VACANT PROPERTY INCENTIVE
Our vacant property incentive is designed to entice developers and real estate investors to convert vacant, historic buildings into move-in ready, quality commercial space (office and retail) for prospective businesses. In return, we pledge 50% of the payroll tax from any new tenant to Covington the developer attracts for 5 years (or 25% for an existing Covington tenant.
FAÇADE IMPROVEMENT FORGIVABLE LOAN
Part of our Small Business Program, the façade improvement incentive offers commercial property owners a 50% matching forgivable loan (up to $6,000) to update their commercial building’s façade. It’s the perfect way to update lighting, windows, painting, signage, and other exterior building improvements visible from the street.
TAX INCREMENT FINANCING (TIF)
This designated fund (financed by the dedication of incremental increases in district-wide property and payroll tax revenue) can be used to offset some eligible public infrastructure costs barriers associated with office, mixed-use, or residential new-construction or rehabilitation developments located in our downtown TIF district.
INDUSTRIAL REVENUE BOND
An industrial revenue bond is an economic development tool that provides upfront capital to close a funding gap in large-scale (usually $10 MM+) real estate developments that will help the City attract significant capital investment, jobs, and/or increase the City’s tax base. It acts similar to a property tax abatement by artificially keeping property taxes low over the incentive period.
CDBG UPPER FLOOR REHAB FORGIVABLE LOAN
Provides eligible property owners up to $20,000 per unit for the redevelopment of vacant upper floor space to build Covington’s inventory of quality affordable housing. This incentive is available to assist owners of mixed-use buildings.
PACE is a simple and effective way to finance energy efficiency and renewable energy building improvements. PACE provides financing for 100% of an energy project’s, and is repaid for up to 25 years with a voluntary special assessment added to the property’s tax bill. To learn more, visit kypace.org