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Thursday, January 18, 2018

Financial Incentives for Landmarked Properties

There are some substantial financial incentives available to owners of historic properties. The following has been compiled by Meg Dunn, taken primarily from information posted to the City's Historic Preservation department page on the City website.

FOUR TYPES OF FINANCIAL INCENTIVES FOR OLDER HOMES


Design Assistance Program (For property owners of any house in Old Town.)
The Design Assistance Program helps property owners minimize the impacts of additions, alterations, and new construction on neighbors and on the overall historic character of Fort Collins. The City program provides a grant of up to $2,000/per year to pay for design assistance for projects that impact a building’s exterior. The program enables and encourages owners to utilize the expertise of qualified consultants (architects, builders, etc. with documented experience in compatible historic design) to help prepare plans for new construction, alterations, and project planning.

Landmark Rehabilitation 0% Interest Loans (For locally landmarked properties and properties that contribute to a historic district.)
The City will loan a property owner a zero interest loan in the maximum amount of $7,500 per project per property in a single year. There is no minimum loan amount nor an application fee but the property owner must match the loan with a minimum cash match of 50% of the total project cost, (i.e. project must cost at least $15,000 to receive the full $7,500 loan). The goal of the loan program is to improve the quality and integrity of designated historic resources in Fort Collins. Since historic buildings represent a source of pride for the community, a high standard of rehabilitation is expected of these structures. Every project is reviewed using the U.S. Secretary of the Interior's Standards for Rehabilitation to ensure high quality and workmanship. Ordinary maintenance items, such as painting or replacement of a roof with asphalt shingles, are typically not funded through this program. The program provides 0% interest loan funds to residential and non-residential historic properties. Loan funds are repaid to the City only through the sale or transfer of the property. Funds returned to the City are recycled back into the program, providing an ongoing source of dollars for additional projects. 
Learn more at: https://www.fcgov.com/historicpreservation/landmark-rehabilitation.php

Colorado State Tax Credits (For locally landmarked or State or National Register properties or properties that contribute to a historic district.)
The State has a variety of dollar-for-dollar state income tax credits for work on both the interior and exterior of designated resources. Any unused credit may be carried forward for ten years.
·      A 20% state tax credit for the rehabilitation of historic, owner-occupied residences
·      A 20% -30% state tax credit for the rehabilitation of historic buildings used for income-producing purposes.
Learn more at: http://legacy.historycolorado.org/oahp/preservation-tax-credits

Federal Tax Credits (For locally landmarked or State or National Register commercial properties or commercial properties that contribute to a historic district.) Federal tax credits can be used in addition to state tax credits for eligible properties. 
·      A 10% federal tax credit for the rehabilitation of older, non-historic commercial properties
·      A 20% federal tax credit for the rehabilitation of certified historic buildings used for income-producing purposes
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Learn more at: https://www.nps.gov/tps/tax-incentives.htm

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