Urban Redevelopment Corporations are private, limited dividend entities authorized by statute to undertake residential, commercial or industrial projects in areas, which are considered to be substandard, decadent or blighted open areas. These projects, called 121A developments, are exempt from real and personal property taxes, betterments and special assessments. The tax exemptions encourage development in areas with high property tax rates or in areas that are minimally marketable as locations for private investment. They also provide municipalities with at least some tax revenue on properties that would otherwise have been undeveloped. The DCS provides assistance in the development and implementation of these projects.
Non-profit corporations, for-profit corporations, joint ventures or public/private partnerships may make use of M.G.L. 121A agreements. See also, 760 CMR 25 . Insurance companies and banks also qualify under special statutory provisions of the law.
Urban Redevelopment Corporations may not undertake more than one M.G.L. 121A project nor engage in any other type of activity.
DHCD provides no direct funding to Urban Redevelopment Corporations.
How to Apply
Procedures for establishing an Urban Redevelopment Corporation are detailed in the publication, Urban Redevelopment Corporations .
For additional information, please call the Division of Community Services at 617-573-1400.