Tax Breaks Fueling Luxury Condo Development In Gulf

Investors are taking advantage of tax breaks offered for developing and buying property in hurricane-affected areas of the Gulf region, such as the hot condo market that has sprung up next to a college football stadium in Alabama.

1 minute read

August 15, 2007, 8:00 AM PDT

By Nate Berg

"Rich federal tax breaks designed to spur rebuilding are flowing hundreds of miles inland to investors who are buying up luxury condos near the University of Alabama's football stadium."

"While many of the buyers are Crimson Tide alumni or ardent football fans not entitled to any special Katrina-related tax breaks, many others are real-estate investors who are buying the condos with plans to rent them out."

"And they intend to take full advantage of the generous tax benefits available to investors under the Gulf Opportunity Zone Act of 2005, or GO Zone, according to Associated Press interviews with buyers and real-estate officials."

"The GO Zone contains a variety of tax breaks designed to stimulate construction in Mississippi, Louisiana and Alabama. It offers tax-free bonds to developers to finance big commercial projects such as shopping centers or hotels. It also allows real-estate investors who buy condos or other properties in the GO Zone to take accelerated depreciation on their purchases when they file their taxes."

FULL STORY: Tax breaks go toward inland luxury condos

Tuesday, August 14, 2007 in Associated Press via The St. Louis Post-Dispatch

Government / Politics Urban Development Alabama

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Start Learning

Advertise with us

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.