Section 3.22.020 Exemption.

Pursuant to Section 427.1, subsection 4 of the Code of Iowa, new construction of shell buildings by community development organizations or for-profit entities for speculative purposes or the portion of the value added to buildings being reconstructed or renovated by community development organizations or for-profit entities in order to become speculative shell buildings shall be eligible for exemption from property taxation. Such exemption shall be effective for the assessment year in which the building is first assessed for property taxation or the assessment year in which the reconstruction or renovation first adds value and all subsequent years until the property is leased or sold, however, such exemption shall not be for a period of time exceeding three (3) years. Eligibility for an exemption as a speculative shell building shall be determined as of January 1 of the assessment year. However, an exemption shall not be granted a speculative shell building of a for-profit entity, subsidiary of the for-profit entity, or majority owners of the for-profit entity for other than as a speculative shell building. If the shell building or any portion of the shell building is leased or sold, the portion of the shell building which is leased or sold shall not be entitled to an exemption under this subsection for subsequent years. (Ord. 94/U-1663)