Hanover Keeps Commercial Tax Shift Amid Business Concerns

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Hanover will keep its commercial property tax shift at 1.15 for fiscal year 2026 after dozens of business owners urged the Select Board to avoid another increase, saying last year’s jump strained already fragile margins and risked pushing tenants out of town.

The decision came after an extended tax classification hearing where local shops, restaurants and property owners described rising costs, regional competition and the lingering financial pressures since the pandemic.

Frank Giglio, owner of Merchants Row, said higher taxes make it harder to keep tenants and attract new ones. “If anyone thinks that we’re making a ton of money there, come and see my statements,” he said. Giglio warned that Hanover is at risk of losing businesses to nearby communities that actively recruit commercial development. “Our neighbors are soliciting us to go see them… they’re offering us a great deal,” he told the board.

Several small businesses echoed that sentiment. Terrence O’Keefe said, “Nobody wants to be here for another couple of years if it keeps going in this direction… there’s not going to be any business left.” Diane Maturo, owner of Good Health Natural Foods, added that Hanover’s amenities rely on a strong business base.

Representatives from Hanover Crossing noted changes in the retail landscape and shifting market pressures. General Manager Ed Callahan said, “Online sales represented about 20 percent of retail sales before the pandemic, and today they represent roughly 40 percent.” He urged the board to avoid further increases, calling stability crucial for competitiveness.

Board members acknowledged the challenge of balancing residential and commercial impacts. Select Board member Vanessa O’Connor said she understood the strain on businesses, explaining, “I do think it is a reasonable request to leave the split tax rate as it is… and reevaluate next year.” She added that gathering data on the impact of last year’s increase will be important before considering any future changes.

Select Board member Steve Louko also supported holding the rate steady. “Businesses want predictability,” he said, noting that nearly every business owner who contacted the board requested stability rather than a reduction. 

Select Board Member Greg Satterwhite added that the town must work more closely with businesses, saying he wants to see “a better partnership to encourage Hanover residents to support Hanover businesses.”

Board Chair Rhonda Nyman thanked the business community for speaking out. “They’ve invested here, and I would like to see them stay here,” she said, urging the members to stay at 1.10.

The board voted 4–1 to keep the shift at 1.15, rejecting a Board of Assessors recommendation to lower it to 1.10.