ALBUQUERQUE – Today, Mayor Tim Keller and city leaders joined business leaders and downtown property owners to outline a game plan to change the trajectory of Downtown Albuquerque. Two pivotal initiatives—a Downtown Business Improvement District (BID) and a Downtown Tax Increment Financing (TIF) district—were announced to transform the economic landscape of downtown, putting power back into the hands of the community.
“The best thing we can do for downtown is to give the community the funding and the ability to build their own future, not subject to politicians, election cycles, or City bureaucracy,” said Mayor Tim Keller. “I’ve loved downtown my whole life, and know there are so many things that make it great, like concerts at the El Rey, late night food at Sister, and the occasional massive street concert. These changes will help us be the best partner we can be, so that we can keep what we love about our downtown, and invest in its future.”
The city will send legislation to City Council aimed at improving quality of life downtown and holding absentee and out-of-state landlords accountable.
The city is moving forward with implementing a Tax Increment Financing (TIF) District. This tool harnesses growth increments in city and county property taxes as well as city, county, and state gross receipts taxes. A downtown TIF could produce $200 million over 20 years for reinvestment in downtown properties and businesses. The city can implement a property tax-based TIF immediately, followed by a TIF from gross receipts revenues when applications open early in 2025 due to legislation supported by Santa Fe. This long-term funding source ensures continuous revenues beyond current administrations.
Additionally, the city is encouraging Downtown business owners to organize a Business Improvement District (BID). BIDs are funded by assessments on participating property owners and governed by a board of directors. Under a BID agreement with the city, services such as parking, security, and street cleaning could be managed autonomously by property owners according to their needs.
"I thank MRA staff for their work at finding funding for our Downtown Capital projects a year earlier than expected," said District 2 Councilor Joaquín Baca. "This helps the City get a head start on some very important improvements here Downtown."
“This approach is a recipe for success in rejuvenating downtowns across the country,” said MRA Director Terry Brunner. “It’s a reliable and sustainable way forward for Albuquerque’s downtown and will create opportunities for transformative investments.”
The initiatives invite participation from business owners and property stakeholders in creating an economically thriving Downtown Albuquerque.
