HB4495 - Property Tax Reduction for Affordable Housing

• Establishes statewide property tax assessment reduction programs for newly constructed or substantially rehabilitated multifamily residential buildings with 7+ rental units that meet affordability requirements for 10 or 30 years depending on program type.

• Program 1 requires minimum 15% of units at affordable rents for low/very-low-income households for 10 years, providing 25-35% assessed value reduction based on affordability percentage.

• Program 2 requires minimum 20% of units at affordable rents for 30 years in low affordability communities, with phased assessed value reductions starting at 100% for years 1-3, declining to 20% by years 13-30.

• Counties with less than 3,000,000 residents may opt out of one or both programs by county board ordinance; Cook County Class 9 program participants are automatically eligible under Program 1 terms.

• Applicants must submit documentation including deed restrictions or government program affordability guarantees, building permits, proof of code compliance, unit identification, rent schedules, and household income verification; owners receiving subsidy programs can satisfy affordability requirements with a letter of intent during construction.