Establishes the "Revitalizing Missouri Downtowns and Main Streets Act"
HB 900 creates the “Revitalizing Missouri Downtowns and Main Streets Act” and adds a new section to Missouri law authorizing state income tax credits for the conversion of older office buildings into residential, retail, or other commercial uses. The credit equals 25% of qualified conversion expenditures for a qualified converted building, or 30% for upper-floor housing located in a qualified Missouri Main Street district. The bill applies to tax years beginning on or after January 1, 2026, and allows unused credits to be carried back three years or forward ten years, transferred, sold, or assigned.
The bill is designed to encourage downtown redevelopment by offsetting rehabilitation costs for vacant or underused office properties, especially in Main Street districts. It sets detailed eligibility rules, application procedures, approval timelines, financing and construction-start requirements, and final certification steps. It also limits credits to $50 million per fiscal year, reserves 25% of the annual cap for Main Street district projects, and provides special treatment for very large buildings over 750,000 square feet. The Department of Economic Development would administer the program and report annually on its overall economic impact.
HB 900 would amend Chapter 99, RSMo, by creating a new state tax credit program for adaptive reuse and downtown revitalization projects. It would affect property owners, developers, partnerships, LLCs, and financial institutions involved in converting eligible office buildings, and it would give the Department of Economic Development authority to review applications, issue approvals, certify expenditures, and promulgate rules. The bill would also interact with Missouri’s redevelopment tax credit framework for financial institutions and impose a 27-year waiting period before credits can be claimed again on the same building.
Based on the bill text and the absence of recorded committee testimony or votes in the provided materials, the overall sentiment appears supportive of downtown redevelopment and commercial-to-residential conversion incentives. The proposal is structured as an economic development measure aimed at encouraging investment in older urban properties and Main Street areas. No formal opposition, amendments, or recorded vote outcomes are included in the provided context, so there is no documented split in sentiment from the available materials.
The main points of potential contention are the size and structure of the tax credit program. Critics could focus on the $50 million annual cap, the special reservation for Main Street districts, and the exception for very large buildings, all of which affect how limited credits are distributed. There may also be concern about administrative complexity, because the bill requires detailed applications, proof of financing, construction deadlines, and multiple review stages, and it allows credits to be transferred or sold. Supporters are likely to emphasize the redevelopment benefits, while any opposition would likely center on fiscal exposure, fairness in allocation, and whether the credits will produce measurable economic returns.