There are numerous incentives available for property owners to develop and maintain buildings located in Hammond’s Historic District. State and Federal Historic Tax Credits are available for qualifying projects. The Hammond Historic District is also part of Hammond’s Downtown Development District (DDD). This means there are additional funding opportunities available such as a Façade Grant Program and a Revolving Loan Program. All of these options encourage renovation and improvement of the Historic District’s existing buildings as well as promoting and encouraging new business and development.
Historic Rehabilitation Tax Credits
Tax credits encourage the preservation and continued use of historic buildings by offering economic incentives for their rehabilitation. There are two rehabilitation tax credit programs administered by the Louisiana Division of Historic Preservation for income-producing buildings: the Federal Historic Rehabilitation Tax Credit Program and the State Commercial Tax Credit Program.
Federal Historic Rehabilitation Tax Credit Program:
The Federal 20% Historic Rehabilitation Tax Credit Program is jointly administered by the National Park Service and the Internal Revenue Service. The Louisiana Division of Historic Preservation acts as an applicant's first point of contact when pursuing historic tax credits. The credit is available for those income-producing buildings that are individually listed in the National Register of Historic Places or are contributing elements to National Register Historic Districts. Rehabilitation projects must be substantial; that is, the qualified rehabilitation expenses must exceed the value of the historic building. All projects must be completed according to the Secretary of the Interior's Standards for Rehabilitation, and buildings must be retained for five years to receive the full value of the credit. For further information please visit the LA State Historic Preservation Office Website.
State Commercial Tax Credit Program:
The 20% State Commercial Tax Credit Program is jointly administered by the Louisiana Division of Historic Preservation and the Louisiana Department of Revenue. The Louisiana Division of Historic Preservation acts as an applicant's first point of contact and reviews applications for compliance with the Secretary of the Interior's Standards for Rehabilitation; the Louisiana Department of Revenue reviews project costs. The credit is available for those income-producing buildings that are contributing elements to Downtown Development Districts or certified Cultural Districts. For further information please visit the LA State Historic Preservation Office Website.
If you plan to renovate the exterior of your building including: renovations to the building front, awnings, painting or lighting, the Façade Grant program may be right for you. The Façade Grant awards are not to exceed $2,000 and must be matched dollar for dollar by the recipient. Only one application per fiscal year, work must be finished to apply. Façade Grants are not awarded for signage.
In 2018 The DDD distributed $6,815 in Façade Grants.
*Please note that all applications must have Historic District or DDD Design Committee approval to be eligible for funding.*
The Downtown Development District (DDD) offers a low interest loan to property owners and business owners in our District for up to $75,000 with an interest rate of 2 below prime. Applicants for the loan fund must be a registered sole proprietorship, partnership or corporation established for doing business in the DDD. Renovations are not limited to façade only, eligible projects include: acquisition of land for industrial or commercial use, acquisition of improved properties with development potential for industrial or commercial use limited to owner or tenant occupancy, start-up and/or expansion of businesses in the DDD, rehabilitation and renovation of usable vacant buildings for specific industrial or commercial use in the DDD. In 2018, the DDD distributed $249,196 in Revolving Loan funds.
If you are interested in applying for a revolving loan, please contact the DDD.
State Redevelopment Incentive Grants
Louisiana Main Street Redevelopment Incentive Grants provide matching funds to encourage the revitalization of historic downtown commercial properties in designated Main Street districts. The Incentive Grants serve efforts to promote community revitalization and stimulate economic growth and vitality- in addition to enriching cultural tourism. Community reinvestment utilizing historic preservation practices improves community economic health by fostering renewed interest in shopping, working, and living downtown.
Grant funding and the number of grants awarded are dependent on state budgets and the amount of funding appropriated by the legislature each year.
Information and deadlines to apply are available through the DDD. Currently, the state is not accepting applications for this grant.