Nation’s Second Largest Mall Owner Drains Hundreds Of Millions Of Dollars From Local Communities And Schools Across US

According to a study released today by Good Jobs First, a non-profit research center that focuses on economic development issues, General Growth Properties has taken at least $200 million from local government and school district coffers over the last ten years, contributing to fiscal problems that in some communities have resulted in teacher layoffs, larger class sizes and cuts in other services.

“A multi-billion-dollar corporation like General Growth Properties doesn’t need taxpayer help,” says Philip Mattera, Research Director of Good Jobs First. “These hundreds of millions of dollars could have been used instead to strengthen our communities by increasing the revenues available for education, police and fire protection and other vital public services.”

The release of the report was marked by rallies and events calling attention to GGP’s impact on communities in Baltimore, Cincinnati, Houston, and Portland, Oregon, cities where fiscal problems have been exacerbated by GGP’s drain on revenues. The report documents how GGP actively seeks taxpayer subsidies for its development and then systematically and often successfully appeals its assessments to reduce the amount it pays in property taxes. The subsidies and tax savings benefit the company but put a strain on local communities, which may then be forced to make cuts in services or shift the tax burden to small businesses and working families.

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