Spokane Preservation Advocates has launched a new fund to sponsor qualified nonprofit buildings in applying for the Spokane Register of Historical Places.

The fund will cover the cost of adding eligible churches, schools, and other buildings owned by nonprofits to the Spokane Register, says Tresa Schmautz, president of the preservation organization. That process typically ranges in cost from $3,000 to $5,000. 

When houses or commercial properties—those not owned by nonprofits—are placed on the Spokane Register, they become eligible for tax credits that go toward property taxes. But because nonprofits have pre-existing property tax exemptions, they wouldn’t benefit from the tax credits that come with being added to the Spokane Register.

“It’s quite a significant economic incentive to preserve historic property and put them on the Historic Register,” says Schmautz. “When it comes to buildings that are owned by nonprofits … that incentive goes away because they don’t pay property taxes.”

Many nonprofits don’t have the additional funds to be able to get listed on the Spokane Register, Schmautz says, so without the financial incentive brought on by tax credits, those building owners are less likely to apply to be listed.

SPA has raised $15,000 this year to put toward the fund, and plans to raise more money in April, Schmautz says. She expects the fund will help to add three or four nonprofit buildings to the Spokane Register each year.

Part of the inspiration for the creation of this fund stemmed from plans to raze the Chancery Building, located at 1023 W. Riverside.

As the Journal reported in 2021, Centennial Real Estate Investments, the owner of the Chancery Building, had announced plans to demolish the building and replace it with a multifamily complex.

The Chancery Building was constructed in 1910 and later owned for 40 years by the Catholic Diocese of Spokane until 2007, when the diocese sold it to Centennial Real Estate.

Although the building is within the Riverside Avenue National Register Historic District, it isn’t listed individually as historic, and it can be demolished under city code if it’s replaced by a building determined by the Spokane Historic Landmarks Commission to be appropriate.

“If it had been on the local historic registry, we wouldn’t be dealing with this,” Schmautz says. “Demolition wouldn’t be allowed.”

The Journal reported in June that the Chancery redevelopment project is on hold while the owner focuses on other developments and looks into selling the building.