High Performance Tax Credit

High Performance Market-Rate Rental Housing Tax Credit

There are two types of High Performance Market-Rate Rental Housing Tax Credit – citywide 10- year tax credit and a 15-year credit for targeted areas. Both are aimed at encouraging development of new or converted market-rate apartments in the City. The tax credit is based on the increase in the value of real property due to improvements that were made.

Citywide 10-year tax credit:

  • For newly constructed, wholly renovated, or converted from non-residential building
  • Contains more than 20 residential units
  • Construction/conversion costs exceeds $60,000 per unit
  • Meets minimum of LEED Silver certification or the Baltimore City Green Building Code Standard Two Green Star rating
  • Projects that are eligible for the City’s Historic (CHAP) Tax Credit are not eligible

15-year tax credit:

  • For newly constructed or converted from a non-residential building
  • Contains more than 50 residential units
  • Construction/conversion costs exceeds $60,000 per unit
  • Meets minimum of LEED Silver certification or the Baltimore City Green Building Code Standard Two Green Star rating
  • Only eligible in targeted areas. Please visit CityView at this link to determine where the targeted areas are.

Below is the breakdown for both 10 and 15-year tax credits.

 Targeted 15-yearCitywide 10-year
Year 1100 percent80 percent
Year 2100 percent80 percent
Year 380 percent80 percent
Year 480 percent80 percent
Year 580 percent80 percent
Year 670 percent70 percent
Year 760 percent60 percent
Year 850 percent50 percent
Year 950 percent40 percent
Year 1050 percent30 percent
Year 1140 percent
Year 1230 percent
Year 1320 percent
Year 1420 percent
Year 1520 percent

For more information, please contact us at info@BaltimoreDevelopment.com. Application deadlines are rolling until Dec 31, 2017.