This tax credit fueled downtown Durham’s renaissance. Congress wants to kill it
Without tax breaks, downtown Durham’s renaissance, with its swanky hotels and new skyscrapers, possibly wouldn’t have happened.
Yet, one of the main tax breaks used in Durham’s redevelopment could be facing the chopping block if the U.S. House of Representatives tax reform bill makes it to President Donald Trump’s desk for a signature.
The House GOP’s tax plan would eliminate federal investment tax credits for historic preservation projects as part of the Republican-led attempt to simplify the country’s tax code.
The potential elimination of the the historic tax credit quickly was met with dismay from preservation groups across the country and from some politicians.
“At a time when federal funding for infrastructure and housing is continually squeezed, the last thing Congress should do is push through a flawed tax plan that would hurt working families, hamstring our state and local governments, and destroy our ability to leverage private investment for projects that benefit the public,” said U.S. Rep. David Price, a Democrat from Chapel Hill.
As of the end of 2016, three of the 10 biggest historic tax rehabilitation projects across the state of North Carolina were in downtown Durham, according to Downtown Durham Inc. Others in North Carolina include Asheville’s Grove Arcade and Winston-Salem’s Reynolds Building.
The three largest projects in Durham were the American Tobacco Campus, which cost $167 million, the $81 million redevelopment of the old Liggett & Myers tobacco factory and the $38 million transformation of the Hill building into the 21C Museum Hotel.
(The Herald Sun, 11/14/17)