98-088
Response April 26, 1999
REQUEST
LETTER
December 14, 1998
Re: Safe
Haven
Dear Mr. Chapman:
The purpose of this letter is to request an Advisory
Opinion Statement concerning availability of Historic Tax Credits that may be
obtained for the adaptive re-use
rehabilitation the existing BUILDING LOCATION, Utah. The following information
is provided to assist you providing this statement:
DESCRIPTION
OWNER:
COMPANY is a
private, non-profit corporation DESCRIPTION. They purchased the project site
from the INDIVIDUAL.
PROGRAM:
The project program consisted of an adaptive re-use remodel
of a DESCRIPTION historic warehouse building DISCRIPTION.
CONSTRUCTION:
Construction started DATE and was completed DATE.
HISTORIC TAX CREDIT:
The Historic Preservation Certification Application,
Part 1-Evaluation of Significance was submitted to Mr. Charles. Shepherd, the
Utah Division of State History, Office of Historic Preservation in DATE. A favorable Preliminary Determination for
meeting National Register Criteria for listing in the National Register of
Historic Places, DATE, was received from the National Park Service.
The Historic Preservation Certification Application,
Part 2-Description of Rehabilitation was submitted to the State Historic
Preservation Office in DATE.
The Historic Certification Application, Part 3-Request
for Certification of Completed Work is currently being prepared. An informal
walk-thru of the project was conducted with Charles Shepherd and Barbara Murphy
of the State Historic Preservation Office on DATE. They were very pleased with rehabilitation results.
CONSTRUCTION COSTS:
DESCRIPTION
PROJECT FUNDING:
See enclosed summary.
Please contact me to discuss this matter in greater
detail.
Sincerely,
INDIVIDUAL
April
26, 1999
COMPANY
ADRESS
RE: Advisory
Opinion - Utah’s Historic Preservation Tax Credit BUILDING
Dear NAME,
We
have received ATTORNEYS request for an
advisory opinion concerning the availability of Utah’s historic preservation
tax credit for a project owned by your corporation, specifically, the
rehabilitation BUILDING. ATTORNEY indicates that the building, upon its
rehabilitation, will be owned and used by your corporation, COMPANY ,
DESCRIPTION.
A
tax credit is allowed for qualified rehabilitation expenditures incurred in
connection with a residential certified historic building under Utah Code Ann.
§59-7-609. “Residential” is defined by
Subsection (2)(c) to mean “a building used for residential use, either owner
occupied or income producing.” Utah
Admin. Rule R865-6F-26(A)(3) states that “”[r]esidential” as used in Section
59-7-109.5 applies only to the use of the building after the project is
completed.” (In 1995, Section
59-7-109.5 was repealed and replaced by Section 59-2-609.)
Upon
rehabilitating the building, COMPANY plans
to use the building to DESCRIPTION. No
portion of the building is intended to become a person’s permanent
residence. The building, like a
hospital or other temporary care facility, is considered to be commercial in
nature and not a “residential” building for purposes of Utah’s historic
preservation tax credit. Accordingly,
no historic preservation tax credit is available for Utah tax purposes.
Please contact us if you have any other questions.
For
the Commission,
R.
Bruce Johnson
Commissioner
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