Why historic preservation tax credits work so well
Quote:
Consider these facts about Michigan's Historic Preservation Tax Credit:
• It creates jobs. Rehabilitation projects financed with help from Michigan's state tax credit have created 36,000 jobs, many of them in the struggling construction industry.
• It is cost-efficient. Every dollar of tax credits leverages $11.37 in private investment -- offering taxpayers one of the best dollar-for-dollar returns on investment of any state program. Moreover, since these credits are issued only after the project is completed, tax revenue and job creation impact is obtained before any taxpayer money is spent.
• It leverages federal dollars. Michigan historic rehab projects totaling $1.46 billion in costs have attracted $251 million in federal historic tax credits to the state. federal dollars that are fueling Michigan's economy.
• It returns underutilized and vacant real estate to state and local tax rolls. The credit fills a gap not offered by any other type of financing, often making the difference between economic vitality and continued blight. The Merchant's Row project on Woodward Avenue is one example. Thanks to the credit's financing, five vacant, historic buildings were converted to 150 loft-style apartments, bringing foot traffic, $58.8 million in total economic impact and 1,471 jobs to the area.
• It's good for tourism. Unique historic and cultural sites, authentic downtowns and interesting arts venues such as Mackinac Island, Saugatuck/Douglas and Holland draw millions of visitors to the state, in addition to attracting potential residents and businesses.
http://www.freep.com/article/20110414/OPINION05/104140406/0/7daysarchives/Why-historic-preservation-tax-credits-work-well?odyssey=nav|head
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Speaking of historical tax credits, does anyone know if they are back in Snyder's budget?
Crews break ground on $53M Broderick Tower renovation
And as a follow up, look what is posted at detroitnews.com today [[see below). Never mind that without HP tax credits, THIS project would NOT be happening. at all. period. the end.
April 18. 2011 2:52PM
Crews break ground on $53M Broderick Tower renovation
Louis Aguilar / The Detroit News
The long-awaited groundbreaking of the $53 million renovation of the Broderick Tower, the 34-story building in downtown Detroit's Grand Circus Park that's been empty since 1985, happened this morning.
Many Detroit Tigers fans know the Broderick Tower, designed by Louis Kamper, as the big blighted building that can be seen from the seats inside Comerica Park.
http://b.scorecardresearch.com/p?c1=...&rn=1840766529
If things go as planned, apartment dwellers within Broderick will be able to take advantage of the building's commanding view of Comerica Park. Plans call for 127 apartment units, including two-story units that may fetch up to $2,700 a month in rent, according to Motown Construction Partners LLC, which owns the building.
The low end would be $600-a-month studios.
The ground floor is set to be a sports bar. A group called Invest Detroit will set up shop on the second and third floors.
laguilar@detnews.com