Pilot Program Aids Renovation of Historic Hotel Pere Marquette in Downtown Peoria
PEORIA, IL – June 21, 2010 – (RealEstateRama) — Governor Pat Quinn today signed a bill into law that will create a pilot program to provide a state tax credit for the renovation of the historic Hotel Pere Marquette in downtown Peoria. The project is expected to generate 1,000 jobs and lead to economic benefits for central Illinois.
“This pilot program at the Hotel Pere Marquette will help restore and expand the hotel and keep it a prime source of revenue for Peoria and the surrounding area,” said Governor Quinn. “I am pleased to sign this legislation that saves history and keeps the Peoria economy healthy.”
According to the Illinois Historic Preservation Agency (IHPA), historic renovations yield one of the highest ratios of jobs per dollar as compared to other construction projects. Illinois already has a federal tax credit in place that provides a 20 percent federal income tax incentive for the rehabilitation of historic incomeproducing properties.
Senate Bill 2534 gives a state tax credit of 25 percent of the amount of the eligible expenditures for the Hotel Pere Marquette renovation and expansion. Historic preservation groups see the pilot program as a positive step toward the ultimate implementation of a state historic tax credit. The majority of Midwestern states have a state historic tax credit.
The pilot state program, which could amount to an estimated $8 million in tax credits for the Hotel Pere Marquette, is administered by the Illinois Historic Preservation Agency (IHPA).
The Hotel Pere Marquette was built in 1927 and for decades has hosted presidents, heads of state, visiting dignitaries and celebrities. Its last major renovation occurred in 1981. The planned $40 million renovation will allow the hotel’s continued use in the 21st century, and the work has already been certified for a federal tax credit because of its careful attention to historical accuracy. The Hotel is considered nationally significant as evidenced by its inclusion in the National Register of Historic Places.
Senate Bill 2534 was sponsored by Sen. David Koehler (D-Pekin) and Rep. Jehan A. Gordon (D-Peoria) and passed the Illinois General Assembly with overwhelming support. It takes effect immediately.
Governor Quinn signed the legislation at the Hotel Pere Marquette in Peoria