Bill > HR537

This bill, called the "INCREASE Housing Affordability Act", aims to incentivize the conversion of underutilized commercial buildings into residential units through a comprehensive tax credit program and support system. The bill introduces a new tax credit that provides 15% of qualified conversion expenditures for commercial buildings that are transformed into residential or mixed-use spaces, with a maximum credit of $200,000 per new housing unit and $10 million per converted building. The tax credit includes bonus incentives for developers who create affordable housing units (with additional credits for units rented to low-income residents) and those who pay prevailing wages during the conversion process. To further support these conversions, the bill also establishes a Commercial to Residential Conversion Advisory Board within the Department of Housing and Urban Development, which will provide technical assistance, best practices, and training to state and local housing agencies to help identify and advance conversion opportunities, streamline regulatory processes, and identify funding sources. The advisory board will be composed of at least 20 members and will receive $5 million in funding annually from fiscal years 2025 through 2029. By offering financial incentives and expert guidance, the bill seeks to address housing shortages and repurpose underused commercial real estate in a strategic manner.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/537/all-info