Rural Demolition Program

The Demolition Program provides grants to local governments to assist with the demolition of blighted, publicly owned buildings to encourage site redevelopment for economic development purposes.

Eligibility Guidelines: 

• The unit of local government is required to own the property.
• The building must be vacant for three (3) years prior to the proposed demolition.
• Once the demolition is completed, the property may not be used for government/public use, parking, recreation, or housing for at least three (3) years after the award date.
• The local government must contribute at least 25% of the total project cost as a cash match. The cash match shall come from local resources and may not be derived from other State or Federal grant funds
• There must be a reasonable expectation of private sector investment and job creation at the rehabilitated site. Properties zoned for residential use are not eligible for this grant.
• Grant funds may only be used for demolition and removal of the subject building.
• Upon completion of the project, the property must be site ready for development.

Eligible Applicants:

Eligible applicants are units of local government located in Tier 1 or Tier 2 counties, or within a rural census tract in a Tier 3 county. As prescribed in N.C.G.S. 143B-472.127(a)(2), 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. Tier ranking information can be found here on the NC Department of Commerce website. 

Funding Availability:

Funding amounts are determined by the county tier level, size of the building, and the potential for economic impact and job creation on the redeveloped site. Below are the maximum award amounts available:

• Up to $75,000 for buildings 100,000 square feet or less
• Up to $150,000 for buildings over 100,000 square feet and/or
• No more than $12,500 per projected job to be created on the rehabilitated site

Awards are made by the Rural Infrastructure Authority (RIA). This body meets six times per year to award projects. Meeting dates and application deadlines can be found here.

For application materials, click here.

Contact Information:

Hazel Edmond, Director
Rural Engagement & Investment
Rural Economic Development Division
984-297-5082 (Mobile)
hazel.edmond@commerce.nc.gov