Eagan’s median commercial property tax rate was 1.7% in fiscal year 2025, placing it seventh among Dakota County cities, according to BlockShopper.com.
The county’s median tax rate in fiscal year 2025 was 1.8%, making Eagan’s rate 0.1 percentage points below the countywide figure.
Farmington matched the county median that year, reporting a 1.8% median rate.
Of the 13 cities in Dakota County, tax rates ranged from 1% in South St. Paul up to 3.2% in Rosemount.
The median commercial property tax rate in Eagan during fiscal year 2024 was 2.2%, when the city ranked first in the county.
Commercial property tax rates averaged 1.76% across 53 major U.S. cities in 2024, according to research from the Lincoln Institute of Land Policy. Their analysis indicates a $1 million property with $200,000 in fixtures would face about $21,060 in yearly taxes. Rates in major cities ranged significantly, some below 1% and others reaching as high as 4%.
Classified property taxation frequently means that commercial, industrial, and apartment buildings are subject to higher effective property tax rates than homes in many states. In certain areas, business properties are taxed at several times the rate of residential real estate. For instance, the rate in Charleston can be roughly sixfold higher.
| Rank | City | Tax Rate % |
|---|---|---|
| 1 | Rosemount | 3.2% |
| 2 | West St. Paul | 2.3% |
| 3 | Lilydale | 2.2% |
| 4 | Lakeville | 2.1% |
| 5 | Burnsville | 2% |
| 6 | Apple Valley | 1.9% |
| 7 | Eagan | 1.7% |
| 7 | Farmington | 1.7% |
| 9 | Inver Grove Heights | 1.5% |
| 10 | Hastings | 1.4% |
| 11 | Mendota Heights | 1.2% |
| 12 | Hampton | 1.1% |
| 13 | South St. Paul | 1% |
| Rank | Address | Tax Rate % |
|---|---|---|
| 1 | 1915 Plaza Drive | 2.9% |
| 2 | 3207 Sibley Memorial Highway | 2.6% |
| 3 | 4510 Erin Drive | 2.2% |
| 3 | 3711 Kennebec Drive | 2.2% |
| 5 | 1279 Town Centre Drive | 1.7% |
| 5 | 3275 Sun Drive | 1.7% |
| 7 | 1971 Seneca Road | 1.6% |
| 8 | 1335 Town Centre Drive | 1.5% |
| 9 | 3401 Highway 55 | 1.1% |
| 10 | 1340 Town Centre Drive | 0.8% |
Note: Some property addresses may be incomplete or missing due to limitations in county assessor data.
Information for this report came from BlockShopper.com. The original data can be found here.