Palm Springs, CA
The City of Palm Springs and the Palm Springs Plaza Theatre Foundation have announced a major financial milestone in the ongoing restoration of the historic Plaza Theatre. Through a creative collaboration with the National Trust Community Investment Corporation (NTCIC), the City has secured approximately $2.8 million in Federal Historic Tax Credits, helping to significantly offset restoration costs for the nearly century-old landmark.
NTCIC, a subsidiary of the National Trust for Historic Preservation, served as the tax credit syndicator for the project. The Palm Springs City Council recently approved the tax credit financing proposal and structure, marking the first time the City has pursued this kind of historic tax credit financing. The funds will be distributed to the City over time, providing crucial financial support for the restoration effort.
“This is the first time the City of Palm Springs pursued this kind of financing,” said City Councilmember and Plaza Theatre Foundation liaison Jeffrey Bernstein. “Pursuing this was an enormous creative effort that required time and resources from both the City and the Foundation. Many thanks go to Foundation board member Judith Blanchard, along with the many other hardworking team members, including City staff, who have been working on this complicated project for nearly two years. Successfully securing these funds greatly benefits not only the theatre but the entire community.”
The Federal Historic Tax Credit program was established in 1976 to encourage the preservation and rehabilitation of certified historic structures. It provides a 20% tax credit for qualified expenses related to restoring properties deemed historically significant by the U.S. Secretary of the Interior through the National Park Service.
According to Blanchard, who spearheaded the effort with NTCIC, the funding represents a major step forward for the ambitious project. “Historically preserving, restoring, and updating this nearly 100-year-old building is an expensive project, but pursuing the Federal Tax Credits allowed us to net $2.8 million to offset the overall construction costs,” she said. “It was a long and complicated process, but this success shows what can happen through strong public-private collaboration. We greatly appreciate the City Council’s support.”
The Plaza Theatre Foundation continues its multi-faceted fundraising campaign to restore the theatre, which has been a cornerstone of downtown Palm Springs since its opening in 1936. The project aims to modernize the facility while preserving its historic charm and architectural integrity.
NTCIC is among the nation’s most active tax credit syndicators, supporting architectural preservation, community development, and renewable energy initiatives. Since its founding in 2000, the organization has provided more than $2 billion in capital for nearly 250 tax credit investment projects, representing over $11 billion in total development costs nationwide.
For more information about the Plaza Theatre restoration and ongoing fundraising efforts, visit PalmSpringsPlazaTheatre.com.