Rural Downtown Economic Development Grants

Rural Downtown Economic Development Grants

Status: ACTIVE
Funder: North Carolina Department of Commerce
Amount: Up to US $850,000
Last Updated: March 11, 2026

Summary

The Rural Downtown Economic Development Grants program, administered by the North Carolina Department of Commerce, aims to revitalize downtown areas in the state's most distressed counties. This initiative prioritizes projects that enhance public infrastructure, support economic development, and foster community-wide uses. Eligible local government units can receive grants up to $850,000, focusing on initiatives that leverage downtown assets for economic growth while ensuring a cash match of at least 5% from local resources.

Overview

Background The Rural Economic Development Division, as authorized under N.C.G.S 143B-472.127, administers grants to local government units awarded by the Rural Infrastructure Authority to support downtown revitalization/economic development activity. The program gives priority to projects located in the 80 most distressed counties in the state, and local units of government working with the Rural Economic Development Division’s NC Main Street & Rural Planning Center. Purpose The purpose of the program is to support downtown revitalization and economic development initiatives that are intended to help local governments grow and leverage downtown districts as assets for economic growth, economic development, and prosperity. Projects This program will support projects that: Provide public improvements that help retain businesses and attract customers to business districts.Support publicly owned downtown economic development initiatives that leverage main streets and downtown districts as economic engines.Facilitate publicly owned building improvements that are used for community-wide uses or mixed-use development in or on properties that are publicly owned and controlled. Funding Availability The potential funding available for each project will be assessed through analysis of the project and will be based upon the project’s location in the downtown district, its community-wide use, the anticipated economic impact of the project, and at the discretion of the Rural Infrastructure Authority. The maximum grant amount is $850,000 per grantee and may not exceed $12,500 per projected job created or retained. There is no minimum grant amount. Applicants should consider feasibility as it relates to the overall cost of any project. Grant administration costs are limited to five percent (5%) of the awarded grant total.

Eligibility

We've imported the main document for this grant to give you an overview. You can learn more about this opportunity by visiting the funder's website. Eligible applicants are units of local government located in Tier 1 or Tier 2 counties, and rural census tracts in Tier 3 counties. For the purposes of this program, units of local government are defined as municipal or county governments within the state of North Carolina.Eligible projects are located in the downtown or central business district within Tier 1 and Tier 2 Counties, and Rural Census Tracts in Tier 3 Counties, are eligible for funding. A rural census tract is an area having a population density of less than 500 people per square mile in accordance with the most recent decennial federal census.Eligible ActivitiesProjects funded under the Rural Downtown Economic Development Category may include the following types of activities:Public Infrastructure Improvements to publicly owned infrastructure in a downtown district, that serve a community-wide use, such as lots, alleys, streetscapes, waterfront developments, and parksPublic Buildings (Renovation or Additions)Improvements to publicly owned buildings in a downtown district that serve a public, community-wide use, such as a community center, theater, civic center, recreation center, or library.Mixed-Use Downtown Development (Renovation or Additions)Improvements to publicly owned property in a downtown district that may be zoned and developed for a mix of uses.The mix of uses may include two or more of the following:retail, restaurant, service, professional, nonprofit, governmental, institutional, or residential.Match RequirementA cash match equivalent to at least 5% of the grant amount is required for all projects.The cash match shall come from local resources and may not be derived from other State or Federal grant funds.Projects must be completed within 36 months of the award.

Ineligibility

The cash match may not be derived from other State or Federal grant funds.Costs that are ineligible for grant funding may not be considered for the match. The only exception is paid grant administration when paid to an organization separate from the applicant organizationIn-kind match is not allowable.