First Dakota Helps to Preserve the Historic Landmark
Last year, First Dakota National Bank partnered with the State Theatre in Downtown Sioux Falls to purchase its historic tax credits, a move that provided more than $1 million in funding to help reopen the 95-year-old theater. This partnership is the first major investment of its kind through First Dakota National Bank to preserve and rehabilitate one of Downtown Sioux Falls’ historic mainstays.
The effort brought more than $1 million in funding to help reopen the 95-year-old theater in Downtown Sioux Falls after 30 years of being shuttered.
The federal historic rehabilitation tax credit (HTC) program is an indirect federal subsidy to finance the rehabilitation of historic buildings with a 20 percent tax credit for qualified expenditures. Work to restore the historic building into a modern movie house began in 2011. When phase one wrapped up late last year, Sioux Falls saw the theater reopen to the public after 30 years of being shuttered. During that phase, the theater was rehabilitated to match the original detailing from its first opening in 1926.
For First Dakota National Bank, investing in this particular landmark was a no-brainer.
"When we think about the State Theatre, and Downtown Sioux Falls, there's a lot of pride and nostalgia there," said Mike Ness, President of First Dakota National Bank in Sioux Falls. "We're always striving to support our community in different ways, and when it came to investing in the theater, it was never really a question about whether or not we were going to do it."
The partnership with First Dakota National Bank came at the right time to oversee the completion of the first phase, while setting up the historic theater with a security net of financing as they move forward with operations of the building. The HTC program provides funds in return for historically accurate renovations on old buildings as a way to incentivize and ensure historic buildings are preserved.
The theater has also received substantial monetary contributions from T. Denny Sanford and the City of Sioux Falls.
"First Dakota was really open to the conversation at a time when banks were really busy, but they took the time and said, 'Of course we're going to help you with this,'" said Allison Weiland, Executive Director at the State Theatre. "We feel extremely grateful to have local investors who see the value in preserving a historic landmark that supports the growth of culture in our community." This project has taken a lot of people coming together for a place that's truly special for the Sioux Falls community. This is revitalization at its best. The folks at First Dakota National Bank and the State Theatre hope that this will have a significant butterfly effect in bringing new growth in the community.
"We're always striving to support our community in different ways, and when it came to investing in the theater, it was never really a question about whether or not we were going to do it."- Mike Ness, President of First Dakota National Bank in Sioux Falls