Mayor Scott’s Approach to Addressing Baltimore’s Vacant Properties at Scale

Baltimore is the birthplace of redlining, a racist housing policy that originated in Baltimore in 1910. Redlining is at the root of Baltimore’s hyper-segregated neighborhoods, and has impacted the health, education and life expectancy outcomes of Baltimoreans for generations. The maps below confirm what we already know: racist polices and disinvestment create high concentrations of vacant property and blight in our predominantly Black neighborhoods.

Neighborhoods by Race Map Density of Vacant Building Notices

Race Map with Density of Vacant Building Notices

When Mayor Scott took office, Baltimore grappled with approximately 16,000 vacant properties for decades. Under the Scott Administration, vacant properties throughout Baltimore dropped to the lowest level in more than a decade. Previously, the City invested $7-8 million per year to address vacant properties. At that pace of investment, it would take at least 300 years to solve this problem.

We can’t afford to wait three centuries.

Our Vision

Mayor Scott’s vision is simple yet powerful: whole neighborhoods are built by whole blocks free of vacant housing, which are built by whole houses. The Scott Administration will eliminate vacant properties in Baltimore City by investing at least $3.0 billion in our neighborhoods over the next 15 years by investing in vacant properties, at scale, and by restoring entire blocks of blighted properties. Our plan is rooted in equity, justice, and righting historical wrongs.

Our Values

Our Partners

Mayor Scott knows that for this work to be successful, we must build a coalition to secure the necessary resources for this vision. He convened leaders from Baltimoreans United in Leadership Development (BUILD), the Greater Baltimore Committee (GBC), as well as consultants from Ballard Spahr and PFM to put forward a comprehensive plan that will:

It will take all of us to accomplish this vision. Together, the City of Baltimore, BUILD, and GBC have come to agreement on how to do it. You can read the whole agreement here.

The Work of DHCD

Baltimore City’s Department of Housing and Community Development (DHCD) will lead this work. DHCD is in the process of implementing a Community Development Framework with a “whole block” approach since the beginning of the Scott Administration.

This development strategy is data-driven, community-led, based on deep market knowledge, and leverages all of DHCD’s tools to acquire properties, dispose of properties, provide project financing and lending, code enforcement, demolition, and more

Mayor Scott has already made a historic investment of $146 million into neighborhoods over the past two years, largely with American Rescue Plan Act (ARPA) funding. This historic funding, as well as the work of private developers, has contributed to a nearly 14% reduction in vacant properties since he took office. Which means, this "whole blocks, whole neighborhoods" strategy works.

Vacant-Buildings-Baltimore-City

Now, it’s time to scale up, so that we can solve the challenge of vacant properties once and for all.

Our Plan

Mayor Scott is poised to make the largest investment ever into Baltimore’s Black neighborhoods. Beginning in 2024, the Scott Administration will:

The $600 million generated from the TIF bonds, IDA and private investment will enable the City to address the most pressing vacant and abandoned properties in East Baltimore, West Baltimore, South Baltimore, and Park Heights.

However, to fully address this issue, we will need support from the State of Maryland. The Scott Administration is seeking:

Mayor’s Scott’s Historic Investment

This $3.0 billion, 15-year investment will fund public investments in more than 30 neighborhoods across East, West, and South Baltimore, as well as Park Heights. Target neighborhoods are outlined in the map below and correlate with areas of high density, as well as those that are historically redlined. Public investments will include:

Heat Map with different areas in Baltimore City

Why a local share of the sales tax?

Baltimore is an outlier among peer-cities in that we do not receive a local share of the sales tax.

Of the 124 U.S. cities with 200,000 or more residents:

Baltimore-sales-tax

In addition, Baltimore is only one of three major independent cities in the country, along with St. Louis, MO (5.45% local sales tax share) and Carson City, NV (3.0% local sales tax share). We are the only major independent city that does not receive a share of their sales tax revenue. All other major cities are part of larger counties. This means that Baltimore does not have the ability to draw on the financial resources of a countywide government like most cities do.

While Baltimore’s cultural and tourist attractions bring in millions of visitors to the State annually, and approximately $420 million per year in sales tax revenue for the State, we do not receive a local share of sales tax revenue generated by those attractions.

To comprehensively address Baltimore’s housing crisis, we must be given the same tools that our peer cities have, and that includes a local share of the sales tax.

What would Baltimore do with 2% of sales tax revenue?

The City would use the local sales tax revenue to address Baltimore’s housing crisis. Each percent of sales tax allocated to Baltimore City would bring in more than $70 million annually.

2% of local sales tax would pay for:

What would a $1,000 annual property tax cut do for our property tax rate?

A $1,000 tax cut on all owner-occupied properties in Baltimore City would provide a greater percentage of relief for lower-assed properties, and would bring the new effective tax rate to 1.3% or lower for half of the City’s owner-occupied properties.

The proposed property tax reduction would make the total burden of homeownership one of the lowest in the State for most of Baltimore’s owner-occupied homes. Properties valued at less than $50,000 would have their property tax eliminated.

Baltimore tax assessed value

Additional Information

More Materials About This Plan