New taxes are coming for downtown Myrtle Beach property owners. Here’s when and how much

Myrtle Beach now has a special tax rate that thousands of downtown businesses will be paying in each of the next 10 years, creating a revenue stream exclusively to boost economic development and revitalization efforts across a 689-acre district running from 11th Ave S. to 21st Ave. N.

Officials say the levy should generate nearly $14 million over its lifespan.

Year-round homeowners don’t have to pay

South Carolina law sets two rates for property tax: Primary homeowners who live in their dwelling year-round and don’t get extra money through short or long-term rentals are assessed at 4 percent of their value.

Income-generating parcels including short-term rentals or homes that are only occupied for part of the year are required to pay 6 percent of their total value.

Those so-called “4 percenters” are exempt from the city’s municipal improvement district levy, but more than 3,650 other properties with a total assessed value of $60.6 million will be paying it.

The tax will add to year-end bills for eligible properties

Because the district’s ultimate goal is to attract private investment, create more housing and spur a more walkable, visitor-friendly environment, businesses are being asked to pay now for a long-term result.

The properties assessed at 6 percent will pay an additional one percent of that 6 percent value, with that money going to the district’s operations.

• Assessed property of $100,000 would pay $60 to the district annually
• Assessed property of $200,000 would pay $120 to the district annually
  
  
• Assessed property of $300,000 would pay $180 to the district annually
• Assessed property of $400,000 would pay $240 to the district annually
• Assessed property of $500,000 would pay $300 to the district annually

Myrtle Beach Downtown Alliance to oversee funds

The organization’s 21-member governing board — which includes Mayor Brenda Bethune, Myrtle Beach Area Chamber of Commerce CEO Karen Riordan, Coastal Carolina president emeritus David DeCenzo and HTC CEO Mike Hagg —will manage and implement the district’s funding.

The money will be used on projects large and small

Current plans call for tax revenues to help supplement existing sanitation services and other maintenance costs, promote and market the city’s downtown core, provide cash for special events and other marketing initiatives and cover planning and research ventures to support tax-paying businesses.

Expect to see street fairs and festivals, more real estate activity, graffiti and litter removal and public meetings updating residents on improvements throughout the district.

This story was originally published September 4, 2022 at 5:00 AM.