River Edge Redevelopment Zone Historic Tax Credit
Like the Illinois statewide historic tax credit, the River Edge Redevelopment Zone (RERZ) Historic Tax Credit provides an income-tax credit equal to 25% of a project’s Qualified Rehabilitation Expenditures (QREs). The RERZ credit, however, only applies to five river cities: Aurora, East St. Louis, Elgin, Peoria and Rockford, while the statewide program is available to historic property owners undertaking an eligible rehabilitation project anywhere in Illinois. (Pictured is Prairie Street Brewing Co. in Rockford, a RERZ project. Credit: Liz Chilsen)
Help up advocate for an extension of the RERZ tax credit!
Since the program took effect in 2021, 32 projects representing over $295 million in investment have been completed with the help of RERZ tax credits, with an additional $325 million of projects in planning phases or underway. It is thanks to the RERZ 25% income-tax credit, an industrial building in Rockford is now a hotel, a beloved vacant church is now a brewery in Peoria and a former hospital in Aurora now offers affordable senior housing, for example.
The RERZ program is set to expire at the end of 2021. Illinois Senate Bill 0157 would extend the tax credit another five years. It has passed out of the Illinois Senate and is now in the Illinois House of Representatives. Please contact your State Representative and urge them to co-sponsor SB0157 to extend the RERZ Historic Tax Credit, allowing important reinvestment projects in Illinois to move forward!Learn more about the RERZ tax credit