Department of Real Estate Assessments

Incentive Program for the Rehabilitation of Historic Properties

Incentive Program

Any structure that has been designated as a county historical landmark or is located in an area that has been designated a county historical district can be considered for partial exemption from real estate taxes.

For those properties that qualify, the amount of the tax exemption is based on the amount of increase in assessed value that is attributable to the rehabilitation work. This exemption does not change, and it transfers with the real estate for the 10-year period. The exemption is limited to a $500,000 increase in assessed value.

To Qualify

This program is available to property owners who rehabilitate historic buildings meeting the following criteria:

• All improvements made to the structure must be approved by the County Preservation Committee.
• The structure must be a designated county historical landmark or located in an area that has been designated a county historical district.
• The structure must be 50 years old or older.
• Following completion of the rehabilitation or renovation, the assessed value of the structure must be increased by at least 25 percent.

(The County Preservation Committee may be contacted at (804) 748-1052.)

The Process

The Department of Real Estate Assessments (DREA) will administer this program, which incorporates the following requirements:

• The owner shall pay a processing fee of $20.00.
• The appropriate building permits must have been acquired from the County Building Inspector’s Office for any work to be performed.
• Prior to beginning any rehabilitation work, the owner must apply to DREA for exemption.
• DREA must inspect the property prior to beginning any rehabilitation work in order to determine the base assessed value.
• All work must be completed and approved by Building Inspection, and DREA must be notified of such completion of work by December 31st in order for the abatement to be effective January 1 of the following calendar year.
• All increases in the assessed value during the time the rehabilitation work is being performed shall be taxable annually until such time as all work has been completed and approved.
• All exemptions shall become effective on January 1 of the year following completion and approval of the rehabilitation work.

How to Apply

Click here to download the application in PDF format or contact the Assessor’s Office at (804) 748-1321. (The material available for download is in PDF format. You can access PDF formatted material by using the free Adobe® Acrobat® Reader, available at http://www.adobe.com.)