New Impact Fee in Murfreesboro Expected to Add $6,250 to the Cost of Building a 2,500-Square-Foot Home by Year 2025

MURFREESBORO, TN - A newly approved impact fee in Murfreesboro will add to the price of construction for home builders and developers. Murfreesboro Assistant City Manager Sam Huddleston told WGNS the impact fee for single family residential developments will be... As for the cost to build a new apartment complex, developers can expect to pay a per unit fee, as opposed to a per-square-foot fee... Starting July 1, 2023, the cost to build a 200-unit apartment complex in Murfreesboro will come with an added impact fee of $1,524,800. A smaller 100-unit apartment complex will have an impact fee of $762,400 (Scroll down for home construction examples).

All other construction projects, to include everything from offices to industrial developments, will come with an added fee as well...

The impact fee will also effect anyone adding onto their home or business on or after July 1st of this year. In other words, if you add onto your business or house, you will have to pay an added impact fee at a price-per-square-foot for your addition.

Impact Fee for Single Family Residential:

Starting July 1, 2023: $1.50 Per Square Foot
Increases to $2.00 Per Square Foot on July 1, 2024
Increases to $2.50 Per Square Foot on July 1, 2025

Example of how the Impact Fee will Effect Single Family Construction:

Cost to Build 2,500 Square Foot Home on / after July 1, 2023: $3,750
Cost to Build 2,500 Square Foot Home on / after July 1, 2024: $5,000
Cost to Build 2,500 Square Foot Home on / after July 1, 2025: $6,250

New Apartment Impact Fee: $7,624 per unit:

Example: Cost to Build a 200-unit Apartment: $1,524,800
Example: Cost to Build a 100-unit Apartment: $762,400

Retail / Commercial Impact Fee Rate: $5,000 Per 1,000 Square Feet:

Example: Cost to Build a 4,000 Square Foot Retail Space: Added Impact Fee of $20,000

Office Impact Fee Rate: $1,932 Per 1,000 Square Feet Industrial Impact Fee Rate: $984 Per 1,000 Square Feet:

Example: Cost to Build a 4,000 Square Foot Office: Added Impact Fee of $7,728

Public / Institutional Impact Fee Rate: $3,872 Per 1,000 Square Feet:

Example: Cost to Build a 10,000 Square Foot Public Building: Added Impact Fee of $38,720

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See the news story from April when the Murfreesboro City Council first voted to pass the impact fee HERE. Read about Rutherford County wanting to charge some type of impact fee to help fund growth HERE.

Additional WGNS News Headlines:

November 5th Election Results on WGNS Radio, WGNSRadio.com & Big G TV Beginning at 7pm

New Impact Fee in Murfreesboro Expected to Add $6,250 to the Cost of Building a 2,500-Square-Foot Home by Year 2025

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