A law passed earlier this year by the Washington State Legislature allows developers to defer sales and use taxes if they convert existing structures, including office buildings, into affordable housing.
The law passed almost unanimously in the legislature. The state’s Department of Revenue has said that it expects to have preliminary guidance for local jurisdictions in August. Cities could launch a tax deferment program for conversions after that.
Cities and towns will be able to issue their own resolutions for sales and use tax deferrals, but they will have to follow the guidance from the Department of Revenue. To receive a deferral, a project must consist of multifamily housing units with at least 10% considered affordable, and a project must be located on what the city considers underutilized commercial property.
If a project retains those qualifications for at least 10 years, owners would not have to repay sales and use taxes. City councils in Seattle and Spokane have already indicated support for the new law.
Related Stories
Education Facilities | Jan 8, 2018
Three former school buildings are repurposed to create mini-campus for teacher education
The $25.3 million project is currently under construction on the Winona State University campus.
Adaptive Reuse | Jan 4, 2018
Student housing development on Chapman University campus includes adaptive reuse of 1918 packing house
The Packing House was originally built for the Santiago Orange Growers Association.
Adaptive Reuse | Dec 11, 2017
Detroit's economic improvement a boon to its hotel sector
Detroit Foundation, a stylish boutique hotel, is the Motor City’s newest hospitality venue.
Adaptive Reuse | Nov 29, 2017
‘Eat-ertainment’ establishment grants abandoned air traffic control building a second life
The concept’s design reflects the golden age of flight.
Adaptive Reuse | Nov 10, 2017
Austin’s first indoor shopping mall becomes Austin Community College’s new digital media center
Renovation of the defunct mall represents Phase 2 of ACC’s $100 million adaptive reuse project.
Adaptive Reuse | Oct 23, 2017
A tableware storage space is reset to accommodate an investment firm’s headquarters in Raleigh, N.C.
This adaptive reuse establishes more direct visual and physical connections to a growing city.
Adaptive Reuse | Oct 5, 2017
Wexford’s latest innovation center breaks ground in Providence
The campus is expected to include an Aloft hotel.
Office Buildings | Jun 13, 2017
WeWork takes on a construction management app provider
Fieldlens helps turn jobsites into social networks.
Office Buildings | Mar 27, 2017
New York warehouse to become an office mixing industrial and modern aesthetics
The building is located in West Chelsea between the High Line and West Street.
Adaptive Reuse | Nov 9, 2016
Middle school transformed into affordable housing for seniors
The project received $3.8 million in public financing in exchange for constructing units for residents earning less than 60 percent of the area’s median income.
