GREEN COVE SPRINGS – The value of Peter Swanson’s property on the 100 block of Lewis Drive, along the St. Johns River, plummeted by nearly 20 percent because of weekend noise from the nearby Green Cove Dragway, according to the Clay County Property Appraiser's Office.

“The adjustment that was made to Mr. Swanson’s house was a result of what we call ‘external obsolescence,’ which means it’s a factor beyond the boundary of the property that has a negative influence,” Assistant Property Appraiser Tracy Drake told Clay Today. “For example, with the noise from the drag strip, in our opinion it does have an impact on how buyers and sellers would behave within that market.”

Drake went on to say the appraiser’s office will evaluate whether adjustments are appropriate for other properties in the area in 2017.

“We were aware there was a drag strip and that there were some issues,” Drake said. “We were not aware of the significance until Mr. Swanson brought this to our attention.”

Swanson, who has been outspoken in his opposition to the drag-racing strip, mailed a petition on Aug. 18 for a reduced assessment to lower his property-tax rate. On Sept. 21, after a physical inspection of the property, the Clay County Value Adjustment Board reassessed its value from $316,319 to $256,721, which dropped his annual tax bill approximately $1,100.

If other property owners near the dragway receive similar reductions, it could mean thousands, and potentially millions, of dollars in lost property tax revenue for the City of Green Cove Springs as well as the county each year. The 2016 deadline for a petition for re-appraisal passed on Sept. 12, but owners can file for a new assessment next year.

“I don’t think you have to be an appraiser to realize that noise travels beyond Mr. Swanson’s house,” Drake said. “What we’re going to do as an as office is continue to review the information and determine if additional adjustments are warranted for the 2017 assessment roll.”

He added that the property appraiser’s office will contact the City of Green Cove Springs for decibel readings of the track noise and a list of homeowners who have made complaints.

“We’d rather pay the tax and not have the noise,” Swanson said. “What we really hope is that, in the words of the appraisers, the noise problem can be ‘cured’ and we will go back to paying the higher rate. This isn’t about saving money. It’s about quality of life.”

The dragway is located at Reynolds Park, a two-and-a-half mile drive from Swanson’s home, or about two miles ‘as the crow flies.’

A minimum of 70 homes in the area may be affected by noise from the track, although the number is likely double that amount or possibly well higher, based on locations of residents who have complained. Determining how many properties in the community are affected will be part of the investigation by the property appraiser's office.

In that 70-home swath near the dragway – on both sides of St. Johns Avenue, then shifting to Myrtle Street at the point where St. Johns Avenue moves away from the water, and stopping at Walburg Street – home values could drop by approximately $3.5 million, based on the adjustment rate to Swanson’s property. Many of those 70 homes are within 500 feet of the river.

“In all the research I’ve done, dragways and residences don’t usually complement each other,” said Green Cove Springs Mayor Pam Lewis, who has a home in the dragway area. “Historically, when residents are in a certain community or move to a certain community, they don’t like it to be super-noisy, and ultimately the dragway ends up moving.”

Clay County Sheriff Rick Beseler is among the public officials who also have property in the neighborhood, which includes homes that currently exceed $600,000 in value. Beseler’s property value could drop by $152,607, and the Lewis property could decrease by $136,419.

Green Cove Dragway has been operating under a ‘temporary event’ permit since its start about three years ago, despite running on weekends virtually year-round. Last month, the Green Cove Springs City Council voted 5-0 to extend that permit until May, instead of shutting down the track, and then examine whether to grant a “permanent business” permit to the raceway.

However, the track hasn't always been in compliance with the temporary event permit, which includes noise ordinances and other city codes. At times, Green Cove Dragway has exceeded the 55-decibel limit and committed other violations. At the contentious special session Sept. 6, track owner Peter Scalzo, of Sarasota, announced that he would eliminate Friday night racing on a short-term basis and end all events by 10 p.m. on Saturdays, in a show of good faith and an effort to come into compliance.

Regulations for a permanent business would be more stringent than for the current temporary permit.

Email Christiaan DeFranco at chris@opcfla.com. Follow him on Twitter @cdefranco.