Newport Township had the highest growth in property assessment among all Luzerne County municipalities in the past year, according to the latest tax base certification analysis.
Exceeding other leading municipalities, Newport Township gained $52 million in assessed value from January 2023 to January of this year, representing a 33% increase.
The township’s overall tax base increased from $158 million to $210.1 million.
Township Manager Joseph Hillan expressed satisfaction with the township’s leading position in growth, citing it as evidence that ongoing efforts to attract both residential and commercial businesses are yielding results.
The majority of the growth is attributed to a single structure — a Lowe’s coastal holding facility built by NorthPoint Development, which is assessed at $51.48 million. Previously, the vacant parcel was assessed at $90,400.
In previous announcements about this project, Hillan described the project as a “rebirth for the township.”
Similar to many major commercial developments on former coal mining land in the county, the project has received a partial tax exemption under the Local Economic Revitalization Tax Assistance (LERTA) program for blighted properties. This means the property owner pays real estate taxes on the land throughout the exemption period and receives a tax discount for the new development.
Hillan mentioned that the township’s real estate tax revenue from the property will gradually increase in the coming years, with the full amount paid after the completion of the decade-long LERTA.
While celebrating this project, Hillan emphasized that hundreds of thousands of dollars in growth during the period are from residential construction — a trend he expects to continue based on additional lots planned for development.
Recently, he visited three locations in the township with new houses under construction and more in progress.
The first spot was near Sedor Hill in the Alden section.
His next stop was at townhouses being built along Robert Street in the Sheatown neighborhood near the former Kirtland M. Smith Public School — a 1930 structure now used for apartments.
The new townhomes are situated on a former softball field that was once a pond where Hillan enjoyed ice skating in his youth.
In the township’s Ridgeview section, Hillan inspected several houses being built on Sunset View Drive in the Whitney Pointe development.
Walter and Geri Samselski chose to build a home there to be closer to family, moving from Poughkeepsie, New York.
Geri mentioned that her conditions for moving here included a back porch to enjoy the panoramic view, and they purchased two lots for added space.
“It is beautiful up here,” Geri said.
Walter said he looked at many lots before selecting the one in Newport Township.
He had been there before in a different context, as it was once a coal strip mining site that he frequented in his youth.
Walter enjoys observing wildlife from his residential vantage point, including deer and bears.
“The view is nice. It’s quiet up here,” he said.
Unlike some municipalities that are more constrained by land, the township has ample acreage available for commercial and residential development if investors are willing to address the infrastructure, Hillan noted.
He said the main problem is getting in.
Other growth
Most county municipalities — 52 of 76 — had new construction that raised their real estate tax base in the past year, analysis shows.
Those with double digit-growth like Newport:
• Pittston Township, $38.36 million
• Hazle Township, $24.88 million
• Wright Township, $13.9 million
Three municipalities have billion-dollar tax bases: Hazle Township, $1.7 billion; Wilkes-Barre, $1.38 billion; and Hazleton, $1.01 billion.
Hazle Township surpassed Wilkes-Barre in 2016 due to continued expansion at the Humboldt Industrial Park off Interstate 81.
In this latest snapshot certification reading, Wilkes-Barre topped the 24 municipalities that experienced assessment reduction over the past year.
Wilkes-Barre’s total taxable property decreased $18.4 million.
As the county seat, the city is home to more tax-exempt government offices, colleges and universities.
Mirroring the loss of taxable property, the assessed value of tax-exempt property in the city increased $18.2 million in the past year, for a new total of $524.6 million in tax-exempt property, the certification shows.
Properties converted to tax-exempt status over the last year include nonprofit facilities that provide affordable medical care, counseling and housing, according to the city.
Wilkes-Barre Mayor George Brown said the net loss is approximately $22,000 in city taxes year-over-year.
But Brown said he is confident the city will more than make up for the decline and build the tax base through several planned projects returning property to the tax rolls.
One example he cited is Carey Holdings LLC’s plan to renovate the former Meyers High School building into a multi-use space housing apartments, public exercise facilities, retail space and more.
Another is Bloxton Investment Group’s purchase of the former First National Bank structure from the city so the structure can be incorporated into the developer’s conversion of the neighboring Luzerne Bank Building on Public Square into a 105-room “Tribute by Marriott brand” boutique hotel, Brown said.
The city also is transferring ownership of property on Carey Avenue to Habitat for Humanity to construct several residential structures that will go on the tax rolls, he said.
Brown also cited the city’s sale of property in the South Franklin Street area for the construction of a restaurant.
Big picture
The net effect of all the ups and downs countywide was a tax base increase of $169.2 million over the past year.
That increase equates to $1.07 million in additional property tax revenue for the county based on the current tax rate. Because the certification measures assessments only, it does not log the amount of taxes temporarily forgiven due to breaks.
In January this year, taxable property countywide totaled $21.44 billion, compared to $21.27 billion in January 2023.
County Manager Romilda Crocamo said the substantial increase “reflects a positive trend in economic development and property values.”
This tax base growth is a direct result of several factors, including increased investment in commercial and residential properties, expanding businesses and improving local economies, Crocamo said.
She also thinks the county has made a welcoming environment for businesses, which has brought in new businesses and encouraged existing ones to grow.
“As we move ahead, Luzerne County is still dedicated to creating an environment that draws in investment, promotes economic expansion, and enhances the quality of life for all residents,” Crocamo said. “We will keep working hard to support businesses, strengthen the tax base, and ensure the long-term stability of our county.”
