Preservation Incentives
Property owners may gain tangible benefits through various preservation incentive programs at the local, state, and federal levels. These incentives can include federal tax credits for the rehabilitation of eligible historic properties, property tax reduction programs, and alternative building code provisions.
The resources provided below are intended as a helpful reference. The Planning Department does not endorse or recommend any specific organization or program. For estimates of a property’s potential tax savings or credits, please consult a qualified financial professional.
Property tax reduction program for historic properties.
Buy a plaque for your historic building.
Additional Programs
Learn more about incentive programs at city, state, and federal levels.
City Code Adaptive Reuse Incentives
To support the continued usage of historic buildings, several provisions of the City code offer flexibility for adaptive reuse projects. See below:
State Historical Building Code
The California State Historical Building Code (SHBC) provides building code alternatives for the rehabilitation, preservation, and adaptive reuse of qualified historic buildings. It offers flexibility in meeting building standards while ensuring safety, allowing historic properties to retain their character-defining features. The SHBC helps make preservation projects more feasible and cost-effective without compromising public health or safety.
State Tax Credits
Enacted in 2019 through Senate Bill 451, the California State Historic Rehabilitation Tax Credit program provides financial incentives for the rehabilitation of historic buildings. Similar to the federal program, it encourages investment in local economies while supporting the preservation of structures that contribute to a community’s unique character. Properties must be listed on the California Register of Historical Resources to be eligible.
Federal Tax Credits
The Federal Historic Preservation Tax Incentives program is widely recognized as one of the most effective and economical tools for revitalizing communities. It offers a 20% Rehabilitation Tax Credit for the certified rehabilitation of historic buildings that are listed individually on the National Register of Historic Places, designated as National Historic Landmarks, or contribute to National Register Historic Districts.
Other resources
- California Preservation Foundation – See “Find Funding” tab
- Preservation Sacramento – See “Resources” tab
- National Fund for Sacred Places – Grant assistance for historic places of worship
Any questions?
Contact preservation@cityofsacramento.org.