Lee County’s overall property valuation continued its annual trend upward from the June estimates, especially in Cape Coral and in Lee County overall, where valuations hit an impressive milestone.

Post Hurricane Ian that was not the case with the gulf communities, which dropped even lower in the numbers released Monday.

Cape Coral saw its just overall taxable valuation increase by 14.18 percent, which was far less than the 38.9 percent the city had in 2021, but still an impressive gain due to the volume of commercial and residential development, according to preliminary estimates released late Monday by the Lee County Property Appraiser’s Office.

Overall taxable property valuation increased from $22,545,069,623 to $25,741,662,454, an increase of almost $3.2 billion. Just taxable value on new construction came in at $741,678,584, more than $33 million better than the June estimates which are working numbers as the Property Appraiser’s Office computes the July report to be submitted to the state.

Estimated overall just valuation in Lee County rose 11.25 percent over last year. County just valuation went up from $180,629,897,687 to $200,951,353,099, an increase of nearly $18.6 billion.

Total taxable valuation increased from approximately $112.6 billion to $120.1 billion, an increase of $7.51 billion or 6.67 percent. The school taxable valuation numbers were higher with an increase of nearly $11.49 billion, or 8.98 percent.

Property Appraiser Matt Caldwell said the real estate market was soaring before the hurricane, and continues to be so despite the storm.

“People who have lived here more than a day know how heated the market has been, but the hurricane had an impact,” Caldwell said. “When you see the number of houses being built in the last year, a ton of new construction value was added, more than $3 billion. All that development happening in Cape Coral and Lehigh outside the majorly impacted storm areas.”

Property tax increases are capped in Florida, with owner-occupied residential properties receiving the greatest protection if taxing agencies do not adopt a rollback tax rate, the rate at which taxes remain level for existing properties when valuations soar.

Homeowners with the Homestead Exemption face a maximum 3 percent tax increase. Those without it are capped at 10 percent.

For taxing entities, increased taxable valuation can mean an increase in revenue at the current rate of taxation; the “rollback” millage rate keeps revenue flat.

Hurricane Ian, now classified as a Category 5 storm, devastated the island communities, and, just as the preliminary increases were greater than the estimated ones a month earlier for areas more inland, valuation decreases were higher than the prelim numbers for the islands,

In Sanibel, the total just value declined 25 percent while the taxable value was down a whopping 33.46 percent.

Fort Myers Beach fared worse. Just value was down 34.32 percent while the taxable value dropped 42.24 percent, with both fire districts seeing similar losses.

Caldwell said those islands were a particular problem because of the number of condos there, in different states of disrepair or ruin.

“A building might need power circuits but are ready to go otherwise, while another needs to be completely gutted and rebuilt, which will take multiple years.

“There was change, but not at the scale you would see. With $200 billion dollars in property, you need a $2 billion shift to raise the percentage a point,” Caldwell said.

The fire districts in unincorporated Lee County saw mixed results.

Lehigh Acres saw overall taxable property valuation increase 2.47 percent, Bayshore went up 4.68 percent, while Matlacha dropped exactly 6 percent and North Fort Myers 5.53 percent, the latter representing its first drop in valuations in a decade.

The final figures of all taxing districts will be sent to Tallahassee for approval when finalized.

TRIM — Truth in Millage — notices will be mailed to property owners in August. Property owners will then have 25 days to resolve any disagreement in value with the property appraiser before the tax bills come out in November.