February 29, 2024

Florida's Live Local Act Tax Exemption Deadline Looms

Holland & Knight Alert
Pedro Gassant | Alessandria San Roman | Lawrence E. Sellers | Misch Cetoute


  • Florida Senate Bill 328 (SB 328) updates the 2023 Live Local Act, which provides that certain multifamily developments with at least 71 units may be eligible for a 75 percent or 100 percent ad valorem tax exemption (also known as the "Missing Middle" Property Tax exemption), depending on the level of affordability of the units.
  • SB 328 provides that the changes to the tax exemptions are intended to be remedial and clarifying in nature and apply retroactively to Jan. 1, 2024.
  • To receive the exemptions for the 2024 tax roll, owners must have received certification notice issued by the Florida Housing Finance Corporation (FHFC), also known as the Multifamily Middle Market Certification (the Certificate).
  • Owners must submit their Certificate and an application to the local property appraiser's office by March 1, 2024, to have the exemption applied to their 2024 tax roll.

Florida's 2023 Live Local Act provides significant land use, zoning and tax benefits. (See Holland & Knight's previous alerts, "Florida's New Live Local Act Offers Land Use and Tax Benefits," Aug. 8, 2023, and "Florida's Live Local Act and Important Tax Exemption Deadlines," Oct. 2, 2023).1 This Holland & Knight alert provides a general summary of the proposed changes to the 2023 Live Local Act and the looming deadline to receive the local property tax exemption. It is important to note that although SB 328 has passed through the legislature, it is technically not effective until Gov. Ron DeSantis signs it into law.

SB 328's Modifications to Tax Exemption Program

  • Defines "newly constructed" as an improvement to real property that was substantially completed within five years before the date of an applicant's first submission to the Florida Housing Finance Corporation (FHFC)
  • Clarifies the definition of "substantially completed"
  • Requires 10 units, rather than 71 units, to be set aside for income-limited persons and families2 in the Florida Keys to qualify for the exemption
  • Clarifies that the FHFC duties are ministerial in certifying eligibility for exemption, while local property appraisers maintain authority to grant tax exemptions
  • Expands the authority for the FHFC to preclude developers from participating in its programs for certain violations
  • Outlines the method for property appraisers to determine values of tax exempt units

Tax Exemption Procedure

The Missing Middle Property Tax Exemption first applies to the 2024 tax roll and is repealed on Dec. 31, 2059.

To receive this exemption, a property owner must:

  • apply for a Multifamily Middle Market Certificate from the FHFC, and
  • submit an application by March 1, 2024, to the local property appraiser, accompanied by the Certificate from the FHFC

Although a certificate from the FHFC is required in order to receive the exemption, it does not guarantee that an exemption will be granted by the local property appraiser. (See sample form from the Miami-Dade County Property Appraiser's Office.)

Upon completion of the FHFC certification process, a property owner must submit the Certificate to the local property appraiser.

The FHFC issued the Certificates via the application portal on Feb. 16, 2024; however, those Certificates were issued to the certified appraiser as opposed to the local property appraiser and required updates.

  • The FHFC provided updated Certificates to owners on Feb. 18, 2024. Owners should check that they are using the most recently issued Certificates, which will list the effective date near the bottom of the Certificate as of Jan. 1, 2024.
  • If owners received a Certificate, they must now submit the Certificate, an application and any other required documentation to their local property appraiser no later than March 1, 2024.

Determining Value of a Unit

When determining the value of a unit for purposes of applying an exemption pursuant to this paragraph, the property appraiser must include in such valuation the proportionate share of the residential common areas, including the land, fairly attributable to such unit.


If the property appraiser determines that an exemption has been improperly granted within the last 10 years, the property appraiser must serve the owner with a notice of intent to record a tax lien. Such property will be subject to the taxes improperly exempted, plus a penalty of 50 percent and 15 percent annual interest. Penalty and interest amounts do not apply to exemptions erroneously granted due to clerical mistake or omission by the property appraiser.

For More Information

If you have any questions or would like assistance regarding the recent requirements, please contact one of the authors.


1 These alerts will be updated to address the revisions of the new bill.

2 Effective May 11, 2023, the Miami-Dade County area median income (AMI) is $74,700; 120 percent AMI, the upper income threshold for all of the programs, is $89,640. Miami-Dade County's Workforce Housing Development Program includes families whose incomes are within 60 percent to 140 percent AMI. Therefore, while units restricted from 120 percent to 140 percent AMI qualify in the County. The aforementioned units do not count toward the minimum of 70 units required by the Live Local Act.

Information contained in this alert is for the general education and knowledge of our readers. It is not designed to be, and should not be used as, the sole source of information when analyzing and resolving a legal problem, and it should not be substituted for legal advice, which relies on a specific factual analysis. Moreover, the laws of each jurisdiction are different and are constantly changing. This information is not intended to create, and receipt of it does not constitute, an attorney-client relationship. If you have specific questions regarding a particular fact situation, we urge you to consult the authors of this publication, your Holland & Knight representative or other competent legal counsel.

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