Economic Development Programs

The mandate of the Economic Development Committee is to create business development, recruitment, retention, and expansion programs to foster retail, restaurant and service business growth in Downtown Hampton. In addition, implement programs that will create a strong Downtown community and provide support in the implementation of the Downtown Hampton Master Plan.

FY08 Accomplishments:

Assisted in the recruitment of 11 new businesses.
Supported the continuation of the "No-Boat Tax" in Hampton.
Supported significant development projects including the Kings Way Corporate Condos and Crowne Plaza Hampton Marina Hotel.
Supported the continued implementation of the Downtown Master Plan.
Property values increased by 13%.
Supported the construction of 165 new apartments and condos in Downtown.
Successfully developed and implemented the rent assistance and property improvement grant programs. The two new economic development incentive programs assisted in the recruitment of new retail businesses and increased the property values on three buildings.
Maintained databases on local businesses, downtown demographics and available office and retail space to better service potential new businesses in Downtown Hampton.

The BID strives to bring about, encourage, and sustain the economic revitalization of Downtown Hampton, in what ever form that may take. The BID envisions Downtown as being a charming waterfront village and a destination for every tourist and visitor.

The DHDP Economic Development Committee has developed 3 new incentive programs for Downtown Hampton Property Owners. The DHDP staff looks forward to working with you; please contact Sherry Spring at 727-1271 or This e-mail address is being protected from spambots. You need JavaScript enabled to view it for more information.

Incentive #1: Rent Assistance Program
Designed to promote and encourage the recruitment of retail (including restaurants) tenants on the first floor, store fronts, of existing buildings downtown. This incentive provides cash grants to property owners to assist in the buy down of lease rates to attract retail tenants to the ground floor of downtown buildings.

Eligible properties: All properties located within the Business Improvement District who are current on BID tax payments.
Program administration: The Downtown Hampton Development Partnership (DHDP) administers this program. The Economic Development Committee reviews and approves all applications for financial assistance.
Program details: The DHDP will provide the property owner up to $1,000 per year as long as the retail tenant remains in the building. The rent rate must be in keeping with average rent per square foot for downtown properties. To receive this assistance, the legal property owner must request and complete an application and attach a copy of the lease agreement with the new tenant. Applicants must furnish a list of all their current business partners and staff members, be financially stable and not owe any back taxes. This program was approved and funded beginning July 1, 2007 and will be replenished on a fiscal year basis. Incentives will be provided until the funds are depleted. Property owners will be considered on a first come first serve basis and must contact the DHDP with their interest to participate in this program so their property can be marketed for retail tenants.
Recruitment Assistance: The DHDP will provide support and assistance in recruiting retail tenants by: Providing and promoting a database of available space to commercial realtors and providing demographic and supporting statistical information for recruitment.

Incentive #2: Property Improvement Incentive
Designed to promote and encourage retail recruitment (including restaurants) and retention by providing assistance to property owners for façade improvements, renovations, new signage, landscaping and/or build outs to attract new tenants.

Eligible properties: All properties located within the Business Improvement District who are current on BID tax payments and have qualified for the Hampton Neighborhood Retail Revitalization Program (see attached) through the Department of Economic Development. The building must be a stand-alone existing building or redevelopment project - less than 50,000 square feet with a retail component.
Program administration: The Downtown Hampton Development Partnership (DHDP) administers this program. The Economic Development Committee reviews and approves all applications for financial incentives.
Program details: Once the property owner has been approved for the Hampton Neighborhood Retail Revitalization Program through the Department of Economic Development, the DHDP will review and consider funding to assist in the buy-down costs for the property owners portion of the matching grant through the City. If approved, the DHDP will provide .50 cents for every dollar the property owner spends on façade improvements or other projects listed in the first paragraph above up to $5,000. This program was approved and funded beginning July 1, 2007 and will be replenished on a fiscal year basis. Incentives will be provided until the funds are depleted. Property owners will be considered on a first come first serve basis and must contact the DHDP with their interest to participate in this program so their property can be marketed for retail tenants.
Recruitment Assistance: The DHDP will provide support and assistance in recruiting retail tenants by: provising and promoting a database of available space to commercial realtors and providing demographic and supporting statistical information for recruitment.

Incentive #3: Leasing Intiative
The plan is simple. We’ll pay a finder’s fee equal to the full lease commission, up to $1,200, when a licensed realtor brings certain new businesses to Downtown Hampton.

Program Overview:
The company whose agent brings the tenant to the space will receive a finder’s fee equal to the entire commission being paid by the property owner not to exceed $1200. Such amount to be paid upon tenant’s opening for business or tenant’s rent commencement. The commissions will only be paid to licensed commercial real estate agents.
Only properties within the downtown BID will be eligible. No commission will be paid out for properties where the BID tax payment is not current. The Partnership will maintain a list of eligible properties on its website and will make that list available to any agent asking for it.
All businesses must also qualify operationally and financially through evidence of 1) another business in operation in another location, 2) a proven ability to operate a business, and/or 3) a business plan with demonstrated financial wherewithal to operate for two years. The DHDP Board of Directors reserves the right to make exceptions to the list of qualified businesses.
The program will terminate when the initial funding is depleted or June 30, 2009, whichever occurs first. The Board of Directors may, at its discretion, decide to extend the program or terminate it earlier.
The finder’s fee will be provided only for businesses falling into the following retail categories: Restaurants, Grocery, Entertainment, Specialty Shops (Children’s, Pets, Jewelry, etc.), and Marine Retail.

There are four stipulations:

First, the leased property must be within the Downtown Hampton BID. The Downtown Partnership maintains a complete list of eligible properties on its website: www.downtownhampton.com.

Second, we want businesses that build our strength in certain niches and help build foot traffic in the downtown. That means the new business must be from our list of qualified business types.

Third, we want businesses that have the best chance of success. Specifically, the owner must have a similar business operating in another location, have a successful track record, or the owner must have a business plan and the financial wherewithal to operate for two years.

Fourth, only licensed realtors can receive the finder’s fee.

How do I get my signing bonus?
Present a copy of the signed contract and documentation of commission received. We pay our finder’s fee after the business takes possession and begins paying rent.

How long will this program last?