Chapter 353 Tax Abatement

Cities with Urban Redevelopment Corporations can access this incentive to help redevelop blighted areas by abating some or all of the property taxes for up to 25 years.

Eligibility requirements: 

Eligible Areas
“Blighted areas” in Missouri.

Eligible Applicants
Tax abatement is only available to for-profit “Urban Redevelopment Corporations” organized pursuant to the Urban Redevelopment Corporations Law. The articles of association of Urban Redevelopment Corporations must be prepared in accordance with the general corporations laws of Missouri and must contain certain items set forth in Section 353.030, RSMo. of the Urban Redevelopment Corporations Law. There are also special requirements for life insurance companies operating as Urban Redevelopment Corporations. 353.040, RSMo.

Eligibility Criteria

Tax abatement under the Urban Redevelopment Corporations Law is only extended to real property that has been found to be a “blighted area” by the city. For purpose of 353 tax abatement the term “blighted area” is defined as:

That portion of the city within which the legislative authority of such city determines that by reason of age, obsolescence, inadequate or outmoded design or physical deterioration, have become economic and social liabilities, and such conditions are conducive to ill health, transmission of disease, crime or inability to pay reasonable taxes.

353.020 (2), RSMo.

Real property may be property found to be blighted even though it contains improvements, which by themselves do not constitute blight. (Maryland Plaza Redevelopment Corporation v. Greenberg, 594S.W.2d 284 (1979).) Tax abatement may also be extended to a tract of real property, which by itself does not meet the definition of a blighted area if such tract is necessary to the redevelopment project and the area on the whole constitutes a blighted area. (Parking systems, Inc. v. Kansas City Downtown Redevelopment Corporation, 518 S.W.2d 1191974).

Application Process

Additional information: 

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