DOWNTOWN RESIDENTIAL DEVELOPMENT INCENTIVES

The City of Knoxville wants more people to live downtown - while preserving our beautiful historic buildings. So we've created the CityLife Incentives program, which provides financial incentives for developers and owners to create residential units in downtown historical districts. What's more, the city is committed to helping developers and owners ensure their projects qualify for the CityLife Incentives program, and to making the process as easy as possible.

Incentives: * Tax abatement through a Payment In Lieu Of Taxes (PILOT) program Residential development projects meeting the criteria will be eligible for a "tax-freeze" for a period between five and ten years, based on need and the projects cash flow. This financial incentive requires a "title transfer" and is administered through Knoxville's Industrial Development Board (IDB). * Low-interest loans through a revolving fund A low-interest construction loan, based on the amount of historic tax credits expected (up to 20% of the total rehabilitation cost), is available to qualified developers. This financial incentive will defray some of the costs associated with the preservation of older buildings and the conversion of such buildings to quality residential units. First Tennessee Bank, in collaboration with several other local banks, will facilitate the loans. * Parking assistance The city will offer a residential parking program through the Central Business Improvement District (CBID). Through this permit program, downtown residents will have special access to on-street parking on dedicated downtown streets. In addition, the City currently offers a "residential rate" at city-owned parking garages. Applications and program rules are available HERE. * Minimum charges for plans review and permitting Residential projects within downtown historic districts will be charged the minimum fee for plans review (building, fire, gas and mechanical, and plumbing) and inspections. Review criteria: * Creditworthiness of the owner/developer * Viability of the project * Track record/experience of the developer * Need for assistance * Impact on downtown * Preservation significance of the development Qualifications: *Projects must yield 10 or more residential units *Properties must be listed on the National Register of Historic Places *Projects must be located downtown More Info: Call Dr. Bill Lyons, senior Director of Policy Development at 865-215-2029 or send E-mail to citylife@cityofknoxville.org to find out more about the CityLife Incentives program.