Look for Historic Tax Credits in New Orleans – 2025 Guide
- CR Office
- Apr 13
- 3 min read
New Orleans is a city where history lives in every building, block, and balcony. From Creole cottages to grand Victorian homes, preserving the city’s architectural charm is more than just aesthetic—it’s an investment in culture, community, and opportunity. If you're considering restoring a historic property in the Crescent City, 2025 is shaping up to be a great year to take advantage of Historic Tax Credits (HTCs).
Here’s what you need to know about how to benefit from these powerful incentives.
What Are Historic Tax Credits?
Historic Tax Credits are government-backed incentives designed to encourage the preservation and rehabilitation of historic buildings. These credits help offset the cost of restoring and adapting properties that are listed (or eligible for listing) on the National Register of Historic Places or located within a registered historic district.
There are two main types available:
Federal Historic Tax Credit – Offers a 20% credit for qualified rehabilitation expenses (QREs).
Louisiana State Historic Tax Credit – Adds up to 25% for commercial or residential properties in certified cultural districts.
Combined, these can cover up to 45% of your qualified renovation costs—an enormous boost for developers, investors, and even homeowners.
Why 2025 Is a Smart Time to Act
The landscape for historic tax credits in Louisiana is especially favorable in 2025 due to:
Renewed state support: Louisiana has extended its state HTC program through at least 2026, with increased clarity around eligibility and funding.
Cultural district expansion: New Orleans has seen the designation of several additional cultural districts in recent years, making more properties eligible for the state credit.
Growing demand for adaptive reuse: From Bywater to Central City, the market is hot for mixed-use developments in revitalized historic buildings.
These factors make this year a prime time to explore preservation projects while reducing out-of-pocket expenses.
What Types of Properties Qualify?
Properties must meet certain criteria to qualify for HTCs:
The building must be certified as historic, either individually or as part of a recognized district.
The work must be substantial (meeting minimum investment thresholds).
Renovations must adhere to the Secretary of the Interior’s Standards for Rehabilitation.
Common eligible projects include:
Commercial and mixed-use buildings
Multi-family rental housing
Owner-occupied homes in some cases (state credit only)
Hotels, restaurants, offices, and more
Steps to Claim Historic Tax Credits
Confirm Historic Status: Check if your property is listed or eligible for listing on the National Register or is in a certified historic district.
Consult a Preservation Expert: Working with a tax credit consultant or architect familiar with historic standards can help maximize your benefits.
Submit Part 1 Application: For federal credits, you must submit plans to the National Park Service and the State Historic Preservation Office (SHPO).
Begin Qualified Rehabilitation Work: Only qualified expenses count, so follow the rules closely.
Claim Credits: Once certified, you can claim credits on your state and/or federal tax returns.
Real Examples in New Orleans
Some recent success stories include:
Renovated Warehouses in the CBD transformed into boutique hotels
Bywater Creole Cottages restored for residential and short-term rental use
Uptown Commercial Corners turned into cafes and co-working spaces
These projects not only benefited from the tax credits but also helped preserve the unique cultural fabric of New Orleans.
Final Thoughts
Whether you're a developer eyeing a commercial conversion or a homeowner hoping to bring an old house back to life, historic tax credits in New Orleans can significantly reduce the financial burden in 2025. Not only are you restoring a piece of history, you’re investing in the city's future.
Disclaimer:
This blog post is intended for informational purposes only and does not constitute legal, tax, or financial advice. Historic Tax Credit programs are subject to change, and eligibility requirements may vary based on property type, location, and scope of work. Before pursuing any tax credit or rehabilitation project, please consult a qualified tax professional, attorney, or preservation consultant. The author and publisher assume no liability for actions taken based on the information provided in this article.
