South Bend - Elkhart Region

Regional Redevelopment Tax Credit

Gap financing to redevelop vacant and underutilized property in our region.

The Regional Redevelopment Tax Credit (RTC) is a State of Indiana income tax credit for qualified investment in the redevelopment or rehabilitation of vacant and underutilized land and buildings. The South Bend - Elkhart Regional Partnership is intaking the applications on the regional level, working alongside the region's three LEDOs to provide qualified applications to the Indiana Economic Development Corporation (IEDC).

Applications Closed See How the Process Works
APPLICATIONS CLOSED
The regional intake closed Wednesday, September 30, 2026, 11:59 p.m. EDT. The Partnership is no longer accepting applications for the 2026 cycle.
Set by the State of Indiana

What the RTC is

The RTC was established by Indiana Code section 6-3.1-34-0.5. It provides companies and developers an assignable income tax credit for investing in the redevelopment of communities, improving quality of place, and building capacity at the local level. The RTC is one of six programs subject to the IEDC's annual 300 million dollar credit cap, so the quality and readiness of each project matters.

Up to 30%

Base credit

The credit equals qualified investment multiplied by a percentage set by the IEDC, not to exceed 30 percent. The maximum percentage depends on the nature of the site.

+5%

Site bonus

An additional 5 percent may be awarded if the project qualifies for New Markets Tax Credits or is located in an opportunity zone.

20% floor

Small-community minimum

Projects in cities or towns under 30,000 people, or in unincorporated areas under 75,000, with budgets of at least 15 million dollars, are entitled to RTC awards of at least 20 percent.

Set by the State of Indiana

What qualifies

Eligibility is defined by the state. The credit is available to taxpayers that make qualified investments in the redevelopment or rehabilitation of a qualified redevelopment site, which is vacant land or underutilized land and buildings.

Multi-family

Multi-family residential developments.

Mixed-use

Mixed-use developments combining residential and commercial space.

Hospitality

Hotels and related hospitality developments.

The IEDC, in partnership with Indiana's regional entities, evaluates a project on factors including its potential impact on the local community, the likelihood it will spur additional investment, the level of support from local and regional stakeholders, and its alignment with a regional or local development plan. Only projects the IEDC expects to have a positive return on investment are eligible for an award.

Set by the State of Indiana

Eligible and ineligible costs

Qualified investment must be for the redevelopment or rehabilitation of a qualified redevelopment site. Expenditures made before they are approved by the IEDC are not considered qualified investment.

Eligible costs may include

  • Acquisition costs, when necessary for redevelopment and only if the property is substantially improved
  • Architectural and engineering fees
  • Environmental remediation costs
  • Construction management and demolition costs
  • Costs directly associated with the redevelopment or rehabilitation of property
  • Furniture, fixtures, and equipment, if non-movable
  • Permitting costs directly related to redevelopment or rehabilitation

Eligible costs do not include

  • Legal and accounting fees
  • Developer fees
  • Feasibility studies
  • Property insurance
  • Furniture, fixtures, and equipment, if movable
  • Loan origination fees and other related expenses
  • Other professional fees not directly related to redevelopment or rehabilitation
  • Reserves and other soft costs
Regional process

How to apply

All project information is submitted first to the South Bend - Elkhart Regional Partnership for initial review. The Partnership then forwards eligible projects to the IEDC for final review and approval. An application must be approved by the IEDC before any qualified investment is made.

Prepare your materials

Assemble four documents before you begin. The online form is a single session and does not save partial progress. The IEDC pre-submission checklist spells out exactly what each document must contain.

  1. Itemized budget. A line-item budget that separates hard costs, eligible soft costs, and ineligible soft costs.
  2. Cashflow operating proforma. At minimum, estimated annual gross income, operations and maintenance expenses, net operating income, and debt service. It must reflect the hold period and state the cap rate used.
  3. Site development plan. Interior and exterior development detail, architectural and engineering plans, and drawings or renderings.
  4. Match documentation. Supporting documentation for every financing source, combined into a single PDF.

Submit the regional intake form

Applicants completed the online intake form and uploaded the four required documents.

APPLICATIONS CLOSED Closed Wednesday, September 30, 2026, 11:59 p.m. EDT.

Regional review and scoring

Partnership staff confirm eligibility and completeness, and county LEDO reviewers score each project against a defined favorability rubric aligned to the IEDC's evaluation factors and the region's Smart Connected Communities 2030 plan.

Submission to the IEDC

The region submits every eligible project to the IEDC, ranked. The IEDC conducts its own final review, applies its own evaluation and cost-benefit analysis, and makes all award decisions.

Contracting and the credit

For awarded projects, the IEDC handles contracting, certification, and the sale of the assignable credit directly with the owner. The region's administrative role ends at ranked submission.

How projects are scored

County LEDO and Regional Partnership reviewers score every eligible project against the categories below. They reflect the IEDC's evaluation factors and the region's Smart Connected Communities 2030 plan. The region submits every eligible project to the IEDC; the score sets the order of the ranked slate, it does not decide whether an eligible project advances.

  • Community and quality of place. Blight removal, walkability, design, connectivity, placemaking, and housing that supports the regional workforce.
  • Return on investment and fiscal impact. Projected fiscal return and new tax base relative to the credit requested.
  • Catalytic effect. Likelihood the project spurs additional private investment nearby.
  • Stakeholder support. Letters of support, local resolutions, and local financial participation.
  • Financial readiness. Share of funding secured, quality of the proforma, and certainty of the financing date.
  • Regional plan and 2030 alignment. Fit with the Smart Connected Communities 2030 plan and READI priorities.
  • Financing gap. Evidence the credit is a decisive factor in the project moving forward.
  • Job creation and quality. New full-time jobs and wage quality relative to the county average wage.
Applications Closed

Key dates for the 2026 cycle

The regional deadline is set by the Partnership. The state deadline and review schedule are set by the IEDC.

Sept. 30, 2026
Regional intake closed, 11:59 p.m. EDT
Region
Oct. 31, 2026
Regional applications due to the IEDC
State
Nov. 1, 2026
IEDC review begins
State
Mid-December
Award notifications
State

Reference documents

Download the official program materials and regional resources. These are the authoritative sources for program rules; this page is a summary.

PDFIEDC RTC Program One-Pager (2026)Official program description, eligibility, and credit calculation. PDFIEDC RTC Pre-Submission Checklist (2026)The exact information the state requires for each project. PDFRTC and STOI Regional Contacts (2026)Who to reach in each of Indiana's regions. PDFSTOI ProgramSmall Town Opportunities overview. XLSXMatching Funds TemplateTemplate to be used for submission and uploaded as excel workbook.

Frequently asked questions

Who can apply?
Taxpayers, including companies and developers, that make qualified investment in the redevelopment or rehabilitation of a qualified redevelopment site in St. Joseph, Elkhart, or Marshall county. A qualified redevelopment site is vacant land or underutilized land and buildings.
What project types are eligible?
Project types typically include multi-family developments, mixed-use developments, and hospitality projects such as hotels and related developments. Eligibility and project type are set by the State of Indiana.
How large is the credit?
The credit equals qualified investment multiplied by a percentage set by the IEDC, not to exceed 30 percent. An additional 5 percent may be awarded if the project qualifies for New Markets Tax Credits or is located in an opportunity zone. Qualifying small-community projects with budgets of at least 15 million dollars are entitled to at least 20 percent.
Can I incur costs before I apply?
No. An application must be approved by the IEDC before an investment is made. Expenditures made before IEDC approval are not considered qualified investment.
Does the region choose only its top projects?
No. The region submits every eligible project to the IEDC, ranked. The favorability score orders the projects for the state's review; it does not decide whether an eligible project advances. Only ineligible or incomplete projects are held back.
Can I save the online form and finish later?
No. The intake form is a single session and does not save partial progress. Gather every answer and all four required documents before you begin, and combine your match documentation into one PDF.
What is the difference between the September 30 and October 31 deadlines?
September 30 is the region's deadline for developers to submit to the Partnership. October 31 is the state's deadline for regional entities to submit to the IEDC. The earlier regional deadline gives the Partnership time to review, score, and package projects.

Applications are closed for the 2026 cycle

The regional intake closed Wednesday, September 30, 2026, 11:59 p.m. EDT. The Partnership is no longer accepting applications. For questions about a submitted project or future cycles, contact Partnership staff.

Contact Partnership Staff