<p>For the second time in less than two years, the Martha’s Vineyard Land Bank broke a new record for fees last week, collecting $1.12 million in a single five-day period.</p>
For the second time in less than two years, the Martha’s Vineyard Land Bank broke a new record for fees last week, collecting $1.12 million in a single five-day period.
The last record set by the land bank for fees was in February 2015, when the public conservation agency collected $1,079,470 in a single week. A $22 million sale in Edgartown was largely responsible for the boost.
The land bank collects a two per cent transfer fee on most arm’s length real estate transactions with a few exemptions, including for first-time home buyers. The funds are used to buy public conservation land, aquifer protection and development rights to farmland on the Island.
A handful of large sales contributed to the boom at the land bank last week, including two in West Tisbury and two in Chilmark.
In West Tisbury, 17.6 acres changed hands at Paul’s Point for $14 million, sending $280,000 to land bank coffers. In a separate transaction, a property at Seven Gates Farm sold for $5.7 million; that sale sent $114,000 to the land bank.
In Chilmark, a property at South Abel’s Hill sold for $6.5 million, resulting in a $130,000 land bank fee. And a property in Menemsha changed hands for $6.3 million, sending $126,000 to the land bank.
Islandwide, real estate closings were brisk for the five-day period ending Nov. 18, with transactions in every town except Aquinnah.
Speaking to the Gazette by phone Tuesday, land bank executive director James Lengyel confirmed the record, but said there was no obvious explanation for it. “The previous week was very small, and this week there was some sort of alignment of the stars I suppose,” he said.
With $6.3 million collected in fees year to date, the land bank is now on track to exceed its $10.5 million projection for total revenues in 2016. Mr. Lengyel noted that the projections are always strictly conservative. In 2015, the land bank collected nearly $13.3 million in revenues.
Historically land bank revenues have followed an eight-year cycle of ups and downs, roughly mirroring broader economic cycles. Since 2008, the land bank has been in an upward cycle, with revenues climbing.
Comments
Since the land bank does not
DanSince the land bank does not pay property tax, the land bank should return a small percentage of this revenue to the towns to account for the loss in property taxes from land bank properties.
I have been saying that for
Bob EdgartownI have been saying that for years. They use our roads and police, fire when needed.
Churches, our hospital, the
BillyB OBChurches, our hospital, the VFW hall and the PA Club in OB, our schools, museums, and our libraries, among many others "use our roads and police, fire when needed" and don't pay taxes or fees. Sometimes we have to pay for the common good. Let the Land Bank keep doing its good work. Don't envy their good work and their collections, just let them keep doing it.
Dan, I agree. The Land bank
Lorraine EdgartownDan, I agree. The Land bank snaps up property and then keeps people from using it, in many instances. It has become too powerful and I believe a percentage of the funds should be paid back to the community as a "fee"...after all, a few is not a tax....is it???? It appears that the citizen and the government bodies have different ideas about that. I have been hit with many "fees" which are really taxes. A way to skirt the law. All of the other entities mentioned in another comment could be charged a fee, as well. We all need to share....
It seems appropriate to
Tom Murphy AquinnahIt seems appropriate to dedicate a portion of the Land Bank fees to address the Affordable Housing crises.
I've heard this time and time
Why? Martha's VineyardI've heard this time and time again. A portion should go to affordable housing. Problem is, there is no shortage of money being thrown at this problem. It is a lack of leadership at the municipal level. Housing exists, land exists. Towns have been slow at making antiquated zoning changes (the MVC is no help either in the past) which result in people seeking other opinions including moving off island.
What good would giving a percentage to the "affordable housing crisis" do? Who is the "affordable housing" island wide group that would receive this money? What would their role be island wide? Would they dictate to the towns what to do? Would it go to the private groups already in existence which have a horrible record when it comes to building and managing money/ remember the Island Affordable Housing Fund? Remember Bradley Square?
The poor decisions made in the past, the lackluster performance to date of those island wide entities that assist with housing now (DCRHA and IHT) both receive municipal aid and we still have a crisis. Throwing money at a way of solving it is nothing but a feel good approach so many can say "I gave, I'm a supporter" is not what this problem needs. Giving away Land Bank money, after a law change in the State House, would do nothing but create an additional problem.
Leadership, Zoning changes and promoting more 40 B development would go a long way to putting a dent in this crisis. Promoting capitalism and letting the free market (after you've made zoning changes) system operate would be a welcomed change to this island.
No, it is not appropriate in
SlippershellNo, it is not appropriate in any way. Land purchases benefit the public. The legislation was fought for for years. You maybe too young to remember that.
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