The City has adopted a Multi-Family Tax Exemption (MFTE) Program. MFTE gives a 12-year property tax exemption for new (or rehabilitated) multi-family units in certain circumstances:

• Add at least 4 units
• Within a designated target area
• Set aside at least 20% of the units for low- and moderate-income households
• Density of 15 units/acre (not more than 2906 sq. ft. of lot area per dwelling unit)

The purpose of the MFTE program is to encourage more multi-family development in Othello. Like many areas of the state and country, we have a housing shortage. The Multi-Family Property Tax Exemption is incentive to encourage construction of new units in Othello.

The ordinance was reviewed and recommended by the Planning Commission Dec. 19. The City Council held a public hearing Jan. 9 and continued action to Jan. 23, where they adopted the ordinance.

Documents

• Adopted ordinance with Residential Target Areas (p.5-6)
• Othello Municipal Code 3.40
• Flyer (en Espanol)
• MFTE Overview
• City Council Presentation (9-26-22)
• City Council Agenda 1-9-23
• City Council Agenda 1-23-22

More Information

Contact the Building & Planning Department.

Proposed Amendment

There has been a request to add an area to a Residential Target Area. This area was not zoned residential when the MFTE ordinance was originally considered and adopted. The Council will consider this request at a public hearing Nov. 27. The public is encouraged to attend the hearing and provide comments, either before or at the hearing.