The incentive landscape just changed — permanently
Opportunity Zones used to be a one-time, time-limited program from 2017 tax law. Under the One Big Beautiful Bill Act, they're now a permanent part of the tax code with rolling 10-year designation cycles. States opened a new nomination window on July 1, 2026 to designate zones for the 2027–2036 period, and none of the old zones carry forward automatically — every tract has to be freshly nominated and qualify under the new criteria. For anyone weighing where to put capital over the next decade, this is the first real window to get in early on a new round of zones rather than chasing ones already bid up.
Tax Increment Financing in Louisville
Louisville Forward's TIF program rebates a portion of the new state and/or local taxes a development generates back to the developer to help fund the project. To qualify, the property generally has to show at least two of seven statutory blight conditions, and the project has to satisfy a "but for" test — meaning it wouldn't happen without the incentive. Local TIFs need Louisville Metro Council approval; larger TIFs also need sign-off from the Kentucky Economic Development Finance Authority. It's a real tool, but it's not a rubber stamp, and structuring the application around the blight and "but for" tests correctly the first time matters.
Indiana's EDGE tax credit, for the Southern Indiana side
Indiana's Economic Development for a Growing Economy (EDGE) credit is a refundable corporate income tax credit tied directly to job creation — a percentage, up to 100%, of the new state income tax withholdings generated by the jobs a project creates, phased in annually over as long as 20 years as employment ramps up. For a Southern Indiana project with real hiring plans attached, it's one of the more direct incentive levers available, and it stacks differently than Kentucky's TIF structure.
What we look at with you
Incentives rarely stand alone. We look at which programs actually apply to your site and use (TIF, EDGE, Opportunity Zone eligibility, and others), whether they can be stacked, what the approval timeline does to your overall project schedule, and which agency — Metro Council, KEDFA, the Indiana Economic Development Corporation, or a zone administrator — has to sign off before you can rely on any of it.
Buying, selling, or developing with incentives in play
Incentive eligibility should factor into site selection from day one, not get bolted on after you're under contract. See the full land & development page, the Southern Indiana commercial page, and the commercial hub for the broader picture.
Frequently Asked Questions
Are Opportunity Zones still worth pursuing in 2026?
Yes, and arguably more so now. The One Big Beautiful Bill Act made Opportunity Zones permanent with rolling 10-year designation cycles, and a fresh nomination window opened July 1, 2026 for zones covering 2027–2036. Every zone has to be newly nominated and qualify under updated criteria, so this is a genuine first-mover window rather than a program winding down.
What does a property need to qualify for Tax Increment Financing in Louisville?
It generally needs to show at least two of seven statutory blight conditions and satisfy a "but for" test showing the project wouldn't happen without the incentive. Local TIFs need Louisville Metro Council approval; larger ones also need Kentucky Economic Development Finance Authority sign-off.
How is Indiana's EDGE tax credit different from Kentucky's incentives?
EDGE is a refundable Indiana corporate income tax credit tied to job creation, calculated as a percentage of new state withholding taxes and paid out over as long as 20 years as employment grows. It's a jobs-based credit rather than a tax-increment rebate, so it fits a different kind of project than TIF does.
Can incentive programs be combined on one project?
Sometimes — it depends on the specific programs, the site, and the agencies involved. That stacking analysis is part of what we look at with you before you commit to a site.
Do incentives change my project timeline?
Yes. Approval processes run through specific agencies (Metro Council, KEDFA, the Indiana Economic Development Corporation, or an Opportunity Zone fund structure), and building that approval time into your schedule up front avoids surprises later.
How do I get notified about incentive-eligible sites as they come up?
Sign up for our CRE Property Alerts and tell us you're watching land or development sites, and we'll flag matching opportunities as they come up.