Environmental Work —
All real estate owned by a land bank is exempt from all environmental liability other than due care.
In partnership with the MDEQ, InnovaLaB will evaluate and remediate recognized environmental concerns for redevelopment potential.
Abandoned or foreclosed properties that are acquired by InnovaLaB via any means are given priority by public agencies including but not limited to the MDEQ and the USEPA for emergency response and clean up funding.
Brownfield Tax Credits —
All real estate owned by a land bank is automatically considered a Brownfield.
MCL-Act-381-of-1996 the BROWNFIELD REDEVELOPMENT FINANCING ACT establishes that all real estate owned by a land bank is considered a qualified brownfield and is thus able to all of the tools and actions afforded brownfield sites.
This is true of single sites and also multiple sites through a scattered site Brownfield TIF.
On Brownfield projects, the fact that the SEV is dropped to zero means the Brownfield TIF calculation is determined from a basis of zero thus maximizing the TIF award
Real Estate Assembly —
Land banks are able to assemble and hold real estate for future large-scale development or public works projects.
InnovaLaB is able to take title to real estate for the purpose of holding for a predetermined period of time allowing a developer to assemble additional parcels to.
Because all real estate owned by InnovaLaB is exempt from property taxes developers can partner with us via “land banking” agreements thus significantly reducing project costs.
In certain instances InnovaLaB is able to leverage our ability to secure non-traditional forms of lending to purchase strategic parcels to aid in the development of affordable housing
Tax Abatement —
The state equalized property tax value (SEV) of all real estate owned by a land bank is reduced to zero. On January 1 of the following year that a land bank takes title to a property the SEV is dropped to zero and stays that way until the property is re-sold.
Tax abatement is a tool that works well with other InnovaLaB tools such as property assembly or Brownfield designation.
In a property assembly partnership having the property taxes eliminated greatly reduces holding costs.
On Brownfield projects, the fact that the SEV is dropped to zero means the Brownfield TIF calculation is determined from a basis of zero thus maximizing the TIF award.
Title Clearence —
Development Partner —
Michigan land bank legislation gives InnovaLab unique tools to use in real estate and economic development projects. InnovaLab provides these tools to local units of government as well as nonprofit and for-profit developers to revitalize and stabilize communities throughout Kent County.
By purchasing and facilitating acquisition and rehabilitation of bank-owned and tax-foreclosed properties, InnovaLab helps:
Kent County’s local units of government:
- Stabilizes neighborhoods
- Eliminates blight
- Increases property values
- Creates economic development opportunities
- Preserves neighborhood character.
- Revitalizes properties by giving them access to tax- and bank-foreclosed properties in their development areas.
- Quickly clear titles on properties
- Obtain brownfield designations on contaminated properties
- Fully inspect and make educated decisions on purchasing tax-foreclosed properties
- Provides access to purchase bank foreclosed properties.