Historic preservation tax credit program benefits OSF Ministry HQ project
Illinois Governor Bruce Rauner made a stop in Peoria Thursday, July 26, to sign SB 3527, a bipartisan bill improving and expanding the River Edge Redevelopment Zone (RERZ) Historic Tax Credit. The successful economic development incentive now will be available to communities statewide and will directly benefit the new OSF HealthCare Ministry Headquarters project in downtown Peoria.
In January, OSF HealthCare announced it was buying the property at 124 SW Adams Street, Peoria (commonly known as the former Chase building) from Caterpillar Inc. and will rehabilitate the century-old building into OSF HealthCare’s new Ministry headquarters. In addition to the Chase building, Caterpillar donated the Peoria Professional Building, the adjacent parking lot and $3 million to OSF HealthCare for further development of amenities on the block.
In addition to rehabilitating a century-old, iconic Peoria building, it is hoped this project will help reinvigorate downtown Peoria development and spur other economic development.
“This legislation opens up millions of dollars in economic incentives in the form of tax credits for historic preservation projects throughout Illinois,” Rauner said after signing the bill at the Peoria Riverfront Museum Plaza. “It is imperative that we add jobs and fuel economic development. This bill will help Illinois achieve those goals while also preserving our past and making our state even more beautiful to visit.”
The signing of Senate Bill 3527 brings this project one step closer to reality. It makes it easier for companies like OSF to use economic development tools as part of the RERZ Program. These changes include extending the time frame companies can apply to use the tax credit; allowing companies to submit the audit completed to the federal government to qualify for state tax credits; and permitting companies to carry over the tax credits they earn for a maximum of five years.
OSF HealthCare appreciates the signing of this legislation, carried by Rep. Jehan Gordon-Booth and supported by our entire Peoria delegation. Not only does it enable our new Ministry headquarters project to move forward and save an iconic, century-old Peoria building from the wrecking ball, we anticipate this project will have a stabilizing, positive impact on Peoria and surrounding communities for years to come.
While design activities along with interior cleaning of the building are well underway, a few key items remain before being able to fully proceed including federal approval of renovation plans from the National Parks Service and approval from the Peoria City Council.
The $90 million project is expected to take at least two years to complete. More than 700 OSF Mission Partners (employees) are eventually expected to be located in the downtown Peoria location.