the following year even if the market value is flat. i guess this is a good thing as it prevents small biz from getting totally effed by a rogue value increase, but caps across the board are a terrible idea with our system. as for the ISD funding, there isn't any actual lost revenue to the ISD's the state is just filling the void from the rate compression (ignore the fact schools are grossly underfunded in general). it's essentially the state stepping in to cut a check to make ISD's whole. the BIG issue with this is it's set to expire in 2025 and we damn well won't have another $30bn in surplus to cover this check again, so what happens then, i have no effing idea. but in typical government style we'll just worry about that then - or as the GOP will probably do, just have ISD's slash their budgets. renters are the losers here of course. The dems tried a Hail Mary with their plan but it had no shot in hell. Their plan of having renters report their paid rent to the state would require such an insane amount of administration that it’s hard to imagine working.

Soooo we gonna have a guy to like maybe think about getting pressure off the edge this year?

M streets/lower Greenville sounds like the play. On the lowest part lots of walkable stuff (at least relatively speaking on “lots”), but even has grocery stores with Trader Joe’s and sprouts. Henderson ave has lots of options and large retail development starting that will add more. I really loved that area, moved away 6 mos ago but see myself getting back there someday if I end up dfw for long haul.

This is my gift to surly

All the best of intentions with that D plan, but a complete cluster f on execution and zero chance in hell of any of it working into the prop tax debate.

Tend to agree on saturation, but I’m curious to see how Cookshack does in the mockingbird Jason’s deli anchored shopping center near Greenville (across from Taco Bell). It started in FW right before the pandy and seemed to thrive somehow, now they’re up to ~10 locations statewide. Good food, reasonable price, and very good/friendly service.

Claire bear got a romper on her, wasn’t expecting that

Am I wrong to not give much attention to the local party pocket books when they are one Koch (very small to him) check away from being fully funded?

Hope the colonial members are ok.

Those miss schools figures are nuts-o considering how bad they sucked-o

In a nutshell they probably could have locked in insanely low historical fixed rates but instead gambled on floating rates to shave off a point in the near term and really boost returns. Nonetheless they would still have to pay the piper and refi into todays rates when the fixed rate loans came due.

Dark storm clouds looming unless the rate pressure valve gets released soon. Even the old reliable Texas multi fam sector is in the crosshairs. Totally lines up with what we’ve said on here and only hearing more daily from colleagues. https://www.bisnow.com/dallas-ft-worth/news/multifamily/tides-looming-cash-calls-could-fall-heaviest-on-texas-119622?utm_source=outbound_pub_15&utm_campaign=outbound_issue_68602&utm_content=outbound_link_1&utm_medium=email

Is Pierce an asshole or what’s the deal? We gonna send a private jet with univ president in tow to recruit a pitching coach?

They could totally move sirois into the cohost chair, he and Donnie have great chemistry, give ‘em a solid producer to third wheel and it’d be damn solid for a 10-12 slot… oh wait.