Over the last decade, the Federal Historic Rehabilitation Tax Credit Program and the State Commercial Tax Credit Program have resulted in more than $3.7 billion worth of investments in Louisiana rehabilitation projects, according to Lt. Gov. Billy Nungesser’s office.
From 2009 until 2018, 1,012 rehabilitation projects in 34 of the state’s 64 parishes have used at least one of the tax credits, which aim to incentivize the preservation and continued use of historic buildings. Half of all projects receiving the credits were smaller than $500,000 in total costs.
“Louisiana is consistently one of the top 10 performing states in the nation, both for the number of historic rehabilitation projects completed and dollars leveraged,” says Kristin Sanders, assistant secretary for the Office of Cultural Development, in a prepared statement.
Both the federal and state historic tax credit are 20% of the qualifying rehabilitation expenditures. However, unless extended, the state tax credit will sunset Dec. 31, 2021.
Unlike most other state historic tax credit programs, which require a property be either individually listed on the National Register of Historic Places or a contributing building in a National Register Historic District, Louisiana’s credit is available to historic buildings that are at least 50 years old and located in either a Downtown Development District or a Certified Cultural District.
Currently, developers plan to use the credits for two Baton Rouge projects: The $10 million Electric Depot mixed-use development, as well as the redevelopment of the former Hotel Lincoln—both of which are located in the 60-block area of Downtown East recently designated as the Eddie Robinson Sr. Historic District on the National Register of Historic Places.