Southside Revitalization Plan and Incentives

Contact

Southside Neighborhood Revitalization Logo with an outline of a house, tree, and loving handsSouthside Revitalization Plan

Plan's Purpose

Below is the Southside Revitalization Plan which has been under development since late 2024. It was adopted by the Paducah Board of Commissioners on August 12, 2025, following the guidelines of KRS 99.37. Revitalizing the Southside has been a priority of the Paducah Board of Commissioners since 2021 with the goal of targeted empowerment, engagement, and beautification of Southside neighborhoods and the business community.

The Southside Revitalization Plan serves as a foundational guide for the City of Paducah to address the housing needs of the Southside. Housing is an essential pillar of a community’s well-being, providing the foundation for economic stability, social equity, and quality of life. For many, it is also one of the most reliable ways to build wealth. This report offers an overview of the current housing landscape, including key factors such as affordability, availability, and accessibility. It also highlights the significant housing gaps and outlines a strategic approach to begin addressing these challenges.

This plan is an extension and expansion of the work that has been done since 2021 to gather public input and revitalize the Southside. Neighborhood meetings were held in 2021 along with Neighborhood Spruce Up events. In 2022, a Southside Steering Committee was created and gathered feedback for two years. In 2023, the initial Southside Incentive program was developed which offered home beautification microgrants and new construction and major rehabilitation grants. Now, the City of Paducah is ready to provide a new incentive program for homeowners and for developers.

This plan is a creative, hands-on, strategic approach aimed at jump starting the reinvestment and revitalization of the Southside.

Southside Revitalization Plan


Southside Incentive Programs

NOTE: The applications for the new incentive programs will be launched in mid-January 2026. Check back for more information.

Southside Phase I Map areaOperating through the Planning Department, the City of Paducah has collaborated with Southside residents and community stakeholders to create housing-centric and economic-opportunity focused incentives for the Southside.

These programs, approved by the Paducah Board of Commissioners in December 2025, aim to offer grant funding to rehabilitate and improve the conditions of existing homes and to incentivize new residential development. These new incentive programs will be administered by the Planning Department and the Urban Renewal and Community Development Agency (URCDA). URCDA is a board authorized by KRS to oversee the revitalization of neighborhoods. URCDA successfully managed the Lowertown and Fountain Avenue Revitalization Programs and will now manage the Southside Revitalization Area.

The incentives, which are for the Phase 1 area at this time (see Phase I Program Area Map), are divided into two main categories: homeowner grants and developer grants. The Phase 1 area includes 1061 Southside properties, which includes 400 vacant parcels. The available incentive programs are as follows:

HOMEOWNER GRANT INCENTIVE - The Homeowner Grant Incentive will provide a 30 percent reimbursement of project costs with $30,000 as the maximum that could be provided for a project. For example, if a homeowner spent $25,000 on new windows and a roof, the City will provide a reimbursement of 30 percent of the cost which would be $7,500. This includes new construction and major rehabilitation. Rehabilitation projects include windows, siding, electrical, HVAC, roofs, porches, interior remodel, accessibility ramps, etc. This grant will not include general maintenance such as pressure washing, appliances, or furniture.

DEVELOPER GRANT INCENTIVE - The Developer Grant Incentive closes the gap between the cost of construction and the appraised value of a newly constructed home. The maximum award for a home is $75,000. For example, if a home costs $200,000 to construct, but the appraised value is $125,000, the Developer Incentive Grant will provide $75,000 to cover the difference between the construction cost and appraisal. This grant is used by the new homeowner as a down payment toward the cost of the home. The new homeowner will be responsible for living in the home for at least 10 years. If the homeowner leaves before that time, then the homeowner will be responsible to pay a prorated amount of the incentive back to the city. A few additional requirements for the Developer Incentive Grant include that the developer must apply for the grant prior to the home’s construction, only one application for a single property, and a homeowner/buyer must be determined prior to the City providing the grant award. Each application will be forwarded to the URCDA for review and approval. The goal is for developers to begin the construction of ten new homes in the spring 2026.


Upcoming Events

Check back here for information on upcoming events organized by the City of Paducah for the Southside.


Stay Informed and Share Your Thoughts


Southside Neighborhoods

The Southside has eight neighborhoods. Below is a map showing the boundaries. Learn about Paducah's neighborhoods, how to be a good neighbor, organizing in your neighborhood, and more by visiting Neighborhoods in Paducah. To find out which neighborhood is yours, click the button and type in your address.

Which Neighborhood is Mine?

Southside Neighborhoods Map

Commission Priorities

Read all Commission Priorities and Continuous Improvement Items by visiting Commission Priorities.