§ 7-505

# (a)

# (1)

In this subsection, “service facilities” includes nondwelling commercial and community facilities, community rooms, dining halls, and infirmaries.

# (2)

Except in Baltimore City, real property is exempt from county and municipal corporation property tax if:

(i) the real property is owned by a person engaged in constructing or operating housing structures or projects;

(ii) the real property is used for a housing structure or project that:
1. is constructed or substantially rehabilitated under a federal, State, or local government program that:
A. funds construction or insures its financing; or
B. provides interest subsidy, rent subsidy, or rent supplements; and
2. is substantially completed after July 1, 1978;

(iii) the structures and facilities of the real property are governmentally controlled as to rents, charges, rates of return, and methods of operation so that the real property operates on a nonprofit or limited distribution basis; and

(iv) the owner and the governing body of the county and, where applicable, municipal corporation where the real property is located agree that the owner shall pay a negotiated amount in lieu of the applicable county and municipal corporation property tax.

# (3)

If the structure and facilities of the real property are used predominantly for residential purposes, the real property may contain service facilities to serve its occupants and the surrounding neighborhood.

# (b)

Real property described in subsection (a) of this section is exempt when the requirements of subsection (a) of this section are met.