Death Spiral Arrives
We were predicting this a decade (or more) ago....and here it is:
Since the COVID-19 pandemic hit five years ago, property values have fallen downtown, and that’s shifted a greater portion of Chicago’s tax burden away from the heart of the Loop and onto homeowners and business owners elsewhere in the city, a Chicago Sun-Times analysis has found.
The property taxes paid by the once-bustling but now-struggling Water Tower Place, for instance, have plunged from $16 million annually to $6.8 million last year. With Water Tower Place paying less, that means other homeowners and businesses have needed to make up the shortfall to cover the taxes that pay for police, firefighters, schools and other services.
On LaSalle Street, kitty-corner from City Hall, the property taxes from a Loop skyscraper whose tenants include a law firm founded by former Illinois House Speaker Michael Madigan fell from $8.5 million to $5.1 million as city agencies and other renters moved out, leaving the building half-empty.
There are plenty more examples in the article. And if you pay attention to the headlines, corporations are fleeing Chicago on a monthly, if not weekly basis, reducing not only the property tax revenues, but the numbers of employees buying lunches downtown, maybe some afternoon shopping, corporate dinners and bars and entertaining clients after hours, parking garage fees, metered spaces, along with all associated shopping taxes, not to mention the now-unemployed workers paying less income tax.
And when all those workers disappear, then all the ancillary businesses close, and THOSE workers are now contributing less. And so on. And so on. And so on.
Conehead isn't shrinking government. Neither is Prickwrinkle. Nor Fata$$. So who makes up the difference?
- Neighborhoods
And when the neighborhoods can't afford the house they're living in?
Death spiral.
Labels: money questions
posted by SCC at 12:01 AM
52 Comments:
As someone who's on a fixed income and can't get out of here, I concur...
Don't tell the young, liberal brainwashed coppers that, they are still looking for their X gun arrest of the year and checking for 5.11 pant sales. But hey "why are my taxes higher? Why is my water bill so high? Didn't I vote for Brandon?" Man a lot of clueless coppers running around in the districts.
“Since the COVID-19 pandemic hit five years ago, property values have fallen downtown…”
Are they blaming COVID and not even mentioning the (mostly peaceful) riots, uncontrolled crime, and illegal alien invasion?
Everything is being mismanaged by incompetent over promoted people. I can’t wait to leave.
Voters and corruption to blame. Media and politicians didn’t help.
"make up the shortfall"... heh.
How about SPENDING LESS YOU FUCKS?!
God bless Donald J Trump as he has just banned illegal aliens from the federal Small Business Association SBA loans application process.
Not only that but SBA offices in Chicago will close and move out of the sanctuary city. So no rent for the 300 s riverside or the 322 s Michigan addresses I guess.
Thank you Mr. President. Now if it's not too much to ask can you hit conehead with a DOGE ball to audit where all this illegal alien NGO money went? Pretty please!
Thank you so much
The federal transportation department should recind the funds for that CTA Red Line train extension to no where. Nothing downtown anymore and the money would be better spent reimbursing Chicago taxpayers that have been raped by the mayor to pay for unwelcome criminals
The key is President Trump cutting off federal funding. Once he does the city will have its bond ratings reduced to Junk status.
The city has to collapse to get better.
Think of all those NGO workers getting cut in Chicago since the USAID money spigot has been turned off
Oh and did you see Noem found out that the TSA has more union workers doing union stuff than they have actual security screeners? Yeah so that party is over too.
Woke university cuts coming too. Columbia Univ just lost $400 mil grant cuz they haven't addressed antisemitism on campus.
Fun times
"And when the neighborhoods can't afford the house they're living in?
Death spiral. "
Yup. And when there are less and less people and businesses to support the city and it's services, you think taxes are are then going to go down? These corrupt neo-marxists won't be happy until they can get every last penny from you in taxes.
hey,,,, can we now declare that downtown is a "food desert" and call that racist ????
I have not spent a penny in Chicago this year. Last year I spent next to nothing. Until it changes, I don't think my habits will change either.
26 percent vacancy rate downtown. Contracting fees, permits and licensing has more than doubled in price. My friends selling Commercial construction HVAC installation for a major supplier, and he's busy as hell. Selling just across the border in Indiana.
Not to worry, the parking meter people will still get paid.
1. The Illinois legislature needs to put a cap on "police misconduct" awards.
2. In deaths or injuries resulting from police chases, the city should never pay out more in "damages" than the fleeing driver pays out.
This is what a "controlled demolition" looks like.
The new Detroit is coming.
Ya, but the Governor says.... (snicker)
The phrase " Breads and circuses " applies. Extend Shitzapalooza, throw a car race, free food bag givaways and maybe some free iPhones for the Urbanites. A couple of years before I retired I got everything fixed up, paid off, and worked a shitload of overtime to make my escape. Everyone I knew thought I was nuts for moving to Texas. Now they all wish they moved here with me. Hint...I didn't move to one of the few Democrat cities over here. Wouldn't even consider it. They're pretty much as fucked up as EVERY Democrat city in this country except Greg Abbott and a very strong Republican party constantly implants a foot in their ass when they get the fuck out of line. You note I said A VERY STRONG REPUBLICAN PARTY.
Don’t forget the subsidized housing that the two recent communist mayors proposed downtown. THAT will finish off the LOOP. The loop used to be fun, but not anymore. People want to just stay away and be safe.
Desantis in the great state of Florida wants to get rid of property taxes.
And when the neighborhoods can't afford the house they're living in?
They vote democrat and embrace the local dope dealers.
I t’s not mismanagement or incompetence. Chicago is just one city suffering the pain of a controlled shutdown. Keep your eyes open as the plan accelerates on all fronts.
Pony up taxpayers.
And isn't it about time that the schools asked for more money??? After all, "It is all for the children"...
Just saying
They already are "junk status" where have you been?
FOP better file a lawsuit asking the courts to order the city to sell some of its assets and pay the pension obligations.
Covid is nohing more than liberal democRat BULLSHIT!
This is Idiocracy , but much faster that believed.
President Camacho has a sense of humor and is way smarter than Conehead.
IDIOCRACY Opening Scene
https://youtu.be/sP2tUW0HDHA?si=adcShnyTUW8AW0Wy
This is what the fuck the brain dead Dumbocrats keep voting for again, and again ! You morons elected the dumbest most incompetent, ignoramus that the CTU could buy ! This corrupt fucking clown is totally destroying Chicago ! The death spiral in high gear reap what the fuck you have sown !
When dude discovered that he can rob at will anywhere in the city he decided to go where the money is. He ruined his/her neighborhood, why not ruin everybody's neighborhood. They destroy everything they touch.
Now... I'm not the smartest person in the room,but my property taxes don't care how many people are in my household. So why does the tax for the water tower go down due to lack of tenants? Can I tell the mayor that my 2 kids are away at school and get a reduction in my taxes?
University of Virginia’s board of directors voted unanimously to end all DEI programs on campus. Also voted to ban any third party from doing any DEI related work. Columbia University just lost $400mil because of previous protests on campus. Wonder how many colleges/Universities will follow suit with ending their DEI bullshit out of fear of losing untold millions of dollars…
It’s people on fixed income who take it in the neck.
Without The Loop Chicago is done and the State is in Bad Shape!
It really is a death spiral. The term comes from aviation, and what’s happening here is perfectly analogous to what happens to a non-instrument-rated pilot who enters instrument conditions. Search AOPA 178 Seconds To Live on YouTube. Spiral descent, pilot corrects by pulling back because that’s how you always arrest a descent. That tightens the spiral and increases the descent rate. Repeat. Repeat. Until the wings tail come off or the hapless pilot lawn-darts into the dirt.
Illinois’ dysfunctional government is incapable of promoting policies that generate job growth and productivity. The progressive mindset is rooted in the belief that t’is better to lavish taxpayer funds on illegal, illiterate alien indigents than to make the state attractive to job creators and safe for workers. Just more woke virtue signaling about HS mascots and taxing the evil rich.
How many seconds are left before the wings come off Illinois?
Silly rabbit! Property taxes aren't based on the actual value of your property. They are based on whatever the county and city want! I would be lucky to get $200k for my busted-up house, but after the latest reassessment by Crook County, they decided my home is worth $280k! Because that's the amount they want.
The motto of Chicago should change from City in a Garden to
At least we’re not Detroit
Down town has been a shithole for some time now.Won’t change until the narrative changes that the popo bees the problem
Speaking of property taxes, here is an interesting read on zerohedge
https://www.zerohedge.com/economics/why-property-tax-illegal
6.6 percent of voters still approve of Mayor Conehead. Around election time those numbers will swell to enough votes to get him re elected. Whatever that number is. There will always be enough mail in ballots in Cook county for their tool...forsome reason, however the mail in ballots cant be counted until the polls are closed. Even though they are mailed in before the election.
“Death Spiral Arrives”
I can just imagine George Soros somewhere, rubbing his hands together like Monty Burns and saying “excellent.”
You're not supposed to notice the fact that criminals now infest the Loop, which is not just discouraging to businesses and their employees, but to potential tourists, who also help to keep those ancillary business afloat.
The last dollar I spent in Warzone C was at The Berghoff the week they closed.
Yet!
Chi-Raq will be Detroit West in a few years.
You need to challenge your Property tax assessment. You will likely win.
Unions, especially the Chicago Teacher's Union has destroyed Chicago along with the leftist politicians.
Buy low, sell high
Walgreens is going private. That means no public stockholder meetings with one share holding public activists showing up to demand EQUITY. City stores losing money will be closing within a year. Including the troubled store in Chinatown. The exodus cintinues.
And The Demoncrats That Have Ruined The City, CountyAnd State!!!
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