The acquisition of property within existing special districts raises unique considerations for the buyer. The existence of the special districts may be a benefit to the development, providing an existing structure for the provision of needed infrastructure and opportunities to help finance, operate or maintain community amenities. However, existing special districts may also pose challenges to the proposed project depending on the existing tax and fee structure, boundaries, and future district obligations.
We provide due diligence services to purchasers of property within special districts who need to understand the structure, tax implications, financial obligations and potential use of existing special districts impacting the property.
We work with the acquisition and development team, real estate professionals, real estate counsel, title companies, and the finance and banking team to provide the purchaser a clear picture of the most relevant special district information and suggestions for working with the existing special districts to minimize risk and maximize the project’s potential for success.
