4(d) Affordable Housing Incentive Program

The Rochester-Olmsted County 4(d) Affordable Housing Incentive program is a voluntary program that helps rental property owners obtain property tax reductions while preserving affordable housing for income-qualified renters in our community. The current Rochester-Olmsted County 4(d) Affordable Housing Incentive Program application is for the Tax Assessment Year 2027 - Tax Payable Year 2028; the tax savings for this application will not be realized until the Tax Payable Year 2028.

Properties taxed under the 4(d)1 classification are at the 0.25% rate, which is approximately an 80% reduction from the general multifamily housing tax rate classification of 1.25%. In return for the property tax reduction, the rental property owner agrees to keep the property affordable to income-qualified renters for 10 years. Eligible properties include any multi-family property that has a valid City of Rochester housing registration certificate with four or more units, 20% of which must meet program rent and income limits.

There are two categories of projects that can apply for the Rochester-Olmsted County 4(d) Affordable Housing Incentive program. Please see the program guidelines for more information:

• Preservation Projects – 4(d) eligible properties with Certificates of Occupancy
• New Construction Projects - 4(d) eligible properties and has received the original building Certificate of Occupancy after January 1, 2025.

How to apply

The application window for new property enrollment opens yearly between November 1 and January 31. Please review the application materials below and send completed materials to Olmsted County Housing Program Manager Mark Engel for consideration.

Questions? 
If you have questions about the Rochester-Olmsted 4(d) Affordable Housing Incentive program, please email Olmsted County Housing Program Manager Mark Engel.