58.1-3220.1 - Partial exemption for certain rehabilitated, renovated or replacement hotel or motel structures.
§ 58.1-3220.1. Partial exemption for certain rehabilitated, renovated orreplacement hotel or motel structures.
A. The governing body of any county, city or town may, by ordinance, providepartial exemption from taxation of real estate on which a hotel or motel noless than thirty-five years of age has undergone substantial rehabilitation,renovation or replacement for residential use, subject to such conditions asthe ordinance may prescribe. The ordinance may, in addition to any otherrestrictions hereinafter provided, restrict such exemptions to real propertylocated within described zones or districts whose boundaries shall bedetermined by the governing body. The governing body of a county, city ortown may establish criteria for determining whether real estate qualifies forthe exemption authorized by this provision and may require such structures tobe older than thirty-five years of age, or place such other restrictions andconditions on such property as may be prescribed by ordinance.
B. The "partial exemption" provided by the local governing body may notexceed either an amount equal to ninety percent of the total assessed valueof the rehabilitated, renovated or replaced structure or an amount equal tothe increase in assessed value resulting from the rehabilitation, renovationor replacement of the structure as determined by the commissioner of therevenue or other local assessing officer, as established by ordinance. Thepartial exemption may commence upon completion of the rehabilitation,renovation or replacement or on January 1 of the year following completion ofthe rehabilitation, renovation or replacement and shall run with the realestate for a period of no longer than twenty-five years. The governing bodyof a county, city or town may place a shorter time limitation on the lengthof such exemption, or reduce the amount of the exemption in annual steps overthe entire period or a portion thereof, in such manner as the ordinance mayprescribe.
C. Nothing in this section shall be construed as to permit the commissionerof the revenue to list upon the land book any reduced value due to theexemption provided in subsection B.
D. The governing body of any county, city or town may assess a fee forprocessing an application requesting the exemption provided by this section.No property shall be eligible for such partial exemption unless theappropriate building permits have been acquired and the commissioner of therevenue or assessing officer has verified that the rehabilitation, renovationor replacement indicated on the application has been completed.
E. Where rehabilitation is achieved through demolition and replacement of anexisting structure, the exemption provided in subsection A shall not applywhen any structure demolished is a registered Virginia landmark or isdetermined by the Department of Historic Resources to contribute to thesignificance of a registered historic district.
(1993, c. 157; 1994, cc. 424, 435.)