Their plan would hike tax rates on commercial property for three years in a bid to balance the city budget without a sharp tax increase on residential taxpayers.

"This is a wise compromise, albeit a short term one," one advocate said. The commercial tax property ceiling will be raised more than 6 percent higher than the current limit. The post Mayor Wu, business leaders compromise on property tax hike appeared first on Boston.

Mayor Michelle Wu and business groups agreed on an updated tax proposal under which commercial property owners pay 181.5% of what residential owners pay.

While it suggested there was an end in sight to months of political infighting between Democrats on Beacon Hill and in City Hall, it won’t fix a foundational problem facing the city’s financial future,

With her existing proposal hung up on Beacon Hill, Boston Mayor Michelle Wu said Wednesday that she’s sending a new proposal to the State House that she believes will “stabilize property taxes and protect homeowners and renters from a dramatic spike.