State Taxes Concessions For Build To Rent Developments

Numerous Federal and State taxes concessions are now available for BTR developments to support and encourage the sector. This note outlines the presently available state taxes concessions and issues applicable to a BTR project. As the statutory regimes vary across jurisdictions and detailed requirements apply, it is important to carefully consider these to ensure:

• from a planning perspective, that the project models the appropriate tax treatment and meets available concession conditions where possible;
• from an operational and/or due diligence perspective, that any concessions obtained are not inadvertently lost (or otherwise ensure that the triggers for and consequences of any potential unwind of a concession are understood).