State Historic Preservation Tax Credits

What does OHPTC stand for

Ohio Historic Preservation Tax Credit Program

What is the basic purpose of OHPTC

To encourage private rehabilitation of historic Ohio buildings by providing a state tax credit tied to qualified rehabilitation expenditures

Which agency administers OHPTC

The Ohio Department of Development

What is Development's main role in OHPTC

It receives competitive applications; scores projects; makes awards; administers agreements; approves amendments; and issues tax credit certificates

What is SHPO

The State Historic Preservation Office within the Ohio History Connection

What is SHPO's main role in OHPTC

It evaluates historic eligibility and determines whether proposed and completed work complies with the Secretary of the Interior's Standards

What is the principal OHPTC statute

Ohio Revised Code section 149.311

Where are the main OHPTC administrative rules

Ohio Administrative Code Chapter 122:19-1

Is OHPTC an entitlement program

No; it is a competitive program subject to eligibility rules; scoring; available allocation; and director approval

Is an OHPTC award paid when the application is approved

No; the credit is performance based and generally becomes available only after approved rehabilitation work is completed and certified

What is the ordinary OHPTC percentage

Generally 25 percent of certified qualified rehabilitation expenditures

When can the current OHPTC percentage be 35 percent

When the project is in a municipal corporation with fewer than 300000 people or in the unincorporated area of a township

Does a county's population alone establish the current 35 percent rate

No; the current rule looks to a qualifying municipal corporation or an unincorporated township location

What is the ordinary maximum OHPTC award for one project

Generally $5 million

What is Ohio's annual OHPTC allocation cap

The director generally may approve up to $75 million per state fiscal year

Can unused OHPTC authority from an earlier fiscal year be reused

Yes; unused credits may be reallocated and the reallocated amount does not count against the current fiscal year's $75 million limit

Can total awards in a round exceed the regular annual amount

Yes; reallocated unused credits can increase the amount available in a particular round or fiscal year

What is the current status of new catalytic OHPTC awards

They are discontinued because the statute bars new catalytic approvals for the biennium beginning July 1 2017 and later biennia

Should a current applicant plan on a $25 million catalytic credit

No; that was a legacy provision and is not available for a new application

What special statutory consideration applies to a theater project

Development considers whether rehabilitation will increase theater attendance and gross revenue when the building was and will remain a theater

How often are OHPTC competitive rounds generally offered

Generally twice each year through spring and fall application rounds

What is the current application round as of August 17 2026

Round 37 for Fall 2026

When was the Round 37 Intent to Apply due

August 14 2026 at 4 p.m. Eastern time

When is the Round 37 historic documentation deadline

August 31 2026 at 5 p.m. Eastern time

When is the Round 37 competitive application and fee deadline

September 30 2026 at 4 p.m. Eastern time

When are Round 37 awards expected

On or before December 31 2026

Why must a practitioner always check the current round guide

Deadlines; fees; scoring; forms; policies; and submission procedures can change between rounds

What is an historic building for OHPTC purposes

A qualifying Ohio building that is individually listed or contributes to an eligible historic district or is an eligible locally designated landmark

What is one path to historic building status

Individual listing in the National Register of Historic Places

What is a second path to historic building status

Location in a registered historic district with SHPO certification that the building contributes to the district

What is a third path to historic building status

Individual local landmark designation by a certified local government

What is a registered historic district under the statute

A National Register district; a district designated by a certified local government; or a local district certified under federal regulations

Does mere age make a building eligible for OHPTC

No; the building must satisfy a recognized historic designation path and all other program requirements

What additional age rule applies to a state-only application under current policy

The building generally must be at least 50 years old

What kind of resource generally qualifies as a building

A resource that encloses space within walls and usually a roof for sheltering human activity

What exterior integrity measure applies to a state-only building under current policy

At least 65 percent of its extant exterior walls should be original or historic including the primary facade

Can a noncontributing building in a historic district receive OHPTC

Not unless it independently obtains another qualifying historic status because district location alone is insufficient

When must required National Register or qualifying local designation be effective

By the competitive application deadline under current program policy

Who may apply for OHPTC

The fee simple owner or a qualified lessee of the historic building

What is an owner under ORC 149.311

A person holding the fee simple interest in the historic building

Can the State of Ohio be an OHPTC owner applicant

No

Can an Ohio political subdivision be an OHPTC owner applicant

No

Can a private nonprofit entity apply for OHPTC

Yes if it owns or qualifies as lessee and satisfies the other program requirements

Can an individual apply for OHPTC

Yes if the individual is an eligible owner or qualified lessee and meets program requirements

What is a qualified lessee for OHPTC

A lessee of the historic building that is eligible for the federal rehabilitation credit under Internal Revenue Code section 47

What minimum lease term generally applies to residential rental property

At least 27.5 years

What minimum lease term generally applies to nonresidential real property

At least 39 years

Why must a lessee analyze federal tax rules

Qualified lessee status depends on eligibility for the federal rehabilitation credit even when applying for the Ohio credit

Must the applicant own or lease every property in the application when it files

Yes; current policy requires ownership or a qualifying leasehold for all application properties at filing

Should the applicant entity be properly registered in Ohio

Yes; entity formation and registration should be confirmed before filing

Can an applicant change after an award

Only through a Development approved amendment supported by transfer documents and proof of the successor's eligibility

What can happen if ownership changes without approval

Development may rescind the award

Can an applicant apply before acquiring the building

Generally no because the applicant must be the owner or qualified lessee at application

Can a developer use a special purpose entity as applicant

Yes if that entity is the actual owner or qualified lessee and remains compliant with program requirements

Why should entity structure be settled early

The applicant; ownership; financing; tax allocation; and historic submissions must align and later changes require approval

May OHPTC support multifamily rental housing

Yes

May OHPTC support commercial or office use

Yes

May OHPTC support retail or industrial use

Yes

May OHPTC support institutional use

Yes

May a completed OHPTC project be a single-family residence

No under current program policy

May a completed OHPTC project be a condominium project

No; single-family and multi-unit condominium end uses are ineligible under current policy

Must an Ohio-only project be income producing

Not necessarily; state-only eligibility can be broader than federal credit eligibility

Can a project receive both Ohio and federal historic credits

Yes if it separately satisfies both programs

Does an Ohio award guarantee the federal historic credit

No; federal eligibility and National Park Service certification remain separate requirements

Can a project use OHPTC if it does not seek the federal historic credit

Yes through the state-only process if all Ohio requirements are met

Can an OHPTC building be part of a federal low-income housing tax credit project

No under current Ohio law and policy

What happens if LIHTC is allocated after an OHPTC award but before completion

Development must rescind the OHPTC approval

Why must housing financing be screened early

Using Internal Revenue Code section 42 credits can make the project statutorily ineligible for OHPTC

Can OHPTC be combined with Ohio brownfield funding

Potentially yes if each program's rules are met and costs and sources are properly traced

Can OHPTC be combined with TMUD or local incentives

Potentially yes subject to each program's requirements; financing treatment; and avoidance of improper duplication

Can OHPTC be combined with New Markets Tax Credits

Potentially yes but the ownership; leverage; basis; and tax allocation structure requires coordinated specialist analysis

What is the safest rule for incentive stacking

Model every source and use; identify restrictions; prevent duplicate reimbursement; and coordinate tax and historic requirements early

Must a Part 2 scope cover the whole historic building

Yes; an applicant generally cannot divide the building by floor or wing to avoid full review

Can one building be split into several applications to exceed the project cap

No

When may an industrial or agricultural complex be treated as one project

When historic evidence shows that its buildings functioned together as a single complex

When may a row-house group be treated as one project

When it was designed and constructed as one building or complex and the applicant owns the entire group

What distance rule applies to many multi-building applications

Each building must generally be within 1000 feet of another parcel included in the project

What jurisdiction rule applies to a multi-building application

The buildings generally must be in the same jurisdiction

What end-use rule applies to a multi-building application

The buildings generally must have the same primary end use

What ownership rule applies to a multi-building application

The buildings must share the same applicant and common ownership or qualifying leasehold

Must every building in a multi-building application be independently eligible

Yes

What happens to costs of an ineligible building in a multi-building application

Those costs are excluded from qualified rehabilitation expenditures and the credit calculation

What mapping should support a multi-building application

A clear project map showing parcels; buildings; distances; and the proposed project boundary

What changed for project scope beginning with Round 36

OHPTC scope and budget are limited to historic buildings and contiguous additions approved through Part 2

Can new construction occur alongside an OHPTC rehabilitation

Yes but the new construction is outside the OHPTC scope and its costs are not QREs

How is work on a separate nonhistoric building treated beginning with Round 36

It is excluded from the OHPTC scope; budget; scoring; financing metrics; economic impacts; and square footage

What is a contiguous addition for OHPTC scope purposes

An addition attached to the historic building and reviewed as part of the approved Part 2 rehabilitation

Why should project boundaries be defined before budgeting

The historic scope determines eligible costs; scoring inputs; review responsibility; and certificate limits

What are qualified rehabilitation expenditures or QREs

Eligible costs paid or incurred to rehabilitate the historic building as determined principally under Internal Revenue Code section 47

Does Ohio's QRE definition borrow federal tax law

Yes; ORC 149.311 incorporates the federal rehabilitation credit framework

Are architectural fees potentially QREs

Yes when paid or incurred in connection with the rehabilitation

Are engineering fees potentially QREs

Yes when paid or incurred in connection with the rehabilitation

Are National Register nomination preparation costs potentially QREs

Yes; Ohio law expressly includes them

Is the building acquisition price a QRE

No

Is land acquisition a QRE

No

Is the cost of expanding or enlarging the historic building a QRE

No

Are new building construction costs QREs

No

Are parking lot costs QREs

No

Are sidewalk costs QREs

No

Are landscaping costs QREs

No