Close of Applications for Historic Preservation Tax Credit Program (round three)

Lisa Patt-McDaniel, Director of the Ohio Department of Development announced today that the application submission period for the Ohio Historic Preservation Tax Credit program has closed. Fifty-five applications from 14 cities were submitted for Round 3 of the Ohio Historic Preservation Tax Credit program. Applicants were required to submit their applications by September 30th to be considered. The applications collectively represent more than $375 million in planned investments throughout the state and have requested more than $56 million in tax credit awards.

“From our great historic downtowns like Piqua, to unique urban neighborhoods like Over-the-Rhine in Cincinnati, and historic streets like Euclid Avenue in Cleveland; Ohio has great urban places,” said Patt-McDaniel. “The Ohio Historic Preservation Tax Credit program provides the state with an extraordinary opportunity to leverage our focused urban infrastructure and historic assets to create a long term competitive advantage in attracting the growing market of people who desire to live in our urban places.”

The Ohio Historic Preservation Tax Credit program is part of the Ohio Bipartisan Job Stimulus Plan, which creates new jobs while laying the foundation for future economic prosperity. In the Job Stimulus Plan $120 million was set aside for Ohio Historic Preservation Tax Credits. In October 2008, 48 applicants were approved for a total of $78.2 million in tax credits. The remaining $41.8 million in tax credits from the Ohio Bipartisan Job Stimulus Plan will be available in Round 3 (currently $17.5 million) and Round 4 (currently $24.3 million). Round 4 begins on January 1, 2010.

The Ohio Department of Development, in partnership with the Ohio Historical Society and Ohio Department of Taxation, will review all eligible applications and announce approved applications for Round 3 funding by December 31, 2009.

About the Ohio Historic Preservation Tax Credit program

The Ohio Historic Preservation Tax Credit program provides a tax credit for the rehabilitation expenses to owners of historically significant buildings. The program was enacted on December 13, 2006 by the General Assembly (Sub. H.B 149) and amended on June 12, 2008 by HB 554, the Ohio Bipartisan Job Stimulus Plan. The Ohio Department of Development through its Urban Development Division is responsible for administering the program in partnership with the Ohio Department of Taxation and the Ohio Historical Society.

The tax credit subsidizes 25 percent of qualified rehabilitation expenditures for historic rehabilitation projects. Qualified rehabilitation expenditures represent hard construction costs generally consisting of improvements made to the building structure and interior. The work must meet the U.S. Secretary of Interior’s Standards for Rehabilitation of Historic Properties. A building is eligible if it is individually listed on the National Register of Historic Places, is located in a registered historic district, and is certified by Ohio’s Preservation Officer as being of historic significance to the district, or is listed as a historic landmark by a certified local government.

To date, two rounds of applicants have been approved for $203 million dollars in tax credits to 89 applicants in 23 cities and are projected to leverage $1.1 billion in private redevelopment funding and federal tax credits.

For more information about the Ohio Historic Tax Credit program including the 2008 Annual Report and applications, visit development.ohio.gov.