D
allas' real estate tax base surged by over 8% in the last fiscal year, according to the City of Dallas Office of Economic Development's Year in Review report. The growth was largely driven by physical expansion, including new housing construction and a significant increase in industrial space.
The city's total tax base rose from $178.75 billion in 2023 to $193.27 billion in 2024, with residential property leading the way at a 10.13% year-over-year jump to $98.65 billion. District 13 had the highest residential value at $24.21 billion, while commercial real estate tax value increased by 6.11% to $94.62 billion.
District 14 logged the highest commercial value at $24.15 billion, with Uptown and parts of East Dallas driving growth. The city attributes $359 million in new growth to tax abatements and incentives, raising concerns among some council members about the impact on property values and revenue.
Industrial real estate saw significant growth, with 223.25 million square feet logged in FY 2023-2024, a 24.6% jump from the previous year. District 6 remained a hub for industrial development, logging 103.1 million square feet last year. Office and retail space grew at a slower pace, with office space staying flat and retail growing just 1.1%.
The city's budget faces a projected $6.5 million shortfall heading into planning season, making the growth in tax base a critical factor in addressing financial challenges.
