Commercial Rehabilitation 

The Commercial Rehabilitation Grant Program is administered by the Kansas Department of Commerce under the federally authorized Community Development Block Grant program. This initiative is rooted in Title I of the Housing and Community Development Act of 1974 and is designed to support local economic development by revitalizing privately owned commercial buildings in downtown or commercial districts. The program is intended to strengthen communities by improving building conditions, supporting business activity, and addressing either economic opportunity for low- and moderate-income individuals or physical blight conditions. The primary purpose of the program is to fund rehabilitation projects that return underutilized or deteriorating commercial properties to productive use. Funds must be used strictly for building improvements and cannot be used for direct business assistance. Eligible activities vary depending on the selected national objective. Projects may focus on job creation or retention benefiting low- and moderate-income individuals, or on eliminating blight through structural and safety-related improvements. Eligible uses include structural repairs, accessibility improvements, fire and life safety systems, mechanical upgrades, and exterior rehabilitation, while ineligible uses include routine maintenance, residential improvements, and aesthetic upgrades not tied to safety or code issues. Funding is provided with a maximum award of 300000 dollars per project, with a total program funding pool of approximately 1200000 dollars and an expected two awards. A matching requirement of 25 percent of the grant request is mandatory, and matching funds must be secured and documented at the time of application. At least 10 percent of the match must be cash from local sources, while limited in-kind contributions are permitted. Administrative costs are capped at either 12.5 percent of the grant or 35000 dollars, whichever is less. Eligibility is limited to non-entitlement units of general local government, specifically cities and counties within Kansas that do not receive direct federal CDBG allocations. These local governments apply on behalf of private property owners. The assisted buildings must be privately owned commercial properties intended for use by for-profit businesses providing goods or services. Nonprofits, government-owned properties, and certain entitlement communities are excluded. Projects must include a clear building reuse plan and business plan demonstrating economic viability and intended occupancy. The application process includes several required steps. Applicants must first submit a pre-application for review and approval before submitting a full application. Additional requirements include conducting public hearings, securing matching funds, completing a preliminary engineering or architectural report, and preparing environmental review documentation. Applications are submitted online, and incomplete submissions are not considered. Required documentation includes budgets, certifications, business plans, environmental forms, and evidence of community engagement. Applications are evaluated based on a scoring system that considers community revitalization efforts, project scope and impact, financial capacity of the owner, quality of the business plan, and readiness to proceed. Projects must meet one of the program’s national objectives and demonstrate compliance with public benefit standards where applicable. Award decisions are typically made within approximately 45 days after the submission deadline, and funded projects are expected to be completed within a two-year period, with design and review occurring in the first year and construction in the second. The program operates on an annual cycle, with applications accepted from March through mid-October and a firm submission deadline of October 16 at 11:59 PM Central Time. A pre-application deadline of September 15 applies for initial eligibility screening. Award notifications follow approximately six weeks after the deadline. Ongoing compliance requirements include quarterly reporting, adherence to federal regulations such as NEPA and Davis-Bacon, and maintaining project records. Program inquiries can be directed to the Kansas Department of Commerce via email at CDBG@ks.gov or by phone at 785-296-3481.

Ensure strong business plan and financial capacity documentation; demonstrate clear community impact and readiness to proceed; secure all matching funds before applying; align project clearly with a national objective