The Trump Administration’s proposed tax reform bill would kill off tax credits aimed at restoration of historic properties.
Historic tax credits provide a 20% discount to developers who redevelop properties on the historic register and a 10% discount to developers who revitalize old properties not listed on the register. Real estate professionals note that these tax credits offer incentives for preservation and revitalization of neighborhoods and spur economic development.
The tax incentives apply to total project costs, both hard and soft, including fees for designers and structural engineers. Renovation of historic properties is often more expensive than demolishing them and building new. So, the elimination of historic tax credits could result in fewer historic structures being preserved.
In addition, many contend that preserving an existing building is a more sustainable strategy that demolition and rebuilding. Thus, the loss of the tax credit is also at odds with greening the built environment, advocates point out.
Related Stories
Codes and Standards | Oct 5, 2016
New York becomes the first city to adopt a target for energy storage
Mayor de Blasio also announces increased solar generation goals
Codes and Standards | Oct 4, 2016
New global residential floor space measurement standard unveiled
The new standards will produce better transparency and are said to benefit investors.
Codes and Standards | Sep 29, 2016
Dept. of Energy forecasts big jump in LED use, resulting energy savings
Big gains are expected in both commercial and residential markets.
Codes and Standards | Sep 28, 2016
San Francisco commercial, multifamily regulations aim to reduce traffic volume
City planners will require design features to cut miles driven.
Codes and Standards | Sep 28, 2016
Society of Landscape Architects releases guide to resilient design
The goal is to retrofit communities to better withstand extreme weather events.
Codes and Standards | Sep 26, 2016
Washington State Energy Code updates include dedicated outdoor air system requirements
The updates will change design approach to HVAC.
Codes and Standards | Sep 22, 2016
Construction firms pulling back from federal market due to new reporting rules
‘Subjective, very vague’ policies are said to create too much risk.
Codes and Standards | Sep 21, 2016
Airbnb presents legal liability for multifamily owners
How building owners can reduce risks.
Codes and Standards | Sep 21, 2016
Healthy buildings becoming a key design priority for both architects and building owners
Nationwide survey finds nearly three of four architects cite health impacts influencing design decisions
Data Centers | Sep 19, 2016
New ANSI/ASHRAE data center standard is performance-based, more flexible
The aim of the standard was to ‘not stifle innovation.’