There are plenty of reasons to relocate or expand your business in Virginia Beach – not the least of which is all the help you get from the City of Virginia Beach.
- No inventory tax for manufacturers
- No tax on business equipment for manufacturers
- No tax on machinery and tools equipment
- Flat $50 business license fee for first 2 years of operations in the City of Virginia Beach (manufacturers are exempt from business license fee)
New Program: ViBe Creative District Offers Matching Grants for Improvements
The grants are designed to provide financial support to small and
locally-owned and operated businesses located within the ViBe Creative
District. The program offers financial incentives in the form of matching
grants to new and existing property owners or businesses that plan to make
capital investments within the District.
Economic Development Investment Program (EDIP)
The Virginia Beach Development Authority can provide EDIP funds to qualifying businesses that are locating to or expanding in the city. The EDIP was established to support projects that create new jobs and capital investment in Virginia Beach. EDIP monies may be used for allowable infrastructure improvements and certain other project purposes, which will help to reduce the costs of relocating and expanding in our community. Learn more about the Program.
Business License Incentive Program for New BusinessesThis program was instituted by city council with an effective date of January 1, 2012. The program allows qualifying businesses that anticipate gross receipts in excess of $100,000 to pay a maximum license fee of $50 for each of the first 2 license years.
Business License Incentives for Maritime Shipping Companies
The business license tax rate for marine cargo shipping businesses (not arrangement of transportation, haulers, or deliverers) shall be 0.36 % of the gross receipts during the preceding year up to $500,000 plus 0.000001 % of gross receipts in excess of $500,000.
Data Center Tax Reduction
The City of Virginia Beach has reduced the tax rate for data center equipment to solidify its business-friendly approach to this growing industry sector. The new tax rate decreases the tax on computers and peripherals used in data centers to $0.40 per $100 of assessed value, with a depreciation schedule of 40 percent of original cost.
Industrial Revenue Bonds
The Virginia Beach Development Authority issues Industrial Revenue Bonds to provide financial assistance to private sector entities for the acquisition and construction of industrial and commercial facilities. Upon repayment of the bonds, ownership of the facilities transfers to the private-sector entity served by the bond issuance. Since these bonds are tax-exempt, the interest rates offered are significantly lower than traditional forms of financing.
Fast-Track Permitting Program
Fast-tracking streamlines permitting and construction so custom office buildings and industrial facilities can be built and operational in as little as six months. This is at least 50% less time than the typical non-fast-track construction time of 12 to 18 months or more. The Department of Economic Development will also assist fast-track companies in locating and setting up temporary training facilities at our Advanced Technology Center during construction so business operations can begin simultaneously with the move-in date.
Planning and Community Development holds development project meetings every Thursday at the Municipal Center with all city departments and divisions involved in development review. These meetings allow developers, consultants, and city staff to discuss projects and share ideas and concerns in an informal setting before large amounts of time and money are expended.
City staff provides technical knowledge and explains city requirements and processes. Meetings may be held at any phase of a project – due diligence, pre-design, pre-submittal or post-review. To request a meeting, contact the Development Services Center at (757) 385-8277 or at email@example.com. For more information, click here.
Energy-Efficient Buildings Tax Reduction
A special tax rate is available to qualified residential and commercial
, not including the land on which they are located. Qualified buildings must be determined to be an energy-efficient building by a qualified licensed engineer or contractor who is not related to the applicant, as required by Section 58.1-3221.2 of the Code of Virginia. The current reduced rate is $0.85 per $100 of assessed value.
YesOceana APZ-1 Incentives
The YesOceana program was developed to meet the requirements of the Base Realignment and Closure (BRAC) Commission to protect our citizens and keep the Navy’s East Coast master jet base, Naval Air Station (NAS) Oceana, in Virginia Beach. This innovative program consists of zoning ordinances and
to foster the conversion of nonconforming businesses in the Accident Potential Zone 1 (APZ-1) into conforming ones and relocating ones that can not be converted to another part of Virginia Beach.
Virginia Beach is proud to be a part of several successful public-private partnerships. Through these agreements, the skills and assets of each sector (public and private) are shared in delivering a service or facility for the use of the general public. In addition to the sharing of resources, each party shares in the risks and rewards potential in the delivery of the service and/or facility.
Successful examples include:
- Tax Increment Financing (TIF)
- Parking Garage Development
- Infrastructure Development
- Virginia Beach Amphitheater
- Town Center
- 31st Street Hilton Hotel
- Virginia Beach Sportsplex and Field House
- Virginia Beach National Golf Course
- Heron Ridge Golf Course
- 25th Street Mixed-Use and Parking Development
- Sentara Princess Anne Hospital
- Operation Smile
- US Field Hockey Training Facility