LANSING, MI – January 14, 2009 – (RealEstateRama) — The governor has signed legislation that beefs up the historic preservation tax credit and helps Michigan downtowns in their redevelopment efforts, said Sen. Jason Allen, R-Traverse City, chairman of the Senate Commerce and Tourism Committee.
The 37th District lawmaker joined Gov. Granholm and other officials at a bill-signing ceremony today at the Michigan Capitol.
According to the National Trust for Historic Preservation, more than half the states in the country have created credits against state taxes to provide incentives for the rehabilitation of historic buildings. The federal income tax credit is worth 20 percent of eligible costs.
Under Public Act 448 of 2008, formerly Senate Bill 973, additional funding would be available for rehabilitation projects here in Michigan.
“The new law’s emphasis will be on plans that cost $250,000 or less,” said Allen. “By helping these smaller projects, we can be an enormous help to the smaller downtowns across the state that want to preserve their past while steering toward the future.”
The measure is just the latest legislation to be signed in a downtown development package approved by both chambers. The bipartisan plan was designed after Allen and other committee members conducted several months of hearings throughout the state.
“Downtowns of all shapes and sizes play a key role in fostering new businesses, and the entrepreneurs looking at investing in our cities want to see development that allows for quality work life, family life and social life experiences,” Allen said. “Historic buildings can play a key role in this process, and this measure will help many communities reach their goals.”