Former military bases across South Carolina are being transformed into new community hubs, and a new state law is accelerating this redevelopment by allowing funding to be used for affordable housing.
Governor Henry McMaster, state lawmakers, and local officials gathered at the site of the former Charleston Naval Base this week to mark the implementation of the new legislation. The law enhances the power of Tax Increment Financing (TIF) districts established on old military properties.
TIF districts allow local governments to invest in infrastructure improvements within blighted or abandoned areas. These initial investments are then repaid using the increased property tax revenues generated by the subsequent redevelopment.
The core change in the new law allows tax revenues collected in TIFs at former military base sites to be specifically directed toward building affordable housing.
This legislation is seen as crucial for some of South Carolina’s fastest-growing areas. By reinvesting the revenue locally, development can be accelerated and long-term community goals can be achieved faster.
The change took effect on July 1 and currently applies to the three former military base TIFs in the state:
- The Charleston Naval Base Complex
- The former Myrtle Beach Air Force Base
- The Savannah River Site Redevelopment Authority
The former Charleston Naval Base, once the state’s largest civilian employer before its 1996 closure, is a prime example of an area benefiting from the update. The new law is expected to not only strengthen the state’s connection to the military and support new infrastructure but also create housing opportunities that benefit families and businesses across the region.
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