VA HB345

Authorizes local governments to provide partial real property tax exemptions for commercial or industrial structures at least 20 years old (or 15 years old in enterprise or technology zones) that undergo substantial rehabilitation, renovation, or replacement

Limits the partial exemption to either the increase in assessed value from improvements or up to 50% of rehabilitation costs, lasting no longer than 15 years

Allows localities to establish eligibility criteria, restrict exemptions to designated zones or districts, and reduce exemption amounts in annual steps over the exemption period

Permits local governments to charge application processing fees up to $125 for residential properties and $250 for commercial, industrial, or apartment properties with six or more units

Corrects terminology in existing law by changing "registered historic landmark" to "registered historic district" regarding structures ineligible for exemption when demolished