Missouri housing incentives bill hits Gov. Kehoe's desk for sign-off

"The office-to-residential conversion credit is one of the bill's most closely-watched provisions, offering up to $50 million per year statewide. Half is reserved for large structures exceeding 750,000 gross square feet aimed at cavernous, vacant commercial towers in downtown St. Louis, including the AT&T and Railway Exchange buildings. The incentives are especially important to St. Louis, which has suffered population loss since 1950."

"The city's population of 278,000 is far below the 350,000 when it split from St. Louis County in 1876. The county's population is now about 1 million. Last September, the National Geospatial-Intelligence Agency opened a $1.75 billion campus in north St. Louis. City leaders hope the campus and its hundreds of employees will help the city turn a corner."

"Downtown has had pockets of redevelopment over the past couple of decades. Once known as Shoe Street, USA, Washington Avenue's old shoe-manufacturing buildings are now home to residential units. The AT&T building has bedeviled developers and investors for years. Standing 44 stories tall and spanning 1.4 million square feet, it has traded hands several times after proposed plans failed to gain traction."

"The bill also expands the State Supplemental Downtown Development Program. It raises the cap on annual state disbursements and extends the maximum financing term. For the first time, municipalities may capture residential income tax from new residents and redirect it toward project costs. Participating cities must establish a one-stop"

The office-to-residential conversion credit provides up to $50 million per year statewide, with half reserved for large structures exceeding 750,000 gross square feet. The targeted buildings include cavernous, vacant commercial towers in downtown St. Louis, such as the AT&T and Railway Exchange buildings. The incentives are intended to help address long-term population loss in the city since 1950, while the county has grown to about 1 million residents. A new $1.75 billion National Geospatial-Intelligence Agency campus in north St. Louis is expected to support a turnaround. Downtown redevelopment has already occurred in areas like Washington Avenue, and the AT&T building has remained difficult to redevelop despite multiple ownership changes. The bill also expands the State Supplemental Downtown Development Program by raising annual disbursement caps, extending financing terms, and allowing municipalities to capture residential income tax from new residents for project costs, with participating cities required to establish a one-stop process.

Read at www.housingwire.com