Property

High Commercial Property Values is Bad News For Shop Owners

In many small communities, the value of commercial property has dropped tremendously as large commercial developments have been built. Large stores, usually chains, have changed the face of the landscape. Small shop owners often find it impossible to compete with large stores, and they see the businesses they have built from scratch fall slowly into debt. This has been a common issue, but development can also be a boon for them.

Developers who build new housing communities are part of the solution for small towns, and they give the local businesses another chance to flourish. As their developments begin to fill with new members for the community, small local businesses have a new influx of customers. While this is not always true in every small town, it has been a good way for small shops to survive and flourish in modern times. Owners can see a bright light of new customers when housing in their area doubles or triples with new neighborhoods being built.

Growth spurts in an area have always been part of helping businesses thrive, and small businesses look forward to them until the value of their property becomes too high. When this occurs, the local government might tax them out of business. New communities contribute to the need for higher taxes when additional children enroll in school, and they can also overwhelm the roads of a small community. This then becomes an issue of the community as new taxes must be raised to counteract the impact on their infrastructure.

Many small towns and villages depend upon their local business owners for employment, but they also lead the community in the issue of development. They work with the town government to add just enough to raise property values, but they tend to try to restrict it enough to keep taxes low for everyone.