After Leveraging Over $400 Million In Private Investment, The City of Wilmington Extends Its Downtown Development District Designation for An Additional Five Years

Dover, Del. November 20, 2024 – Today, the Delaware State Housing Authority (DSHA), Office of State Planning Coordination (OSPC), City of Wilmington, and community development partners gathered at the Delaware Historical Society (DHS) to celebrate the 10th anniversary of the Downtown Development District (DDD) Rebate Program and the City of Wilmington’s successful designation renewal.

• spur private capital investment in commercial business districts and other neighborhoods;
• stimulate job growth and improve the commercial vitality of our cities and towns, and
• help build a stable community of long-term residents in our downtowns and other neighborhoods.

“The Downtown Development Districts Act has spurred investments and renovations in communities across the First State over the past ten years,” said Governor John Carney. “I’m proud of how this program has grown, and the impact it has had on Delaware’s cities, towns, and residents. I want to thank the Delaware State Housing Authority, our municipalities, our investors, and all of our partners who have helped make this program so successful.”

The City of Wilmington was one of the first municipalities to receive a DDD designation in 2015. Over the past decade, Wilmington has leveraged the DDD program to transform 249 acres of its downtown areas into a premier live, work, and play destination. Completed projects have produced over 1,200 new residential units, 688 new jobs, 29 retail businesses, five entertainment options, and three hotels with 254 hotel rooms.

These projects were funded with over $400 million in private investment, resulting in $24 million in DDD rebates to qualified investors. After a thorough review by DSHA and OSPC, the City’s DDD designation application was renewed for another 5 years.

“We are proud to have been selected as one of the first cities in Delaware to receive a Downtown Development District designation ten years ago,” said Mayor Mike Purzycki. “This has been a game changer in many ways, enabling us to revitalize and transform our downtown in ways that were hardly imaginable before 2015. Market Street, in particular, has finally arrived and is showing off its immense potential. And in addition to the many new businesses that have opened in that time span, with the hundreds of jobs they’ve created, there are now thousands of people living downtown, which has not only helped to expand our tax base but has created a sense of vitality and excitement that continues to spread throughout the entire City.”

DHS was selected as the venue for this celebration because of the organization’s commitment to preserving significant historical structures on Market Street, which led to receiving a $200,753 DDD funding reservation this year.

The program is simple. Qualified investors —including small business owners, developers, and homeowners — with eligible planned or completed property investments in one of the 12 districts receive a 20% rebate on exterior, interior, and structural improvements.

For example, an investor making $45,000 worth of qualifying investments in a district would be entitled to a DDD grant of up to $4,000. Property investments can include new construction, renovation, adaptive reuse of vacant buildings, and preserving significant historical structures.

“DDD isn’t just about buildings; it’s about people,” said David Edgell, Director of OSPC. “DDD rebate recipients are not just beneficiaries; they are part of a support network and receive supplemental partner incentives from municipal governments and non-profit partners. This additional support is our way of showing appreciation for their commitment to the program.”

Local city and town managers in the 12 districts also receive training from DDD partners like DSHA, OSPC, and the Division of Small Business, as well as online resources, marketing material, and coaching to support their ongoing revitalization efforts.

The 12 DDD Districts are Dover, Wilmington, Seaford, Georgetown, Harrington, Laurel, Milford, Smyrna, City of New Castle, Clayton, Delaware City, and Middletown. Dover and Seaford were the other two municipalities that received a designation in 2015. DSHA, OSPC, and partners will host similar celebrations in each city in the coming weeks.

“DSHA is proud to administer the DDD program. Its success is a collective achievement we can all take pride in seeing within our communities,” said Cynthia Karnai, Director of DSHA. “We know that administration is only a portion of the equation and look forward to celebrating each district’s fantastic work and achievements as OSPC and DSHA receive more designations renewals in the future.” 

Funding for the DDD Rebate Program is limited. Large project reservation applications, which are projects that cost more than $350,000, are due to DSHA by 4:00 p.m. on February 26, 2025. Small project reservation applications, which cost between $25,000 and $350,000, are accepted on a rolling basis, subject to funding availability.

For more information on the DDD Rebate program, please visit https://www.destatehousing.com/build/ddd-program/.

About Delaware State Housing Authority

The Delaware State Housing Authority (DSHA), formed in 1968, is dedicated to providing quality, affordable housing opportunities and appropriate supportive services to low- and moderate-income Delawareans. In addition to its role as the State’s Housing Finance Agency, DSHA is unique in that it also serves as a Public Housing Authority and acts as a Community Development Agency. As a Public Housing Authority, DSHA receives funding from HUD to build and operate public housing in Kent and Sussex counties, two of Delaware’s three counties. For more information about DSHA, please call (302) 739-4263 or visit destatehousing.com.

Dover, Del. March 10, 2023 – The Downtown Development Districts (DDD) program, administered by the Delaware State Housing Authority (DSHA), recently released its Fiscal Year 2022 (FY2022) Annual Report and Story Map.

During FY2022, 64 development projects were completed receiving $4.6 million in state funds and leveraging $44 million in private investment. A majority were accomplished by rehabilitating existing buildings, which had been long vacant, and placing them back into productive use.

In addition, several historic properties were renovated to include mixed-use buildings with commercial or retail on the first floor and residential on the upper floors, helping to preserve the character of Delaware’s downtowns.

• Ninth Street Holdings LLC in New Castle – A dilapidated structure, considered a blight on the neighborhood, was demolished and replaced with six town homes with brick
• Triple Twelve LLC in Middletown – Originally a residence dating back to the 1800s, this building has been renovated into a tasting room and beer garden for a micro-brewery. This popular destination is attracting more visitors to Middletown while supporting surrounding businesses.
• 200Front LLC in Milford – Long dilapidated structures were demolished over several parcels to construct and design nine affordable townhomes to complement the North Milford Historic District.

The DDD program was created by legislation proposed by Governor Markell and passed unanimously in May 2014 by the General Assembly. Through state and local collaborations, robust incentives are provided to overcome the financial barriers and redevelopment challenges associated with downtown infill development.

Since its inception, the program has catalyzed private investment in designated Delaware’s downtown districts, spurring 357 projects completed and placed in service to transform distressed downtown areas into vibrant community centers.

The twelve districts are dispersed across the state, including Clayton, Delaware City, Dover, Georgetown, Harrington, Laurel, Middletown, Milford, New Castle, Seaford, Smyrna, and Wilmington.

Further development successes can be found on the program’s Story Map. This interactive website details the DDD projects in local areas that have received rebates or are currently in the pipeline.

Applications for 2022 Large Projects are currently closed. Applications for 2022 Small Projects are accepted on a rolling basis. For more information on DDD, please visit the DSHA website. The full annual report is available here.

About Delaware State Housing Authority

The Delaware State Housing Authority (DSHA), formed in 1968, is dedicated to providing quality, affordable housing opportunities and appropriate supportive services to low- and moderate-income Delawareans. In addition to its role as the State’s Housing Finance Agency, DSHA is unique in that it also serves as a Public Housing Authority and acts as a Community Development and Planning Agency. As a Public Housing Authority, DSHA receives funding from HUD to build, own and operate public housing in Kent and Sussex counties, two of

Delaware’s three counties. For more information about DSHA, please call (302) 739-4263 or visit destatehousing.com.

GEORGETOWN – Governor John Carney, Delaware State Housing Authority (DSHA) Director Anas Ben Addi, local legislators, town officials and members of the business community celebrated the grand opening of Splash Laundromat on Friday and presented a Downtown Development Districts (DDD) rebate check in the amount of $457,997 to owners Enrique and Veronica Nunez. The Nunezes applied for and received a DDD reservation in fall 2017 in support of the project.

“I am honored to celebrate the grand opening of Splash Laundromat and present a DDD rebate check to Enrique and Veronica Nunez for their hard work to help revitalize Georgetown’s downtown area,” said Governor Carney. “This project demonstrates how the DDD program can be used as a valuable resource during this time for small businesses looking to expand, entrepreneurs opening new businesses, and homeowners completing renovation projects in our state’s downtowns.”

During Friday’s event, Director Ben Addi also announced that the latest round of funding is now available for large project rebate reservations through the DDD program. DSHA is accepting applications from investors and business owners through January 8, 2021.

“Community development is central to DSHA’s mission, and we are pleased to be able to offer this funding to support continued economic growth in our downtowns,” said DSHA Director Anas Ben Addi. “We hope Enrique and Veronica Nunez’s story will inspire other business owners and investors to take advantage of the DDD program and apply for an award for their own large or small projects in one of the state’s 12 designated districts.”

The Nunezes purchased the property where Splash Laundromat is located in September 2015. At that time, the structure was vacant, but since then, the Nunezes have renovated and expanded the building to include the laundromat, a hair salon, and a coffee shop and snack bar on the first floor with three apartments on the second floor. The total development cost for the project was nearly $2.7 million.

“We could not have completed this project without the support of the DDD program,” said Enrique Nunez. “This program gave us the financial security of knowing we would receive a portion of our total development cost back as a rebate. For a small business owner, this security is crucial, especially given the current economic situation, and we are grateful to DSHA and the State of Delaware for offering business owners like us the opportunity to participate in the DDD program.”

Established in May 2014, the DDD program was created to spur private capital investment in commercial business districts and other neighborhoods; stimulate job growth and improve the commercial vitality of our cities and towns; and help build a stable community of long-term residents in our downtowns and other neighborhoods. Investors who make qualified real property investments in one of 12 designated districts can apply for a rebate of up to 20 percent of eligible costs. The designated districts are: Clayton, Delaware City, Dover, Georgetown, Harrington, Laurel, Middletown, Milford, the City of New Castle, Seaford, Smyrna and Wilmington.

Since the first reservation awards in April 2015, the DDD program has been a catalyst for private investment in Delaware’s downtowns, with $36 million in rebates through the program leveraging $630 million in private investment in designated downtown districts in all three counties.

Under the latest round of funding, investors can apply for a DDD reservation award for large property construction or redevelopment project investments of more than $350,000. Applications for small projects – an investment between $25,000 and $350,000 – are accepted on a rolling basis throughout the year based on available funding. During this funding round, $10 million is available for large projects while $2 million is available for small projects.

Investments eligible for DDD rebate funds include capital investments on rehabilitation, expansion or new construction for commercial, industrial, residential or mixed-use buildings within the district boundaries. Rebates are issued after the project is completed. Qualified applicants include property owners, tenants, for-profit developers, nonprofit organizations, businesses and homeowners.

Applications for large project rebate funding must be received by DSHA by 4 p.m. on January 8, 2021. Additional information and application materials are available at www.destatehousing.com/ddd or can be obtained by calling DSHA at 888-363-8808.

DOVER – Delaware State Housing Authority (DSHA) is accepting applications through June 1 for large project rebate reservations through the Downtown Development Districts (DDD) program. Investors who make qualified real property investments in one of 12 designated districts can apply for a rebate of up to 20 percent of eligible costs. The designated districts are: Clayton, Delaware City, Dover, Georgetown, Harrington, Laurel, Middletown, Milford, the City of New Castle, Seaford, Smyrna and Wilmington.

“Community development is central to DSHA’s mission, and we are pleased to be able to offer this funding to support continued economic growth in our downtowns,” said DSHA Director Anas Ben Addi. “We know many businesses and homeowners across our state are grappling with the impacts of the COVID-19 crisis, and we want to remind them that the DDD program can be a valuable resource during this time. Funding is available for restaurants working on renovations, a property owner looking to upgrade office space or the homeowner undergoing an extensive residential rehab project.”

The application period is for large property construction or redevelopment project investments of more than $350,000. Applications for small projects – an investment between $25,000 and $350,000 – are accepted on a rolling basis throughout the year based on available funding. During this funding round, $7 million is available for large projects while $2 million is available for small projects.

Investments eligible for DDD rebate funds include capital investments on rehabilitation, expansion or new construction for commercial, industrial, residential or mixed-use buildings within the district boundaries. Rebates are issued after the project is completed. Qualified applicants include property owners, tenants, for-profit developers, nonprofit organizations, businesses and homeowners.

Established in May 2014, the DDD program was created to spur private capital investment in commercial business districts and other neighborhoods; stimulate job growth and improve the commercial vitality of our cities and towns; and help build a stable community of long-term residents in our downtowns and other neighborhoods.

Since the first reservation awards in April 2015, the DDD program has been a catalyst for private investment in Delaware’s downtowns, with $36 million in rebates through the program leveraging $582 million in private investment in designated downtown districts in all three counties.

Applications for large-project rebate funding must be received by DSHA by 4 p.m. on June 1. Additional information and application materials are available at www.destatehousing.com/ddd or can be obtained by calling DSHA at 888-363-8808.

Governor Carney designates new districts in Delaware City, Middletown, New Castle and Clayton 

DELAWARE CITY, Del. – Governor John Carney on Monday announced the latest cities and towns receiving a Downtown Development Districts (DDD) designation. The program significantly builds on the state’s efforts to redevelop Delaware’s commercial business districts and drive private investment in towns and cities.   

Governor Carney officially designated four new Downtown Development Districts – in Delaware City, Middletown, New Castle and Clayton. Investors who make qualified improvements to residential, commercial or industrial properties in those districts now may qualify for state and local development incentives, including a rebate of up to 20 percent of eligible costs upon completion of the project.

“The Downtown Development Districts program is already bringing significant private investment to the eight currently designated cities and towns, and I am thrilled to welcome these four new designations to the program,” said Governor John Carney. “This expansion continues our commitment to revitalizing our downtown business districts and surrounding neighborhoods.”

Established in May 2014, the DDD program was created to spur private capital investment in commercial business districts and other neighborhoods; stimulate job growth and improve the commercial vitality of our cities and towns; and help build a stable community of long-term residents in our downtowns and other neighborhoods.

Since the first reservation awards in April 2015, the DDD program has been a catalyst for private investment in the eight Delaware downtowns previously designated. Those districts are: Dover, Georgetown, Harrington, Laurel, Milford, Seaford, Smyrna and Wilmington. To date, $31.6 million in rebates through the program has leveraged $597 million in private investment in those designated downtown districts.

Governor Carney made the announcement in downtown Delaware City on Monday morning, joined by local officials representing the new districts.

“We are excited about the transformation that will occur in downtown Delaware City thanks to this program. We want our residents to be able to live, work and enjoy themselves in our downtown, and this designation will go a long way to helping us achieve that,” said Delaware City Mayor Paul H. Johnson, Sr.

“The City of New Castle is honored to accept the Governor’s Downtown Development District designation, and we are excited to see the positive changes this program can have for our community,” said New Castle City Mayor Michael J. Quaranta. “Investors looking to make improvements in our city now have another incentive to help further strengthen our community.”

“The Town Council and I are committed to continuing the economic growth in Middletown, particularly within the main commercial district,” said Middletown Mayor Ken Branner. “We firmly believe this designation, combined with significant local incentives, will encourage private investment in the downtown areas that have been left out of current development.”

“This Downtown Development Districts designation provides a wonderful opportunity for the Town of Clayton to jump start our revitalization,” said Clayton Vice Mayor Alex Dias. “By participating in the program, our downtown is certain to prosper, maintain its character, and be the center of our community.”

The DDD program is administered by the Delaware State Housing Authority (DSHA). In October, DSHA will launch a new funding round for large projects in each of Delaware’s Downtown Development Districts. Nearly $8 million in funding will be available for projects statewide. Applications to fund small projects are accepted on a rolling basis.

“We’re thrilled to work with homeowners, developers, and small business owners to drive investment in all of the newly-designated districts,” said Anas Ben Addi, Director of the Delaware State Housing Authority. “This program is already successful in the eight current districts, and we look forward to even more progress statewide.”

Governor Carney announced in February that the DDD program would expand through new district designations. Delaware’s Office of State Planning Coordination led the process to review the applications and designate the new districts. Applications were scored based on the town or city’s need for Downtown Development District incentives, the jurisdiction’s downtown revitalization plan and the creativity of its incentive package.

“All of Delaware’s towns and cities are unique, and I am so pleased that we were able to expand this program to the four diverse communities being recognized today,” said State Planning Director Constance Holland. “The best part of this program is that it supports such a wide range of redevelopment activities so each town can thrive. This program demonstrates that the state supports all of our local governments and their visions of economically vibrant, healthy, and complete communities.”

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