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Thanks to a variety of aggressive incentive programs, more and more leading developers are finding the downtown residential market to be a highly attractive environment for private investment.
The City of Columbus and its development partners - Columbus Downtown Development Corporation and Capitol South Community Urban Redevelopment Corporation - have created a menu of incentives to accelerate the creation of more downtown housing, including:
- as-of-right property tax abatements
- low-cost financing
- cost reduction incentives
- street and sidewalk improvement funding
75-100% residential property tax abatement |
| description: |
As-of-right real estate tax abatement for downtown housing projects. Amount varies according to location and type of housing. |
| use: |
To close the gap between the development cost and the rental/sales value of downtown housing. |
| contact: |
Audrea Hickman
City of Columbus Downtown Development Office
(614) 645-0661
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The residential tax incentive generally provides a 10-year, 75% property tax exemption for new or rehabilitated residential housing in the Downtown Columbus area through the creation of the Columbus Downtown Residential Community Reinvestment Area (CRA).
In addition, the ordinance creates higher levels of incentives for Affordable Housing, Student Housing, Redevelopment Housing, Targeted Area Housing, and Residential Remodeling as follows:
Housing Classification |
Amount |
Term |
| Affordable Housing |
100% |
15 years (new) |
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12 years (renovate 3+ units) |
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10 years (renovate 1-2 units) |
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| Student Housing |
100% |
10 years |
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| Redevelopment Housing |
100% |
10 years |
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| Targeted Area Housing |
100% |
10 years |
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Residential Remodel
project of two units or less and remodeling cost of at least $2,500 |
100% |
10 years |
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Residential Remodel
project of more than two units and remodeling cost of at least $5,000 |
100% |
10 years |
The levels of incentives described above are net effective levels of exemption arrived at by generally applying 100% exemptions coupled with offsetting payments in lieu of taxes ("PILOT's") by the property owners. PILOT's are generally payable to the Columbus City Schools.
Related commercial use improvements, such as street level retail in a multi-story residential structure, will receive the same level of incentive as the residential improvement in that structure if those improvements do not exceed one-third of the gross square footage of the structure. No incentives are provided for commercial use improvements where they exceed one-third of the gross square footage of the structure.
The Director of Development acting as the City's designated "Housing Officer" will award these real property tax exemption incentives to the eligible projects described above. No additional action by council.
Columbus Downtown Housing Investment Funds |
| description: |
Low-cost, short-term, and long-term gap financing for downtown housing projects |
| use: |
To fund acquisition, construction, and development costs of downtown housing projects |
| contact: |
Matt Lutz
Columbus Downtown Development Corporation
(614) 545-5275
info@downtowncolumbus.com
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Utility tap fee credits |
| description: |
Full credit for existing water and sewer taps provided by the City of Columbus |
| use: |
To reduce upfront infrastructure costs for new-build and renovation projects throughout Columbus. |
| contact: |
Tom Heaphey
City of Columbus Downtown Development Office
(614) 645-7067
info@downtowncolumbus.com |
Street and sidewalk improvement funding |
| description: |
Funding of street and sidewalk improvements available from the City of Columbus. |
| use: |
To enhance the curb appeal of new residential units for downtown commercial and residential developers. |
| contact: |
Steve Cochrun
City of Columbus Downtown Development Office
(614) 645-6305
info@downtowncolumbus.com |
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