After Leveraging Over $400 Million In Private Investment, The City of Wilmington Extends Its Downtown Development District Designation for An Additional Five Years

Dover, Del. November 20, 2024 - Today, the Delaware State Housing Authority (DSHA), Office of State Planning Coordination (OSPC), City of Wilmington, and community development partners gathered at the Delaware Historical Society (DHS) to celebrate the 10th anniversary of the Downtown Development District (DDD) Rebate Program and the City of Wilmington's successful designation renewal.

• spur private capital investment in commercial business districts and other neighborhoods;
• stimulate job growth and improve the commercial vitality of our cities and towns, and
• help build a stable community of long-term residents in our downtowns and other neighborhoods.

"The Downtown Development Districts Act has spurred investments and renovations in communities across the First State over the past ten years," said Governor John Carney. "I'm proud of how this program has grown, and the impact it has had on Delaware's cities, towns, and residents. I want to thank the Delaware State Housing Authority, our municipalities, our investors, and all of our partners who have helped make this program so successful."

The City of Wilmington was one of the first municipalities to receive a DDD designation in 2015. Over the past decade, Wilmington has leveraged the DDD program to transform 249 acres of its downtown areas into a premier live, work, and play destination. Completed projects have produced over 1,200 new residential units, 688 new jobs, 29 retail businesses, five entertainment options, and three hotels with 254 hotel rooms.

These projects were funded with over $400 million in private investment, resulting in $24 million in DDD rebates to qualified investors. After a thorough review by DSHA and OSPC, the City's DDD designation application was renewed for another 5 years.

"We are proud to have been selected as one of the first cities in Delaware to receive a Downtown Development District designation ten years ago," said Mayor Mike Purzycki. "This has been a game changer in many ways, enabling us to revitalize and transform our downtown in ways that were hardly imaginable before 2015. Market Street, in particular, has finally arrived and is showing off its immense potential. And in addition to the many new businesses that have opened in that time span, with the hundreds of jobs they've created, there are now thousands of people living downtown, which has not only helped to expand our tax base but has created a sense of vitality and excitement that continues to spread throughout the entire City."

DHS was selected as the venue for this celebration because of the organization's commitment to preserving significant historical structures on Market Street, which led to receiving a $200,753 DDD funding reservation this year.

The program is simple. Qualified investors -including small business owners, developers, and homeowners - with eligible planned or completed property investments in one of the 12 districts receive a 20% rebate on exterior, interior, and structural improvements.

For example, an investor making $45,000 worth of qualifying investments in a district would be entitled to a DDD grant of up to $4,000. Property investments can include new construction, renovation, adaptive reuse of vacant buildings, and preserving significant historical structures.

"DDD isn't just about buildings; it's about people," said David Edgell, Director of OSPC. "DDD rebate recipients are not just beneficiaries; they are part of a support network and receive supplemental partner incentives from municipal governments and non-profit partners. This additional support is our way of showing appreciation for their commitment to the program."

Local city and town managers in the 12 districts also receive training from DDD partners like DSHA, OSPC, and the Division of Small Business, as well as online resources, marketing material, and coaching to support their ongoing revitalization efforts.

The 12 DDD Districts are Dover, Wilmington, Seaford, Georgetown, Harrington, Laurel, Milford, Smyrna, City of New Castle, Clayton, Delaware City, and Middletown. Dover and Seaford were the other two municipalities that received a designation in 2015. DSHA, OSPC, and partners will host similar celebrations in each city in the coming weeks.

"DSHA is proud to administer the DDD program. Its success is a collective achievement we can all take pride in seeing within our communities," said Cynthia Karnai, Director of DSHA. "We know that administration is only a portion of the equation and look forward to celebrating each district's fantastic work and achievements as OSPC and DSHA receive more designations renewals in the future."

Funding for the DDD Rebate Program is limited. Large project reservation applications, which are projects that cost more than $350,000, are due to DSHA by 4:00 p.m. on February 26, 2025. Small project reservation applications, which cost between $25,000 and $350,000, are accepted on a rolling basis, subject to funding availability.

For more information on the DDD Rebate program, please visit https://www.destatehousing.com/build/ddd-program/.

About Delaware State Housing Authority

The Delaware State Housing Authority (DSHA), formed in 1968, is dedicated to providing quality, affordable housing opportunities and appropriate supportive services to low- and moderate-income Delawareans. In addition to its role as the State's Housing Finance Agency, DSHA is unique in that it also serves as a Public Housing Authority and acts as a Community Development Agency. As a Public Housing Authority, DSHA receives funding from HUD to build and operate public housing in Kent and Sussex counties, two of Delaware's three counties. For more information about DSHA, please call (302) 739-4263 or visit destatehousing.com.

Public link

Please use the above public link if you want to share this noodl on another website.