Window decorations and hands full of shopping bags dot the landscape of Franklin’s Main Street.
Business owners say there’s something special about working in Historic Downtown Franklin.
“It’s been a blessing to be down here, I love it,” Michelle Swope said.
Michelle Swope manages The Parker House hair salon, along with owner Sam Johnson.
The pair says while they love being a part of Main Street, their expenses have risen exponentially in the past two years. Their property taxes recently went from $5,000, to $22,000 a year.
Most businesses downtown operate with triple net leases, meaning those property taxes are paid by the tenants, not the building owners.
“We pivoted but it definitely affected our business, a lot of the growth stuff that we have planned got cut back and delayed. We’re pivoting and making changes, but it doesn’t make it easy,” Johnson said.
It’s a similar story a block away at Onyx and Alabaster design studio, retail and coffee shop.
Owner Tanya Hembree says her taxes are three times higher than they were just two years ago.
She’s worried about the future of Main Street if the numbers keep going up.
“I am concerned about the Downtown Franklin area becoming more of a large box store strip mall, versus the charm and the character that we all love of Franklin,” Hembree said.
Williamson County Commissioners say a rise in property value two years ago has led commercial property taxes in Downtown Franklin to rise by 200 percent on average. Property taxes on nearby homes rose by about 35 percent.
Business owners are calling on local and state leaders for help.
They’re advocating for the state to create a type of tax overlay district for historic or tourism districts.
“What we are asking for is for a re-tax zoning for the downtown business areas in Tennessee, specifically because most of them are what drive revenue and tourism to those areas, and it's the residents in the state that get to benefit from that revenue stream. ” Hembree said.
County commissioners say they don’t have the power to change tax code, but they can work with state lawmakers to change that.
County commissioners recently considered a resolution to ask state leaders to create a special tax classification for certain areas. While they are advocating for Williamson County businesses, the changes could be available for localities state-wide.
The resolution didn’t get enough votes to pass. Some commissioners say they want to spend more time ironing out the details before supporting it. They plan to consider a revised resolution at their January meeting.
FOX 17 News reached out to commissioners asking whether they support the measure and why? We are waiting to hear back.
Business owners are urging them to find a way to make changes to support those entrepreneurs who helped build downtown into what it is today.
“Do we want to support all the mom and pop, the local businesses and the history of Franklin and what has made this town? Or do we want big corporations to come in here and take over,” Swope said. “It's going to be hard if it just keeps going up.”
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