Commercial Property Rehabilitation Tax Abatement Program
If you own a building at least 20 years old in the City of Falls Church and invest to rehabilitate, expand, or replace your building for use as office space, you may be eligible for tax abatements for up to ten years. To qualify, an investment must result in: (1) at least 10,000 square feet of new, improved, or additional office space; and (2) assessed value at the time of project completion at least double (2X) the assessed value of the existing building. Only office or office portions of buildings that are strictly commercial in use (no residential components) are eligible for abatements.
Projects meeting these criteria can receive 100 percent tax abatement on the increase in assessed value for five years and 50 percent tax abatement on that value for an additional five years.
Additional Information & Application
View the Commercial Property Tax Abatement Page for a more complete description of the program.
Technology Zone Program
Tax abatements for up to five years on business, professional and occupational license (BPOL) taxes are available to qualified companies in the City of Falls Church. Your company may qualify if it:
- generates at least 50 percent of its gross sales receipts from the creation, design and/or research and development of technology hardware or software;
- has more than one full-time employee;
- occupies commercial space in the City of Falls Church;
- is current on any taxes owed the City; and
- submits a Tech Zone Program application within six months of meeting the definition of a qualified technology business.
View the Technology Zone Page for a more complete description of the program.
Industrial Revenue Bonds (IRBs)The Economic Development Authority (EDA) has the legislative authority to issue private activity tax-exempt bonds to finance the acquisition of land, buildings, or new capital equipment for businesses. These tax-exempt revenue bonds are only available by filling out an application (PDF) to 501(c)(3) nonprofit organizations and manufacturing facilities located in the City of Falls Church that meet the qualifications and restrictions defined in the Federal Tax Code. The availability of this tax benefit generally results in a lower interest rate for the user of the borrowed funds.
The EDA itself does not provide any funds for the financing of facilities. It is the applicant's responsibility to locate a funding source by applying directly to financial institutions or by using the services of an underwriter. The EDA cannot guarantee that the bonds it issues qualify for tax exemption under the Internal Revenue Code.
All applicants should first seek counsel from a professional accountant and an attorney specializing in bond counsel. The EDA does not render tax advice or opinions to applicants.