November 17, 2024 2:28 pm
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Lawsuit against city’s use of controversial incentive moves forward

The GPLET tax incentive makes it easier for developers to build, with controversial results. /Nicole Neri/DD

By Daniel Perle | Downtown Devil

A lawsuit threatening the city’s use of a popular tax incentive which has increased downtown density is moving forward following the ruling of a Maricopa County Superior Court Judge Wednesday.

The complaints, filed by Angel’s Trumpet Ale House owner Mat Englehorn, allege the city violated several clauses of the Arizona Constitution and other Arizona Statutes when it granted a Government Property Lease Excise Tax (GPLET) agreement to a 19-story development which will be built in a vacant lot behind Angel’s Trumpet Ale house.

The city granted the tax incentive agreement to the developer in March of last year in exchange for 5 percent of its units being sold at workforce housing rates as opposed to market rates.

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