Property Tax Abatement

Property tax abatement is an incentive provided primarily to build new plants in Michigan or renovate and expand aging assembly and manufacturing, and research plants. The incentive comes in the form of abated property taxes. The value of the project added will produce 50% of the taxes for a set period of time and then resume to the full tax value at the end of the abatement period. Read the City of Novi's Tax Abatement Policy by clicking on the link below.

Property Tax Abatement Policy

Public Act 210 of 2005 Commercial Rehabilitation Act Tax Abatement Policy

PA210 encourages the rehabilitation of commercial property by abating the property taxes generated from the new investment for a specific period. This was amended in 2011 to provide that the construction of a hotel with meeting/convention space attached to an existing convention and trade center of a certain size and location can qualify for a tax abatement of 100% of the value of the hotel improvements (but not the land on which it is located) for a period of up to 10 years. The City of Novi adopted policies for the Suburban Collection Showplace as well as two other potential development areas in the city.

Public Act 210 of 2005
PA210 10 Mile/Meadowbrook District
PA210 Former Novi Expo Center District
Coming in 2013 - Hyatt Place at Suburban Collection Showplace
Suburban Collection Showplace received a six-year property tax abatement to build a Hyatt Place adjacent to the Showplace.

Brownfield Redevelopment

Brownfields are real property, the expansion, redevelopment, or reuse of which may be complicated by the presence or potential presence of a hazardous substance, pollutant, or contaminant. The City of Novi has participated in Brownfield Development, if you have a new commercial project that you would like considered, please contact Ara Topouzian.

MEGA Project Guideline & Policy

The Michigan Economic Growth Authority (MEGA) is empowered to assist Michigan companies that are considering a business closure by awarding a Retention MEGA. Companies eligible for a MEGA Employment Tax Credit against the Michigan Business Tax (MBT) are those engaged in manufacturing, mining, research and development, wholesale and trade, film and digital media, office operations, or certain tourism projects. The City of Novi has participated in several MEGA projects providing local contribution towards each project.

High-Tech MEGA Projects Guidelines and Policy - Adopted by Novi City Council on July 28, 2008

Companies that have benefited from the MEGA Tax Credit:

Harman Becker Automotive
Howa USA Holdings
Kongsberg Automotive
Novixus
Patrick Energy Services
Ryder System