Polsky & Associates Ltd

Polsky & Associates structures and negotiates TIF and other inducement agreements for major real estate developers across the country, dealing with governmental officials, bond counsel, and financial advisers. The firm counsels its clients in all legal, political, and financial aspects of the economic entitlement process.

Polsky & Associates analyzes the financial models and assumptions necessary to achieve optimum results for each development. Its expertise and valued relationships with governmental bodies has helped Polsky & Associates structure hundreds of millions of dollars in TIF and other governmental inducement agreements.

Why TIF?

- Increase return on investment
- Make borderline projects profitable
- Problem sites may have extraordinary costs that can be reimbursed through the use of TIF or Sales Tax incentives.

What is TIF?

Use of new real estate or sales taxes generated by new development to help pay for project costs.

How long is the TIF Payment Period?

Generally, TIF Bonds and Notes extend for 10-20 years.

Must TIF dollars be paid back?

No. TIF Dollars are considered grants to the project and are generally not secured by the real estate.

"TIF" Tax Increment Financing

TIF financing is generally available in most states for developing properties that meet certain criteria. Any new property tax revenue exceeding the original tax revenue at the time of the TIF district designation may be used to pay certain development costs. In certain jurisdictions, a portion of new sales tax revenue can also be pledged to pay for certain costs of the development.

Do all projects qualify?

TIF financing generally requires a finding that the site qualifies under applicable state statutes. Projects involving redevelopment of older centers usually qualify as well as vacant sites with special site requirements. Sales tax financing usually requires no special qualification.

Sales Tax Agreements

Even if property does not meet the criteria for TIF designation, many states allow municipalities to pledge sales taxes to pay a portion of redevelopment costs. No district designation is usually required for sales tax financing.


A real estate return analysis is presented to the municipality. A gap analysis must show that "but for" the TIF or sales tax financing the project would not be financially feasible.