The City of Paducah is proud to announce that applications are now open for the new Southside Housing Incentive Program, a key initiative supporting the Southside Revitalization Plan. Applications are available in the Planning Department office inside City Hall at 300 South 5th Street, on the Southside webpage, and through the City’s Online Services Portal . Applications will be accepted on an ongoing basis and reviewed on a first-come, first-served basis.
This simplified program is designed to encourage investment in the Southside by providing financial incentives for improving, repairing, remodeling, or reconstructing existing homes, as well as constructing new homes. The incentives currently apply to the Phase 1 area, which includes 1061 properties and approximately 400 vacant parcels.
“The Southside Housing Incentive Program is a major milestone in our ongoing commitment to revitalizing the Southside,” said Mayor George Bray. “This initiative not only supports current residents who want to reinvest in their homes but also encourages new development that strengthens our neighborhoods. By making it easier and more affordable to build and improve homes, we’re laying the foundation for long-term growth, stability, and pride in the Southside community.”
“This program is designed to be accessible and impactful for both homeowners and developers,” said Planning Director Carol Gault. “Our goal is to see visible progress quickly, with new homes under construction as early as this spring. By offering clear incentives and hands-on support, we’re helping residents and builders turn their ideas into lasting neighborhood transformation.”
Homeowner Grant Incentive
The Homeowner Grant Incentive provides a 30 percent reimbursement of project costs, up to a maximum of $30,000 per property. For example, if a homeowner spends $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. Eligible projects include new construction and major rehabilitation such as windows, siding, electrical systems, HVAC, roofs, porches, interior remodels, and accessibility ramps. Routine maintenance, appliances, and furniture are not eligible.
Developer Grant Incentive
The Developer Grant Incentive helps close the gap between the cost of construction and the appraised value of a newly built home. The maximum award per home is $75,000. For instance, if a home costs $200,000 to construct but appraises at $125,000, the Developer Incentive Grant will provide $75,000 to bridge that gap.
The grant is applied as a down payment for the new homeowner, who must reside in the home for at least 10 years. If the homeowner moves before that period, a prorated portion of the incentive must be repaid to the City.
Developers must apply before construction begins, and only one application per property will be accepted. A homeowner or buyer must be identified before the City issues the grant award. Each application will be reviewed and approved by the Urban Renewal and Community Development Agency.
Technical Assistance and More Information
The Paducah Planning Department will host technical assistance workshops to guide applicants through the process and answer questions in person. Details about workshop dates and registration will be announced soon.
For more information about the Southside Revitalization Plan, adopted by the Paducah Board of Commissioners in August 2025, including incentive programs, the Phase 1 map area, and upcoming events, visit Southside.
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