The Power of Preservation: SHPO’s Positive Footprint in Phoenix

The Arizona State Historic Preservation Office (SHPO) serves as a cornerstone institution for historic preservation in Phoenix, providing essential funding, technical assistance, tax incentives, and regulatory oversight that has generated millions of dollars in economic investment while preserving the city's unique cultural heritage. Through multiple programs and initiatives, SHPO has positioned Phoenix as a leader in historic preservation statewide.

Heritage Fund Grants: Significant State Investment in Phoenix

Since the Heritage Fund's reinstatement in 2022, Phoenix has emerged as one of the primary beneficiaries of these critical preservation grants. The data reveals Phoenix’s exceptional success in securing state funding:

2022-2024 Heritage Fund Awards to Phoenix:

• Edison Impact Hub: $300,000 (with $131,734 local match)

• Seargeant Oldaker House: $324,329 (with $216,220 local match)

• Cartwright Heritage House: $170,549 (with $113,670 local match)

• Monroe Street Abbey: $186,389 (with $124,259 local match)

• Total Heritage Fund Investment: $981,267 in state funds leveraged $585,883 in local investment.

This represents 24% of all Heritage Fund awards statewide from 2022-2024, demonstrating Phoenix’s exceptional ability to develop competitive preservation projects and secure state funding.

National Register of Historic Places

Under SHPO's guidance and technical assistance, Phoenix has achieved remarkable success in National Register recognition:

• 277 individual property listings on the National Register

• 53 historic districts encompassing 7,749 contributing properties

• Phoenix has the most individual property listings and the most historic districts in the state

• Coronado Neighborhood Historic District is the largest in Phoenix with 866 contributing resources.

This National Register success provides the foundation for federal and state tax credit programs, regulatory protection, and enhanced property values throughout Phoenix.

Historic Property Tax Reclassification: Economic Development Tool

SHPO administers the State Property Tax (SPT) program that provides significant economic incentives for historic property maintenance:

• 4,081 SPT participants in Phoenix (residential properties)

• Represents 44% of all statewide SPT participants (9,283 total)

• Provides annual property tax savings for historic property owners

• Encourages ongoing maintenance and preservation of historic buildings

Historic Tax Credit Program: Leveraging Private Investment

Recent Successful Projects (2020-2023):

• Luhrs Building: $33.5 million in Qualified Rehabilitation Expenditures (QREs)

• First Baptist Church (Monroe Street Abbey): $13 million QREs

• Total recent investment: $46.5 million

Long-term Impact (2001-2023):

• Total QREs: $135,879,401 in private investment leveraged by tax credits

• Represents 70% of all statewide QREs

• Housing projects: $72,948,703 of the total investment

• Current active projects: Six additional projects in various stages of completion

Current Projects in Pipeline:

• San Carlos Hotel (Downtown)

• Arizona Title Building (Downtown)

• Security Building (Downtown)

• Prairie Apartments (412 S Roosevelt)

• Six Points Hardware (Grand Avenue)

• Quebedeaux Chevrolet (Grand Avenue)

Section 106 Federal Compliance: Protecting Heritage During Development

SHPO provides essential federal compliance review under Section 106 of the National Historic Preservation Act, ensuring historic properties are considered in federally-funded projects:

Current High-Profile Projects:

• Federal Transit Administration: South Central Light Rail Extension

• Federal Transit Administration: Capitol Light Rail Extension

• HUD Choice Neighborhoods: $220 million redevelopment in the Edison-Eastlake Community

• Statewide Broadband Equity Deployment Project (NTIA funding)

• EPA/WIFA City-wide Waterline Modernization

Without SHPO's Section 106 review services, these projects would face significant delays and potential loss of federal funding, particularly affecting affordable housing developments that depend on complex financing timelines.

Economic Impact and Conclusion

The Arizona State Historic Preservation Office's programs have generated exceptional returns for Phoenix:

• Over $135 million in documented private investment through tax credit programs

• Almost $1 million in direct state Heritage Fund grants leveraging $over $500,000 in local matching funds

• Annual property tax savings for over 4,000 historic property owners

• Regulatory protection ensuring consideration of historic properties in major federal projects worth hundreds of millions of dollars

Phoenix’s success in securing a disproportionate share of state preservation resources (24% of Heritage Fund awards, 70% of state QREs, 44% of SPT participants) demonstrates both the city's commitment to historic preservation and SHPO's recognition of Phoenix as a preservation leader. The State Historic Preservation Office serves not merely as a regulatory agency, but as an essential economic development partner that helps Phoenix leverage its historic assets for community revitalization, affordable housing creation, and cultural tourism while maintaining the authentic character that makes the city unique.

The data clearly demonstrates that SHPO's continued support is critical to Phoenix’s ongoing success in balancing historic preservation with economic development, ensuring that the city's remarkable collection of historic resources continues to serve as engines of community and economic development for future generations.