FAQ

Getting started begins with identifying a building of interest. This may be a vacant or underutilized historic structure, or a property you already own that may qualify for historic designation.
Once a building is identified, the next steps typically include:
-Confirming historic eligibility
-Evaluating project feasibility
-Assembling the right professional team
Early guidance is critical, as decisions made at the acquisition stage can significantly impact project success.

As a general rule, historic tax credit projects typically require approximately 15% of the total project cost as equity.
The remaining portion of the project is commonly funded through:
-Tax credit equity
-Construction financing
-Other incentives or grants
Historic tax credits are designed to reduce the overall capital burden, not increase it.

Yes. In many cases, investors contribute all or a portion of the required equity.
These investors typically:
-Become partners in the project
-Participate through structured ownership or tax credit syndication
-Receive returns based on the project’s financial structure
Investor participation is a common and well-established component of historic tax credit development.

Project timelines vary depending on size, condition, and scope of work.
Most historic tax credit projects take between 1 and 3 years from acquisition to completion. Factors that influence timeline include:
-Amount of demolition required
-Complexity of the rehabilitation
-Approval and review processes
-Construction scale
Proper planning helps keep projects predictable and on schedule.

Historic tax credit projects are often perceived as difficult, but the process itself is structured and well-defined.
With experienced guidance, the steps are:
-Logical
-Documented
-Repeatable
The difficulty most people associate with these projects usually comes from misinformation, not reality.

Historic tax credits exist specifically to make challenging redevelopment projects financially viable.
When structured correctly, they can:
-Improve project returns
-Reduce overall risk
-Attract investor participation
-Enable projects that otherwise would not pencil
Profitability depends on execution; not the existence of the credit itself.

Eligible buildings generally include properties with historic or architectural significance, such as:
-Former factories or warehouses
-Historic hotels
-Old schools or churches
-Downtown commercial buildings
-Apartment buildings with historic designation
Each project must meet specific eligibility requirements before credits can be issued.

Yes. Historic tax credits are frequently combined with:
-State historic tax credits
-Affordable housing incentives
-Local grants or abatements
-Other development programs
Layering incentives is common and often improves project feasibility.

No. Many investors participate in historic tax credit projects without prior development experience.
What matters most is:
-Proper project structure
-Experienced partners
-Professional oversight
This is why team selection is critical in historic development.

Historic tax credit projects:
-Preserve important buildings
-Reduce blight
-Create housing
-Strengthen local economies
They allow communities to retain their architectural identity while adapting buildings for modern use—often delivering affordable and workforce housing in the process.

Yes. An owner can serve as both the developer and the general contractor on a historic tax credit project.
This structure is allowed and is sometimes beneficial, particularly when the owner has construction experience or wants greater control over:
-Project costs
-Construction quality
-Schedule and sequencing
-Compliance with historic preservation standards
When structured properly and supported by the right professional team, this approach can increase efficiency and alignment throughout the project.