The Housing Development Incentive Program (HDIP), established as M.G.L., Chapter 40V, provides Gateway Cities such as Lowell with financial and tax incentive tools to increase residential growth, expand diversity of housing stock, promote neighborhood stabilization, and ultimately generate local and regional economic development.
The HDIP program provides two tax incentives to developers to undertake substantial rehabilitation of properties for lease or sale as multi-unit market rate housing:
A municipal real estate tax exemption on all or part of the increased property value resulting from improvements (the increment), and
State tax credits for Qualified Substantial Rehabilitation Expenditures (QSREs) that are awarded through a rolling application process.
For more information, please check the HDIP Program Fact Sheet below.