Developers eyeing projects in Tacoma are invited to apply for Tacomas Commercial Revitalization Deduction (CRD) allocation. The $12 million allocation of federal tax deductions will be distributed among projects located in the Renewal Community Zonean area that covers most of Tacomas downtown core, the Port area, Upper Tacoma and a portion of the citys East side.
To qualify, projects must be new construction or a substantially rehabilitated structure and must create space for new jobs. The maximum allocation per project is $10 million. Some projects may be eligible for an accelerated depreciation schedule, resulting in a reduced federal tax bill. The financial benefits come early in the development process when projects incur the most expenses which increases likelihood of making a project pencil.
Tacoma receives the CRD allocation annually from the Department of Housing and Urban Development. It is an outcome of being named one of 28 national urban Renewal Communities in 2002. Theas Landing, Ted Brown Music Building, Albers Mill, Marriot Courtyard, Rainier Pacific, Fraternity Hall and the Shuffleboard Building are all projects that have been awarded CRD allocations. Previous CRD allocations have ranged from $450,000 to $10 million.
Applications are available at the Tacoma Economic Development Department, Municipal Building, 747 Market St., Room 900, from 8 a.m. to 5 p.m. Applications can also be requested from firstname.lastname@example.org or (253) 591-5208. Applications are due by 5 p.m. Nov. 10.
The state of Washington will announce Tacomas winning projects by the end of this year.