Single Family Demolition/Rebuild Incentive

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The City of Carrollton’s Single Family Demolition/Rebuild Incentive is part of the Neighborhood IMPACT initiative. The program objective is to promote the removal and replacement of aging single-family housing stock in Neighborhood Empowerment Zones. This program provides incentives to any homeowner or homebuilder who demolishes an existing single-family home in an Empowerment Zone and rebuilds a new home on the same lot within 24 months.

To establish if your address is located in a Neighborhood Empowerment Zone, type the address in the search box below. The following web pages are provided as a public service. The City of Carrollton assumes no liabilities for any errors, omissions, or inaccuracies in the information provided regardless of how caused; any decision made or action taken or not taken by the user in reliance upon any information or date furnished hereunder.

A qualified applicant will be eligible for the following incentives from the City of Carrollton for the demolition and reconstruction of a single-family structure:  

  • The applicant will be reimbursed up to 100% of the cost of demolition of the existing structure as determined by the City Council on a case-by-case basis.
  • For new construction cost  (excluding land value), the incentive will be a single payment equal to a 100% abatement of municipal ad valorem property taxes times 10
  • A higher reconstruction incentive may be applied on a lot where a house was demolished without participation in the Property Demolition Grant Program, as determined by City Council on a case-by-case basis.
  • Construction values will be determined at the time of building permit issuance
  • New construction value is the difference between the value of the new construction and the value of the existing house, as such existing value is determined by the appraisal district for the year in which the incentive agreement is approved by the City Council
  • All construction permit fees required by the City of Carrollton, including demolition fees, directly related to the demolition and rebuild will be waived

Incentive Examples

Example 1:  $350,000 (new value, excluding land value) and $50,000 (existing value, excluding land value) 

$350,000 – $50,000 = $300,000 
$300,000 – 20% = $240,000 taxable homestead value 
$240,000 x $0.612875/$100 valuation = $1,471 municipal ad valorem tax 
$1,471 x 10 = $14,710 total lump sum cash incentive + applicable permit fee waivers 

Application Process

  •  An application for incentive must be submitted in approved format to the Environmental Services Department by the land owner. If the property has multiple owners, all owners must sign the application. Staff will verify ownership information   
  • The owner(s) shall at the time the application is submitted include three estimates detailing the demolition costs as well as a project timeline
  • The application shall describe the owner’s plans for the property after the demolition takes place
  • Project review of each application is required by city staff including appropriate comments and recommendations for changes prior to submission to the City Council Re- Development Sub-Committee   
  • All applications will be reviewed by the Re-Development Sub-Committee. Any modifications to the application will be made prior to forwarding the application to the full City Council with a recommendation for approval or denial   
  • City Council will review the recommendation of the Re-Development Sub-Committee and vote to either approve or deny the grant application   
  • The grant incentive will consist of cash payment payable upon successful completion of the project as outlined in an incentive agreement to be entered into between the City and the owner of the property 

* Applications are determined on a case-by-case approach. Exceptions to this policy may be approved by the Re-Development Sub-Committee

For assistance in applying, and/or to review program details and guidelines,  please contact the Neighborhood Partnership Office at or (972) 466-4299.  A copy of the application is available here