Historic Preservation Rehabilitation Tax Credits:
Making a Difference in North Carolina

Historic preservation in North Carolina provides jobs, bolsters the tax base, and utilizes existing buildings and infrastructure while preserving the state’s priceless historic character. 

Rehabilitation of North Carolina’s historic buildings increased dramatically following the 1998 expansion of the state tax credit for historic structure rehabilitation. Since 1998, under the new state credits that enhanced the existing federal credit, 2,146 projects with a total estimated rehabilitation cost expended by private investors of $1.36 billion have been completed. For Federal Fiscal Year 2011, North Carolina was third in the nation in the number of completed certified rehabilitations. The State consistently ranks in the top five in the nation. From the inception of the federal program in 1976 through 1997, 689 projects were completed with $288 million in rehabilitation costs.

In a 2008 study by Rebecca Holton, University of North Carolina at Chapel Hill, A Profitable Past, A Priceless Future: The Economic Impact of North Carolina’s Historic Tax Credit, Rebecca worked with the North Carolina Department of Commerce to utilize IMPLAN, an input-output multiplier system, to estimate the program’s statewide impact of the economic benefits. Using those multipliers, North Carolina Historic Preservation Office staff estimates that rehabilitation costs expended on historic tax credit projects in North Carolina since 1998 have created 23,100 new full-time jobs. For the Federal Fiscal Year 2011, the National Park Service reports that $4.02 billion in certified rehabilitation projects have created 55,458 new jobs nationwide, concentrated in the construction, service, and retail sectors.

In addition to the powerful economic benefits of historic preservation, the North Carolina rehabilitation tax credits encourage the reuse of existing buildings, reducing the need to expand public services and infrastructure which saves taxpayers’ dollars. Historic structures such as schools, textile mills, and tobacco warehouses are reclaimed for housing, retail, and office uses.    

The North Carolina rehabilitation tax credits help citizens preserve and care for their communities and neighborhoods. Historic preservation, assisted by the tax credits, serves to return a sense of pride and optimism to communities large and small, rural and urban across the state.

For further information contact

Tim E. Simmons, AIA, Senior Preservation Architect/Tax Credit Coordinator for income-producing projects

David Christenbury, Preservation Architect/Tax Credit Coordinator for nonincome-producing projects

Restoration Branch, State Historic Preservation Office
Office of Archives and History
North Carolina Department of Cultural Resources
4617 Mail Service Center
Raleigh, N.C. 27699-4617

Updated 10/9/2018

Historic Preservation Tax Credits in North Carolina Page
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