income taxes for making qualified equity investments in designated community development entities (CDEs). In simplest terms, this program makes it attractive for investors to provide capital for community development projects in low income areas because they receive a federal tax credit. Without the incentive of the tax credit, it’s unlikely that investors would front capital for many of these projects. In Lynchburg, a Virginia Main Street community, the Lynchburg Neighborhood Investment Fund received a $70,000 award to make affordable housing loans to low-income individuals. For more information, visit www.cdfifund.gov.
POSITIVE SIGNS FOR THE FUTURE
In her conclusion, Kennedy Smith stated, “there are some threats to downtowns, but also some of the best signs I’ve seen in over 20 years of working at the National Main Street Center.” The strength of Main Street is the commitment of local governments and volunteers across the country to save buildings and revitalize downtowns.
guide, Doing Business In Old Town Winchester, contains information on ten different financial resources available from local, state and federal sources. Currently it is easier to develop outside of traditional downtowns because there are fewer hoops to jump through. Incentives like tax increment financing districts, local technology zones, enterprise zones and various types of tax credits make locating in downtown attractive.
One tax credit program she specifically mentioned was the new markets tax credits program, that is targeted to low income areas. The new markets tax credits program permits investors to receive a credit against federal
For more information:
Virginia Main St. Program
Dept. of Housing and Community Development
The Jackson Ctr.
501 N. Second St.
Richmond, VA 23219