SC developers see effect of real estate tax change

CHARLESTON, S.C. (AP) — South Carolina property developers say they’re increasing construction activity thanks to a tax break that critics say will take more money away from local governments and schools.

The Post and Courier of Charleston reports (http://bit.ly/H2jTtV) that developers credit the property tax change approved last year with getting new commercial real estate deals off the ground. The change greatly reduced for commercial properties and vacation homes thtax increases that hit when properties change hands.

The impact on second-home sales has been limited so far.

John Darby says the tax break removes an obstacle that kept developers like him from getting financing for a construction project. He’s president of The Beach Co., which broke ground last week on a $40 million Mount Pleasant project of new shops and 325 apartments.

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Information from: The Post and Courier, http://www.postandcourier.com