Palm Beach experienced a whopping 16.5 percent overall increase in property values over the last year, according to the tax roll estimate released Wednesday by Palm Beach County Property Appraiser Dorothy Jacks’ Office.

Total real estate values on the island hit a record $25.2 billion - a huge leap over the $21.6 billion final taxable value for 2021, according to the preliminary estimate.

The 16.5 percent increase shows how active the island’s real estate scene was during 2021, not just for sales but for new construction, which was factored into the valuation increase. The net value of new construction was placed at $284.5 million.

Overall Palm Beach County property values were estimated at $251.7 billion, an increase of 13.5 percent, according to the property appraiser’s office.

The estimate is based on market conditions on Jan. 1. It is prepared each year to help local governments forecast tax revenue as they prepare their budgets and set their tax rates for the next fiscal year.

The 16.5 percent increase is not quite a record for the town, Finance Director Jane LeClainche said. In 2007, the overall taxable property value in Palm Beach jumped by 16.9 percent.

“We are just under the record,” she said.  

Last year, the initial June 1 estimate from the property appraiser’s office showed real estate values in the town increasing by 6.87 percent. A July 1 revision bumped the increase up to 8.13 percent.

This year, the property appraiser’s office indicated the town should receive an updated “preliminary certified taxable value” on June 27, LeClainche said.

LeClainche said the town administration plans to release its 2022-23 budget proposal around July 1. A special Town Council meeting to discuss the proposed budget is scheduled for 9:30 a.m. on July 14 in Town Hall.

Final approval of the budget and property tax rate occurs at two public hearings held each year in September. The 2022-23 fiscal year takes effect Oct. 1.