Description

With strong support from the commercial real estate industry, we defeated Proposition 15, the largest property tax increase in California history in 2020.

Now our industry faces new threats - several local ballot measures using the loophole in Prop. 13 allowed by the courts to raise taxes with a simple majority vote instead of a two-thirds vote.

In the city of L.A., our industry faces the largest property tax increases in the city’s history with Initiative Ordinance ULA (Transfer Tax) and Measure SP (Parcel Tax) that will be on the November general election ballot. Combined these two taxes increase the burden on taxpayers by $1.1 Billion annually!

Initiative Ordinance ULA is a 4% real estate transaction tax on sales of properties valued between $5 million and $10 million, and 5.5% on properties valued at more than $10 million -- estimated to raise over $900 million per year. Measure SP is a new 8.4 cents per square foot parcel tax – raising over $200 million annually for parks and other programming.

These taxes impact every property owner and renter in Los Angeles because they are charged on both residential and commercial properties.

Defeating these measures is a top priority for NAIOP SoCal. The NAIOP SoCal Issues PAC has approved a contribution to support the campaign to defeat these measures, but more support is needed. The campaign estimates it will need $8 million to defeat these measures and stop the $1B in new annual taxes. We will need the commercial real estate industry to step up and help.

Please see the campaign website for more information: https://votenoulaandsp.org/