CINCINNATI — Cincinnati City Council will vote Wednesday on a 30-year property tax exemption for a developer working to rehabilitate and convert Carew Tower into apartments.
The Budget and Finance Committee on Monday approved the agreement, a move city leaders believe will contribute to efforts to revitalize downtown Cincinnati.
“It’s sitting there vacant; without offices, without residential, without retail, there would be a hole in the middle of downtown,” council member Jeff Cramerding said.
Moving this $161.9 million project forward comes with a substantial tax incentive for New York-based developer Victrix Investments, granting them a 30-year tax exemption that totals approximately $37 million.
City leaders said they believe this project will help meet the city’s housing goals and significantly increase the residential population in the downtown area.
Rental rates haven't been solidified, but this development will be market price — with an estimated average rent for a one-bedroom, starting at $1,950
“It’s amazing to see what can be done with this building," council member Mark Jeffreys said. "The great thing is the developer has already proven what he can do with Macy’s.”
You can watch the breakdown of this proposed redevelopment below
During the tax-free period, the developer is projected to contribute $16.7 million to Cincinnati Public Schools, $1 million to the streetcar, and generate $962,000 in income tax. The project is expected to result in 375 market-rate apartments:
- 246 one-bedroom units (average rent $1,950)
- 109 two-bedroom units (average rent $2,700)
- 20 three-bedroom units (average rent $3,300)
The developer recently completed renovations of the former Macy's headquarters building, another office space turned residential living space.
Despite concerns regarding the feasibility of converting the iconic Carew Tower into residential apartments, Cramerding is confident the project can be completed as proposed and on time.
“I am told that the Carew Tower, even though it’s old, accommodates residential living within its existing floor plan,” Cramerding said. “Other office buildings, such as the former Macy’s office tower, required extensive structural changes to make them suitable for residential spaces, making that project more complicated.”
Interior demolition of the Carew Tower has already begun, signaling the start of what many hope will be a transformative project for downtown Cincinnati.
The developer plans to start construction at the end of 2025 and complete the project by 2029. WCPO attempted multiple times to speak to the developer, but he did not want to talk on camera.
