Catalytic Revitalization Project Tax Credit - Alterations

HB 511 increases Maryland's catalytic revitalization tax credit rate from 20% to 25% of eligible rehabilitation costs for qualifying projects and raises the annual credit cap from $15 million to $35 million, with annual inflation adjustments based on the Washington metropolitan area's consumer price index. It defines eligible projects as the rehabilitation of historic properties formerly owned by government or large, substantially vacant commercial properties (minimum 250,000 square feet and $50 million investment) in designated economic development areas like Main Street Maryland communities. The credit applies to individuals, nonprofits, and businesses for four consecutive years (for single-phase projects) or in full upon completion (for phased projects). This directly affects property owners and developers seeking to revitalize underutilized commercial or historic properties in targeted communities.