Palm Coast Launches New Program to Attract Private Investment in SR 100 Corridor Before Redevelopment Zone Expires

The City of Palm Coast has launched the Vertical Development Incentive Program (VDIP), a new initiative aimed at drawing private investment into a specific section of the city’s State Road 100 Community Redevelopment Area (CRA) before the district is set to expire in 2034. The program was approved by the Palm Coast City Council at its April 21, 2026 meeting.

What the program does and why it exists

A Community Redevelopment Area is a designated zone where local governments can capture and reinvest the growth in property tax revenue to fund improvements and attract development. Palm Coast’s SR 100 CRA was established in 2004 and is scheduled to expire in 2034 — giving developers roughly eight years to complete projects before the district closes.

The problem the VDIP is designed to solve is a timing issue. Large-scale development projects typically take two to three years to design, permit, and build. Once the CRA expires, any projects that are not yet generating tax revenue cannot be captured. That tight window makes the corridor less attractive to investors who need to see a meaningful return before the deadline hits. The VDIP addresses this by offering financial incentives scaled to encourage developers to move quickly and build substantially.

How the incentives work

Under the VDIP, qualifying projects can receive annual cash reimbursements based on a portion of the new property tax revenue their development creates — called tax increment financing. The reimbursement amounts are scaled based on how much private money the developer invests, and the program includes a multiplier adjustment to account for the CRA’s shortened remaining life. Projects that move quickly or are built on five or more acres may qualify for additional incentives.

Importantly, no money is paid out upfront and none comes from the city’s general operating budget. All incentive payments come only from the new tax revenue the project itself generates — meaning the city only pays after a building is completed, assessed by the property appraiser, and actively contributing new taxes to the CRA fund.

Where the program applies

Participation is limited to a specific geographic area within the CRA. To be eligible, a project must be located within the following boundaries: east of Old Kings Road, west of Landing Boulevard, north of Royal Palms Parkway, and south of Central Avenue.

Who can apply and what is required

To qualify, a project must be located within the designated zone, involve new vertical construction or significant redevelopment of an existing property, meet minimum investment thresholds set by the program, and demonstrate that the incentive is necessary for the project to move forward. Applicants must also prove they control the site, show they are ready to develop, submit supporting financial documentation, and enter into a formal development agreement with the city. Purely residential developments are not eligible — the program is limited to commercial and mixed-use projects.

How to get more information

Developers, property owners, or anyone interested in learning more or applying for the program can contact the city’s Economic Development Coordinator, Jazmin Rosario, at 386-986-2626.