Did you know Downtown Dunedin is a Community Redevelopment Area (CRA)?
Published on February 26, 2025
A Community Redevelopment Area (CRA) is a designated area of focus for revitalization. Over the years downtowns across the country declined with the advent of big box retail and shopping malls. Utilizing redevelopment legislation put in place by the State of Florida, the City of Dunedin began its efforts to improve Downtown in 1988.
One of the key tools available to a municipality that enacts a Community Redevelopment program is utilizing Tax Increment Financing (TIFs) to fund various improvements such as removing overhead utilities, improving streets with sidewalks, landscaping, and decorative street lights. Basically, a TIF can fund any enhancement which adds value to the ambience and charm of a Downtown which appeals to both residents and visitors.
The TIF program, although a somewhat cumbersome term, really in essence means using the property tax value increases occurring in a Downtown district above a base year. In Dunedin’s case that base year is1988. In other words, the Community Redevelopment District as a result of planned improvements sees increases in property values which translate to property tax revenue which funds the administrative aspects of running the Community Redevelopment Agency, along with enhancements to the Downtown district.
It is important to mention that Pinellas County is a major partner with Dunedin on improving the Downtown area. The TIF program represents one of the best government programs as revenue is only rewarded from strategic measures to revitalize a Downtown. It is important to note that property tax revenue collected by the School Board and any special district are not affected under the Tax Increment Financing process.
Today there is a resurgence across the country in revitalization of downtown districts thanks to CRAs, TIFs and consumer and demographic trends desiring more mixed-use developments where people can live, work and recreate.
With regard to the inner function of TIF revenues please note they can be used immediately, saved for a particular project, or can be bonded to maximize the funds available. Any funds received from a tax increment financing area must be used for specific redevelopment purposes within the targeted area, and not for general government purposes.
The Dunedin CRA has been very successful from its inception and work continues with new parking planned, streetscape and creation of pocket parks. On a final note when the CRA sunsets in 2033, all the value that has been created with improving property values Downtown will return to the City’s general fund and be available to improve other commercial corridors in the City of Dunedin.