Historic Landmark designation is an honor, indicating the community believes the property or district deserves special recognition and protection based on its importance in documenting our history for posterity. However, another benefit to owners of Historic Landmark properties is an opportunity for a reduction in property taxes.

Under this property tax deferment program, up to 50% of property taxes may be deferred, as long as the property maintains its historic significance. Owners of Landmark properties must apply for this deferment, which essentially reduces the taxable value of the property by 50%. Because the taxable value is reduced, any special taxes are also reduced; for example, a Landmark property located in a Municipal Service District (MSD) would see its MSD tax reduced by 50%, as well. The value of the deferred property taxes are held as a lien against the property.

In the event that the property loses Historic Landmark status due to loss or impairment of historical significance or changes in the designating ordinance, the deferred taxes for the previous three years are payable by the owner. Should a property lose historic significance due to fire or natural disaster, no recapture of past tax deferments will occur.