Maryland Department of Housing and Community Development Invests $73.3 Million in Community Revitalization

The State of Maryland has announced a significant investment of $73.3 million in awards aimed at bolstering community revitalization and economic development across the state. These funds, allocated through the Department of Housing and Community Development’s six State Revitalization Programs for Fiscal Year 2027, will support 247 projects. The initiative is designed to benefit county and municipal governments, community development organizations, and other vital community partners, focusing on enhancing disinvested communities throughout Maryland.

The awarded projects encompass a wide range of activities critical for local improvement and growth. These include supporting business expansion and retention efforts, implementing façade and streetscape enhancements, providing incentives for homeownership and home rehabilitation, developing community facilities, and facilitating mixed-use development and demolition activities. This investment is projected to generate over $1.3 billion in economic impact for Maryland towns and cities, aligning with the administration’s goals of fostering a more affordable and economically competitive state for all residents. The selection process involved a competitive, multi-agency review.

Several specific programs are highlighted within this substantial funding package. The Strategic Demolition Fund, dedicated to accelerating economic development in existing communities, has allocated $10 million to 25 projects. These include a roof replacement program for low-income, single-family homes occupied by disabled individuals, the elderly, and veterans in Cumberland; the construction of affordable single-family homes and a homeownership program in Elkton; predevelopment and design work for the Downtown Frederick Hotel and Conference Center; and the demolition of a hazardous building on the Perch property in Princess Anne to create a new walking path.

The Baltimore Regional Neighborhood Initiative, focused on redevelopment within the Baltimore Beltway, received over $20 million for 83 projects. This funding will support housing acquisition and rehabilitation in Arundel Village and Brooklyn Heights, the development of a Workforce Development Makerspace at the Pikesville Armory, the restoration of historic elements at the North Avenue Market in Baltimore City, and the rehabilitation of the Upton Mansion to house the AFRO archives and serve as a cultural center in Baltimore City.

Similarly, the National Capital Strategic Economic Development Fund awarded more than $20 million to 34 projects in areas surrounding the Capital Beltway. Notable projects include the acquisition and activation of a vacant commercial space in Long Branch to support placemaking and attract small businesses, the construction of a new grocery store to serve the Park Place at Addison Road Metro community, the rehabilitation of Potts Hall into a Welcome Center for Mount Rainier, and critical infrastructure improvements for a future mixed-use development site in College Park.

The Community Legacy program will distribute over $8 million to 42 projects in designated Sustainable Communities. This funding will facilitate the rehabilitation of abandoned properties and the construction of new units for a 12-unit condominium for Habitat qualified homeowners in Frederick, the purchase of a property in Reisterstown to serve as a permanent Welcome Center, museum, and community hub, and the redevelopment of three buildings in downtown Easton.

The Maryland Facade Improvement Program has awarded more than $5 million to 46 projects statewide. These include grants for façade improvements in Westernport’s town center, Phase II of the Liberty Road Façade Improvement Initiative in Gwynn Oak, building enhancements in downtown Aberdeen, and the continuation of the Commercial Facade Improvement Program in Ocean City.

Additionally, $10 million in grants and loans from the Seed Community Development Anchor Institution Fund will support 17 community development projects in disinvested areas. This funding is directed towards higher education institutions and hospitals, including the construction of Washington College’s Innovation Plant in Chestertown, the creation of an oyster processing facility and bio labs at the University of Maryland Center for Environmental Science in Cambridge, and the establishment of the Strategic Operations Center in Downtown Baltimore, a joint facility aimed at enhancing public safety and coordinated outreach.

A significant portion of the total awards, $50.7 million, is designated for projects within “Just Communities,” areas where the state is intentionally directing investment to address past harms and reduce disparities. Furthermore, $18.6 million will support projects in ENOUGH-eligible census tracts, areas identified as having high concentrations of childhood poverty, underscoring the administration’s commitment to reducing childhood poverty.

The application period for the Fiscal Year 2028 State Revitalization Programs funding round is set to open on June 22, 2026, and will close on August 6, 2026. Interested entities can attend training webinars hosted by the Department on June 10, 2026, at 10:00 a.m., and June 11, 2026, at 1:00 p.m. Further details regarding training and the application process are available on the Department’s website.

Article by Mel Anara, based upon information from the Maryland Department of Housing and Community Development.

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