Rural Building Reuse Program

The Rural Building Reuse Program, administered by the North Carolina Department of Commerce’s Rural Economic Development Division, is designed to spur job creation in rural communities by providing financial support for building renovation and development projects. The program is one of several initiatives under the Rural Engagement & Investment (RE&I) section and is authorized under N.C.G.S. 143B-472.127. It aims to assist local governments in Tier 1 and Tier 2 counties, or those in designated rural census tracts within Tier 3 counties, in improving commercial or health care-related real property that will result in the direct creation of new, full-time, private sector jobs. There are three funding categories available under the Building Reuse Program: Vacant Building, Existing Business Building, and Rural Health Care. Each is targeted at a different stage of business occupancy and development. Vacant Building grants support the renovation or upfitting of buildings that have been unoccupied for a minimum of three months before the application deadline. Projects can include upgrades such as HVAC, plumbing, roofing, and interior finishes, provided they remain within the existing footprint of the building. Existing Business Building grants target companies that have occupied the project building for at least 12 months and seek to expand their operations. These applicants must meet local wage standards and provide at least 50% employer-paid health benefits. The Rural Health Care category supports the construction, renovation, or expansion of health care facilities operated by licensed providers, including hospitals, urgent care centers, elder care facilities, and mental health providers. Applicants must be units of local government. The program mandates a cash match equal to the grant amount, creating a dollar-for-dollar funding requirement. Additionally, award amounts are capped at no more than 50% of the total renovation or construction costs. All awarded projects include claw-back provisions, which require grant repayment if the promised job creation goals are not met and sustained for at least six consecutive months during the two-year performance period. The job creation must consist of new, full-time positions (35+ hours/week) filled by individual employees, excluding part-time, contract, or FTE positions. The grant application process begins with a mandatory pre-application conference call that includes the local government, the business owner, and the property owner (for building reuse projects). To request a call, the applicant must submit select pages from the application package along with two proposed dates. After the call, the applicant submits a full application, including financial documentation, site control documents, and budget estimates. Projects must also include evidence of baseline employment and job creation targets, using the NCUI 101 Form submitted to the Department of Employment Security. Applications are submitted via email to [email protected]. The Rural Infrastructure Authority (RIA) meets six times a year to review and award grants. The upcoming application deadlines are January 8, February 26, and April 23 of 2026, with award decisions made approximately six weeks after each deadline. This indicates a recurring structure for the program, though the timeline may vary based on funding availability. Contact details for program assistance include Hazel Edmond, Director of Rural Engagement & Investment, reachable at [email protected] or 984-297-5082. Overall, the Rural Building Reuse Program provides an essential mechanism for rural communities to attract or retain businesses through property redevelopment, thus catalyzing economic growth. Its strong emphasis on job creation, health care access, and private-sector development aligns with the state’s broader rural development objectives.

Engage early through the required pre-application call; ensure job creation documentation matches state wage standards and insurance criteria.