The proposed law authorizes counties, municipalities, and school districts to grant property tax relief to developers who transform underused sites into attainable housing, renewable energy hubs, green spaces, or transit-connected communities.
The bill defines “underutilized property” as any qualifying shopping mall, greyfield, or brownfield. Developers who meet project requirements—including energy efficiency upgrades, affordable housing, or renewable installations—can receive 100% real estate tax exemptions for up to 10 years, with the option to extend that benefit by up to five additional years if enhanced community goals are met.
Qualifying enhancements include:
Local taxing authorities retain control over exemption schedules and eligibility criteria.
HB1446 also establishes the Economic Development and Mixed-Use Redevelopment Advisory Committee under the State Planning Board. The committee is tasked with developing and publishing best practice guidelines to help municipalities manage redevelopment projects. Members will include experts in real estate, planning, and economic development.
Guidelines must be published on the Department of Community and Economic Development’s website within six months of the bill’s effective date.
To access tax incentives, developers must submit detailed documentation—such as zoning approvals, environmental compliance records, and cost estimates—to the local taxing authority. If a property violates state law or municipal codes within five years of redevelopment, local governments can revoke the exemption and recover the foregone taxes.
Properties already receiving state or local tax relief are not eligible for HB1446 exemptions.
