Those new rates affect property tax bills due in 2004 and 2005, however. Also, any savings from a tax-rate reduction could be wiped out if the assessor places a higher market value on individual properties, notes Alon Yonatan, research manager of Marcus & Millchap's Chicago office.

"It's definitely a step in the right direction," Yonatan tells GlobeSt.com.

However, it is not likely to have a significant effect on the multifamily market, be it city or nearby suburbs, in terms of velocity. "The market right now is as hot as we've seen it," Yonatan says. "There are substantially more buyers than there are sellers. I don't think it'll be a big catalyst for the amount of deals getting done."

As for value, Yonatan sees some benefit. "Capitalization rates are as low or lower than we've seen in recent history," he notes.

For example, Marcus & Millichap is marketing a 218-unit complex in northwest suburban Elk Grove Village at a cap rate below 7%.

Meanwhile, there has been "some erosion of (net operating income) levels" recently with an uptick in vacancies, Yonatan notes.

While multifamily buildings with seven or more units will ultimately be assessed at 26% of market value, residential property with six or fewer units is assessed at a 16% level. Meanwhile, industrial property is assessed at 36% of market value while all other commercial property carries a 38% assessment level.