• Bill Warrell

What is a CDD?

If you’ve looked for property in Florida you’ve most likely run into the term ‘CDD’ and been confused by it. Let’s take a look at what it is.


A CDD (Community Development District) is a special district authorized by Chapter 190 of the Florida Statutes that's prevalent in Florida and serves as a way for developers to finance the construction of certain improvements in their communities without having to put up the money themselves.


Some of the improvements include water management, bridges, culverts, district roads, street lights, conservation areas, parks, recreational facilities, waste disposal and mosquito control.


CDD’s are a legal entity that have the power and right to enter into contracts; to own both real and personal property; adopt by-laws, rules and regulations and orders; to sue and be sued; to obtain funds by borrowing; to issue bonds; and to impose assessments and levy taxes on property within the district.


​They are run by a 5-person Board of Supervisors that is chosen by the developer, and later turned over to the homeowners (landowners). The homeowners of that community have to pay back the bonds over the course of a number of years with the amount assessed being added to their tax bill.

A CDD is required to hire a district manager to implement the policies established by its board and oversee the day to day operations and contracts of the CDD, its facilities and improvements.

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