New tax abatement policy aims to increase affordable housing in Columbus

Columbus City Council recently approved an updated residential tax abatement policy that “aims to increase the number of affordable units built in all neighborhoods,” Columbus Business First reports. The policy will affect every developer “seeking an abatement with permits granted after Sept. 1, 2023,” and increases the requirements for those abatements, according to the article. Since 2018, the program offered a 100%, 15-year abatement for projects that priced “10% of units for residents making 80% of the area median income and 10% for those making 100% of the area median income in ‘market-ready’ and ‘ready-for-revitalization’ areas (see our June 8, 2022 blog post).” The new policy “requires developers to either go deeper” with 10% of units priced for residents making 60% of the area median income or “go wider” with 30% of units “priced for those at 80% of the area median income. The option to pay a fee instead of designating a percentage of units as affordable remains, but increased 300%, Columbus Development Director Michael Stevens said. For more, read the full article (subscription may be required). 

Economic Development, Financial Incentives, State Updates