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About 50 interested parties attended a Developers Forum and Info Session focused on Historic Tax Credits & Main Street in Niagara Falls Tuesday at the Niagara Falls Public Library.
The forum was hosted by the city’s Urban Renewal Agency which earlier this year took title to 38 properties in the Main Street Historic District.
The project is a cooperative endeavor between the Niagara County Industrial Development Agency, Niagara Orleans Land Improvement Corporation and Empire State Development.
In October, the first four projects for the district were announced.
The largest of those projects will be the rehabilitation of the Jenss Department store by a coalition led by Preservation Studios and Common Bond Real Estate. Preservation Studios was founded by Tom Yots in Niagara Falls who successfully renovated the Marshall House on Park Place as well as other properties in Buffalo.
What makes this initiative different from those of Hastings Development or Blue Cardinal, were both had big plans and were undercapitalized. By taking control of all 38 properties and having multiple entities involved in vetting projects the likelihood of awarding projects to unqualified politically connected parties is greatly reduced.
Preservation’s Director of Operations Derek Kings presented developers with a lengthy explanation for how historic preservation tax credits work on a federal and state basis. The tax credits offset rehabilitation costs by reducing future income tax. Credits available through a project can be syndicated to outside investors in exchange for equity in the finished project.
A map handed out at the event not only the four sold properties as well as 2019 and 2021 Main St. between Cleveland and Niagara reserved for student housing.
Kevin Forma, the city’s director of development said a preferred developer has been designated for the student housing project but details are still being finalized.
Forma said multiple properties along Main Street have been designated for stabilization work to preserve structures and seal against the weather.
He also said four different parties have expressed interest in the Rapids Theatre including Live Nation.
In an unrelated development, Forma said the owners of the former Mount St. Mary’s nursing home on Lewiston Road met with city officials recently to discuss plans for a residential development that may include up to 124 apartments. Historic preservation tax credits may be used but the project is likely to included major demolition.
