Transit TIF Yield Calculator
Transit TIFs are a unique mechanism in Illinois law allowing the city to capture the upside of property value appreciation driven by major transit investments (like the RPM project or the Red Line Extension). Model the potential revenue yield.
TIF Projection Model
The Mechanics of Transit TIFs
Unlike traditional TIF districts designed to cure "blight," Transit TIFs are specifically authorized by the state legislature to fund mega-projects. They freeze the EAV of properties within a half-mile radius of the transit line. As the infrastructure improves the area, property values rise. The taxes generated by this *incremental* increase in value are funneled directly to pay down the federal loans (like TIFIA) used to build the project.
FAQ
- Does a Transit TIF raise my taxes?
- No. TIFs do not dictate the tax rate, they dictate where the tax revenue goes. You pay the same amount, but the increment goes to the transit project rather than schools, parks, or the city's general fund.
- How long do they last?
- Standard TIFs last 23 years, but Transit Facility Improvement Areas (Transit TIFs) can be extended up to 35 years.