Bill Would Create Tax Credit to Convert ‘Obsolete’ Office Buildings into Residential, Institutional, Hotel or Mixed-Use Properties

Thursday, July 29, 2021 - 10:00AM

Legislators in both houses of Congress this week introduced a bill to create a tax credit to convert unused office buildings into residential, institutional, hotel or mixed-use properties. The Revitalizing Downtowns Act (S. 2511) would create a 20% tax credit for expenses to convert obsolete office buildings, which are structures that are at least 25 years old. Residential conversions would require at least 20% of the units to be dedicated to affordable housing. Bill sponsors–Sens. Debbie Stabenow, D-Michigan, and Gary Peters, D-Michigan; Reps. Jimmy Gomez, D-California, Dan Kildee, D-Michigan and John Larsen, D-Connecticut–noted a decrease in the use of office space in the wake of the COVID-19 pandemic and rise of remote work.

The effect of the pandemic on housing, community development and historic preservation will be the subject at each of Novogradac’s fall conferences.

Learn more about Novogradac's expertise and many services