What term describes the funding method where assessments are levied to enhance local business areas?

The term that describes the funding method where assessments are levied to enhance local business areas is "Special District Assessments." This approach involves the creation of a special district, where property owners within that district agree to pay additional taxes or assessments to fund improvements or services that directly benefit their area. Such enhancements might include infrastructure upgrades, beautification projects, or increased security measures, all aimed at promoting economic growth and improving the overall environment of the local business area.

In contrast, Development Impact Fees are charged to developers to offset the costs of providing services to new developments rather than enhancing existing areas. Revenue Bonds are a method of raising funds with the expectation that the revenue generated from the project will pay back the bond, often used for larger infrastructure projects. Lastly, Mortgage Loans are personal loans used by individuals to purchase real estate and do not pertain directly to funding local business enhancement initiatives. Understanding these differences is crucial for navigating funding structures in urban planning and development.