Did you know?
Capitol Hill is the unofficial birthplace of Denver's preservation movement. Following the 1970s demolition of the Moffat Mansion (at 8th and Grant) Historic Denver, Inc. was created by concerned citizens in time to save another of our city's precious historic homes, that of the "unsinkable" Margaret Brown.
Colorado State Rehabilitation Tax Credit
The State tax credit covers 20% of qualified rehabilitation expenses for properties listed on the National Register of Historic Places, the Colorado State Register, or designated by a Certified Local Government, such as Denver. An attached provision suspends the tax credit in years in which the state’s economy does not grow at least 6%, however, the suspended tax credit can be taken (in full) in subsequent years where the state’s economy does exceed 6%. In order to qualify for the tax credit your property must meet specific guidelines. To learn more about the program as administered through the City of Denver and to determine if your property qualifies, visit the Denver Landmark Preservation Commission’s webpage here
The state tax credit is one of the few incentives available to private, residential property owners. You can use the credit to off-set costs associated with a new roof, better insulation, masonry or foundation work, necessary interior renovations and more. The credit is also available for commercial properties.
Be sure to wait until your preliminary application is approved before you begin rehabilitation work!
The credit is available in 2013 and we encourage you to explore using this preservation incentive
Federal Historic Preservation Income Tax Credit
For income-producing properties, such as commercial or rental residential buildings, the Federal Historic Preservation Income Tax Credit is another option to recoup up to 20% of qualifying rehabilitation expenses. Eligible properties must be on the National Register of Historic Places and the rehabilitation project must be approved by the Colorado State Historic Preservation Office and certified by the National Park Service. To learn more about the Federal tax credit, visit the NPS’ website here
Credit for Buildings Built before 1936
A 10% federal tax credit is available for the rehabilitation of non-historic buildings placed in service before 1936. The building must be rehabilitated for non-residential use. In order to qualify for the tax credit, the rehabilitation must meet three criteria: at least 50% of the existing external walls must remain in place as external walls, at least 75% of the existing external walls must remain in place as either external or internal walls, and at least 75% of the internal structural framework must remain in place. There is no formal review process for rehabilitation of non-historic buildings. Learn more about this credit on the NPS website here.
View a complete brochure on federal tax incentives for preservation here