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Commercial Conversion Tax Credit Initiative

Learn more about the Executive Office of Housing and Livable Communities Commercial Conversion Tax Credit Initiative, which assists in converting commercial properties into housing.

The Commercial Conversion Tax Credit Initiative (CCTCI), established by the Affordable Homes Act and administered by the Executive Office of Housing and Livable Communities, assists in financing the conversion of commercial buildings into residential or mixed-use housing. 

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Read or Download the Commercial Conversion Program Guidelines  Read or Download the Commercial Conversion Tax Credit Initiative Fact Sheet 

At a Glance  

  • Total credit authority: $10 million (calendar year 2025) distributed in one funding round
  • Typical award per project: $2.5–$3 million (size-dependent)
  • Who can apply: For-profit and non-profit developers
  • Where: Any Massachusetts community (see priorities below)
  • Affordable units: Encouraged, but not required. By statute, at least 80% of units must be market-rate.
  • Municipal support: Sign-off from the chief elected officer is required; municipal contributions are strongly encouraged.
  • Readiness: Zoning must already allow the proposed conversion; additional readiness factors will be considered. 

What We Fund 

  • CCTCI supports the repurposing of commercial buildings into housing (or housing within mixed-use).
  • Eligible project status: Projects must first be certified by HLC as a Qualified Conversion Project to apply for credits.
  • Demolition/reconstruction: Considered on a case-by-case basis.
  • Eligible costs: Construction or substantial rehabilitation costs only (no acquisition). By statute, tax credit awards cannot exceed  10% of eligible development costs; final award amounts are set by HLC within annual authority. 

Priorities & Preferences 

  • Scale: Larger projects (generally 50+ units).
  • Readiness: Projects that can move quickly (zoning in place and other readiness indicators).
  • MassHousing technical assistance communities: preference for projects identified in 2024–2025 as strong residential conversion candidates by MassHousing’s Commercial Conversion Initiative. These communities include: Fitchburg, Gardner, Holyoke, Maynard, New Bedford, Northampton, Pittsfield, Revere, Springfield, Spencer and Worcester. 
    Projects in other communities are still eligible and will be considered.
  • Local Contribution: Preference for projects supported by local funds. 

Eligibility Checklist 

  • You are a for-profit or non-profit developer.
  • Your project is/will be certified by HLC as a Qualified Conversion Project.
  • The local chief elected officer will provide sign-off.
  • Zoning already supports the proposed conversion.
  • Funding request aligns with a typical $2.5–$3 million award range and overall 10% statutory cap on eligible costs.
  • You can document eligible construction/rehab costs (no acquisition). 

How Awards Are Determined 

HLC evaluates applications against 2025 priorities (scale, readiness, and alignment with MassHousing TA work), statutory limits (up to 10% of eligible costs), and overall program availability ($10 million total authority for 2025). 

Timeline 

  • EOHLC intends to allocate $10 million in CCTCI to eligible projects under a forthcoming NOFA during a limited funding competition in September 2025.  EOHLC will accept CCTCI applications on or before September 25, 2025, and anticipates making the first awards during November or December 2025. 

Contact

Questions about eligibility, certification, or HDIP coordination:
Samantha Graves — samantha.graves@mass.gov

Note: This page is a summary. Refer to the official 2025 Commercial Conversion Program Guidelines and CCTCI NOFA materials for full requirements and deadlines. 

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