Downtown Burgaw has been on a quiet roll. New restaurants have opened around the historic Pender County Courthouse square, storefronts are mostly full, and this fall the town took a step it had only approved on paper a few years ago: it started collecting a small extra property tax on downtown parcels to pay for improvements there. If you own in Burgaw, are thinking about buying near the square, or just love small-town living within reach of Wilmington, here’s what the change means and why it matters.
What Burgaw Approved
WilmingtonBiz reported on Oct. 7, 2026 that the Town of Burgaw has begun levying a municipal service district tax on its downtown properties. A municipal service district, or MSD, is a defined area where property owners pay an extra rate on top of regular town and county taxes, and that money can only be spent inside the district.
According to the report, which cites the town’s own figures:
- The rate is 10 cents per $100 of assessed value.
- The district covers 72 non-exempt parcels with a combined taxable value of about $7.8 million.
- It’s expected to bring in about $7,800 this fiscal year.
- The town council approved the district back in fiscal year 2022-23, but this is the first year the tax has actually been levied.
Mayor Olivia Dawson told WilmingtonBiz the goal is to keep downtown’s momentum going, with possible uses including roads, sidewalks, and green space such as upgrades at Dees Park. Water and sewer upgrades are funded separately.
Why It Matters for Homeowners and Buyers
Most Burgaw homeowners aren’t affected
The MSD applies only to properties inside the downtown district. If your home is in one of Burgaw’s residential neighborhoods outside that boundary, your bill isn’t changing because of this tax. If you own or are looking at a property right around the square, it’s worth confirming whether the parcel falls inside the district. The town and the Pender County tax office can tell you.
The cost is small, and the money stays downtown
At 10 cents per $100, a downtown parcel assessed at $200,000 would owe about $200 a year in MSD tax. That’s simple math on the published rate, not a quote for any specific property. Because the revenue is restricted to the district, owners can expect to see it show up in things like sidewalks, streetscape, and park improvements rather than disappearing into a general budget.
Watch the 2027 revaluation
Here’s the part that stands out. WilmingtonBiz noted that Pender County’s reappraised values, which take effect in fiscal 2027-28, would raise the district’s taxable value from about $7.8 million to about $16.2 million. At the same rate, that would generate roughly $16,000 a year. For individual owners, a higher assessment means a higher MSD bill unless the town adjusts the rate. If you’re buying downtown, factor in that your future tax bill may look different from the seller’s current one. Pender’s revaluation has also been in the news statewide, so it’s smart to keep an eye on how the timing shakes out.
Downtown Burgaw’s Momentum
The tax is a bet on a downtown that’s already working. WilmingtonBiz pointed to newer restaurants like Patty’s Place and Juniors Deli joining longtime favorites such as Burgaw Brewery and Fat Daddy’s Pizza, plus the draw of the N.C. Blueberry Festival and other seasonal events. The mayor said there are relatively few vacant storefronts, which has made parking a real challenge. One local business owner quoted in the story suggested the downtown could eventually add a lot more parking through land purchases, town-owned property, or parking decks, though nothing like that has been approved.
The courthouse is a big part of the picture, too. It anchors daily foot traffic downtown, and the article mentioned recent HVAC trouble at the historic building. Long-term plans for the courthouse will shape how busy the square stays.
You can see the community side of all this this weekend. WWAY reported on Oct. 20 that Halloween on the Square Trunk-or-Treat runs from 4 to 8 p.m. on Saturday, Oct. 31, around the courthouse square. The town has announced that parts of Wright Street and Fremont Street will close from 5 a.m. until about 9 p.m. that day, according to WWAY on Oct. 27.
Thinking About Buying in or Near Burgaw?
Burgaw appeals to buyers who want a real small-town center, more land, and a calmer pace while still being a reasonable drive from Wilmington via I-40. A few tips if you’re looking:
- Check the parcel’s tax districts. Ask whether a property is in the downtown MSD and what the combined town, county, and district rates are.
- Look at flood information. Parts of Pender County sit near creeks and the Northeast Cape Fear River. Review the FEMA flood map and ask about insurance quotes early.
- Think about walkability. Homes within an easy walk of the square get you festivals, restaurants, and events right outside your door, along with event-day traffic and parking.
- Plan for the revaluation. Budget with the possibility that assessments change when Pender’s new values take effect.
Thinking About Selling?
An active downtown is a selling point. If your home is close to the square, lean into it in your marketing: the events, the restaurants, and the investment the town is making in sidewalks and parks. Be ready to answer buyer questions about the MSD and the coming revaluation, since being upfront builds trust.
FAQ
Does the Burgaw MSD tax apply to my whole town tax bill?
No. It’s an extra rate of 10 cents per $100 that applies only to properties inside the downtown district, on top of regular town and county taxes.
What will the money be used for?
The mayor has pointed to roads, sidewalks, and green space such as Dees Park. The revenue is restricted to capital improvements and long-range needs that benefit the district. Water and sewer have separate funding.
Will the tax go up after Pender County’s revaluation?
The rate stays the same unless the town changes it, but higher assessed values would mean higher bills. WilmingtonBiz reported the district’s total revenue would roughly double to about $16,000 a year under the new values.
How do I find out if a property is in the district?
Contact the Town of Burgaw or the Pender County tax office with the parcel address or ID, or ask your agent to confirm it before you make an offer.
Talk to a Local Team
Whether you’re drawn to a historic home near the courthouse square or a few acres outside town, we can help you sort out taxes, flood zones, and what’s coming next for Burgaw. Reach out to Aspyre Collective and let’s talk about your plans in Pender County.
