PEORIA – A special economic development tool that spurred significant business investment in Peoria now will be available to other central Illinois communities that wish to replicate the river city’s success.
Senate Bill 3527, signed into law today on the Peoria riverfront, expands the successful River Edge historic preservation tax credit program to the entire state.
Previously, the incentive only was available in Peoria, Rockford, East St. Louis, Elgin and Aurora, all of which are riverside communities that had sought to lure community investment and revitalize their economies.
State Senator Dave Koehler, a Peoria Democrat, was a chief co-sponsor of the measure. He has seen the physical transformations and job creation that can occur as a result of the River Edge program. Numerous redevelopment projects in the city’s Warehouse District and downtown benefitted from the incentive.
“It’s far more beneficial to help someone invest in a historic building or a struggling neighborhood than to let that property languish and become an eyesore,” Koehler said. “Revitalization puts people to work, increases property values, boosts pride in the community and leads to vibrancy and growth. There’s no down side.”
State Rep. Jehan Gordon-Booth (D-Peoria) sponsored the legislation in the House.
The new law is expected to help clear the way for a nearly $100 million investment by OSF Healthcare, which has plans to take over the former Caterpillar Inc. headquarters at 124 SW Adams St. More than 700 OSF employees will work at the downtown site once renovation of the structure, built in 1905, is complete.
Senate Bill 3527 prioritizes five categories of eligible buildings for the tax credit, including those located in areas subject to a disaster declaration, those located in border communities and those previously owned by a governmental entity.
The law – which provides up to $15 million in credits annually for qualified projects – also enables the state to recapture any tax credits from developers who fail to meet program requirements.
