Vertical Housing Development Zone
Vertical Housing Development Zones encourage higher density, mixed-use housing to foster “24/7” residency, which helps create a vibrant downtown. This may include new buildings, as well as renovation of upper story residences.
The Dalles Vertical Housing Development Zone (VHTZ), certified by the State of Oregon in 2014, provides qualified developments with a 10-year property tax exemption on the value of new construction or rehabilitation. This is calculated at 20 percent per eligible residential floor(s) above a commercial ground floor. Total exemption is limited to 80 percent.
The zone comprises the city’s commercial core, as shown on the map below. Residents of multiple income levels are encouraged; additional partial property tax exemptions are possible for affordable housing at 80 percent of median family income or below.
- Project must be entirely located within the VHDZ.
- Project must be multi-story building or group of buildings with at least one multi-story building.
- At least 50 percent of ground floor fronting a primary public street must be commercial use.
- Projections must start construction or renovation prior to Jan. 1, 2026.
The exemption applies to all taxing jurisdictions with the exception of Northern Wasco Parks & Recreation District. After 10 years, the full value of the project is placed upon the tax rolls. Pre-certification is available to assist in project financing, with full certification contingent upon the completed projects meeting all certification requirements.