Applications Open for $225M Rochester Transformation Fund
New York is seeking major projects that can create jobs, restore underused properties, strengthen neighborhoods and reshape Rochester’s economy.
Applications are now open for the Rochester transformation fund, a $225 million state initiative designed to support large-scale projects across the City of Rochester and Monroe County.
Gov. Kathy Hochul announced Thursday, July 23, that Empire State Development will administer the Rochester-Monroe Transformation Initiative. The program will fund projects involving strategic placemaking, adaptive reuse, innovation infrastructure and public safety. Awards will be made on a rolling basis through New York’s Consolidated Funding Application system. (Governor Kathy Hochul)
The program is not intended for routine repairs or small cosmetic improvements. State officials are seeking projects capable of creating jobs, expanding housing or commercial activity, attracting visitors, improving public spaces and generating benefits beyond a single property.
“My administration is committed to driving economic growth that lifts up every corner of New York State,” Hochul said. “We have already invested more than $500 million in projects throughout Monroe County, and this new initiative will build on that progress, keep the momentum going in Rochester and strengthen communities across Upstate.” (Governor Kathy Hochul)
What the Rochester Transformation Fund Will Support
Empire State Development says the initiative will provide up to $225 million in capital grants.
The minimum grant request is $2 million. Eligible projects must have a total cost of at least $5 million, including the proposed state funding. (Empire State Development)
The program is organized around four major investment areas:
Strategic Placemaking
These projects could improve waterfronts, streetscapes, public spaces and community attractions. The goal is to create places that residents and visitors can use while encouraging additional business activity and private investment.
Examples could include:
- Public waterfront improvements
- Community gathering spaces
- Streetscape upgrades
- Cultural or recreational destinations
- Projects that connect neighborhoods with business districts
Adaptive Reuse
Adaptive reuse means giving an older or vacant property a new purpose instead of allowing it to remain empty or deteriorate.
The state lists the conversion of vacant office or commercial buildings into mixed-use developments as one possible example. Such projects could include stores or community facilities on the ground floor with housing on upper floors. (Empire State Development)
This approach can preserve important buildings, reduce blight and bring new residents and businesses into areas that have lost economic activity.
Innovation Infrastructure
Funding may also support shared laboratories, research facilities and other advanced spaces that strengthen Rochester’s role in technology and manufacturing.
The Finger Lakes regional economic strategy has emphasized industries such as photonics, agriculture and food production, advanced manufacturing and other emerging technologies. (Governor Kathy Hochul)
Public Safety
Eligible public safety projects may include equipment for law enforcement agencies, fire departments and other emergency responders.
However, applicants must still show that the proposal would have a broader, long-lasting effect on the community. The program is structured around capital investments rather than ordinary operating expenses.
Who Can Apply?
A broad range of public, private and nonprofit organizations may submit applications.
Eligible applicants include:
- The City of Rochester
- Monroe County
- For-profit businesses and developers
- Nonprofit organizations
- Local public authorities
- Industrial development agencies
- Local development corporations
- Municipally designated economic development organizations
- Business improvement districts
Projects must be located in Monroe County, with priority given to proposals within the City of Rochester. Applicants must control the project site or have written permission from the property owner. (Empire State Development)
Applicants Must Bring Other Funding
The state is not expected to pay the entire cost of most projects.
For private projects, Empire State Development will generally provide no more than 40% of the total project cost. For nonprofit projects, the state contribution will generally be limited to 60%. Highly significant projects may be considered for enhanced support on a case-by-case basis. (Empire State Development)
State officials also said proposals seeking a lower percentage of public funding may receive more favorable consideration.
That requirement is intended to stretch the state’s investment by attracting private, philanthropic, local or other public funding. It may also help demonstrate that a project has strong partners and a realistic financial plan.
What Expenses Are Eligible?
The Rochester transformation fund is focused on capital expenses — money used to build, renovate or purchase long-lasting equipment.
Eligible costs may include:
- New construction
- Building renovations
- Leasehold improvements
- Machinery and equipment
- Demolition
- Environmental cleanup
- Furniture and permanent fixtures
- Public safety equipment
- Certain project-related professional and planning costs
Soft costs may account for up to 25% of eligible capital expenses. (Empire State Development)
Salaries, rent, advertising, administrative overhead and routine operating expenses are generally not eligible.
The program also excludes developer fees, donated or in-kind costs and improvements to residential units that are already occupied.
How Projects Will Be Judged
A large budget does not automatically make a project transformational.
Empire State Development says successful proposals should produce clear and measurable economic benefits, such as:
- Creating jobs
- Increasing tourism or visitation
- Expanding housing or commercial activity
- Improving public spaces
- Strengthening neighborhood vitality
- Attracting additional outside investment
- Remaining financially viable over the long term
Projects should also be visible and accessible to the public. State reviewers will consider whether the benefits extend beyond the immediate site and contribute to the broader revitalization of Rochester or Monroe County. (Governor Kathy Hochul)
Projects limited to resurfacing, routine repairs or cosmetic upgrades are unlikely to qualify. Temporary attractions and proposals without firm site control, early planning or realistic timelines are also considered ineligible.
$300 Million in New Rochester-Area Funding
The $225 million initiative is part of a larger $300 million state commitment to the Rochester area.
The enacted state budget also includes $75 million to advance High Falls State Park in downtown Rochester. The planned 40-acre park will center on the Genesee River gorge and the city’s roughly 80-foot High Falls. Phased construction is expected to begin in late 2026. (Governor Kathy Hochul)
Plans for the first phase include accessible overlooks, a nature-themed playground, an event lawn, picnic space, public restrooms and a Heritage Walk recognizing the people and communities that shaped Rochester. (Governor Kathy Hochul)
The state says it has committed nearly $560 million to major capital projects in Monroe County since 2021. Those commitments include:
- $100 million for the Inner Loop North project
- $59.6 million for the Rochester Riverside Convention Center
- $50 million for a new emergency tower at Strong Memorial Hospital
- $50 million through the Regional Revitalization Partnership
- $42.5 million for Seneca Park Zoo
- $40 million for infrastructure supporting the fairlife production facility in Webster
- $18 million for airport improvements
The figures represent state commitments and announced investments. Final costs, timelines and economic results will depend on each project’s completion and performance. (Governor Kathy Hochul)
Local Leaders Welcome the Investment
Monroe County Executive Adam Bello and Rochester Mayor Malik Evans said the funding could support job creation, attract businesses and strengthen key industries.
“These investments will fuel economic development in our community and help drive job creation, support and attract local businesses, cultivate innovative economic development projects, and strengthen key industries throughout Rochester and Monroe County,” they said in a joint statement. (Governor Kathy Hochul)
Empire State Development President, CEO and Commissioner Hope Knight said the initiative will support projects reflecting the needs of people living throughout the region.
State lawmakers representing the area also praised the program’s potential to support housing, employment, public spaces and neighborhood improvements.
The enthusiastic response is understandable. A $225 million investment can change the physical and economic direction of a community.
But the results will depend on which projects are selected and whether those investments produce lasting benefits for residents.
A Major Opportunity With Public Responsibilities
Large development programs often inspire debate over who benefits.
Supporters argue that public investment can restore vacant properties, expand the tax base, improve public spaces and unlock projects that would otherwise remain stalled.
Critics may question whether major grants primarily benefit developers or whether promised jobs and neighborhood improvements will reach longtime residents.
Those concerns should not be dismissed. Transformational development should be judged by more than ribbon-cuttings and impressive architectural drawings.
Strong projects should offer transparent budgets, realistic job estimates, meaningful community participation and clear plans to prevent residents from being pushed aside as property values rise.
The state’s selection standards emphasize visibility, accessibility, economic impact and long-term viability. Public scrutiny will still be necessary as individual awards are announced.
How to Apply
Applicants must submit a Consolidated Funding Application for state review.
Empire State Development strongly recommends contacting its Finger Lakes regional office before submitting a proposal. Applications will be considered on a rolling basis, meaning qualified organizations should not assume there will be one distant deadline before reviews begin. (Governor Kathy Hochul)
The state’s CFA system allows applicants to seek funding from multiple state programs through one online process. (CIO Applications)
What Happens Next
The Rochester-Monroe Transformation Initiative presents a rare opportunity to make large, coordinated investments in neighborhoods, businesses, public facilities and underused land.
The strongest proposals will do more than improve one building. They will connect communities, create lasting economic opportunity and give residents a meaningful role in shaping Rochester’s future.
Local governments, nonprofits, developers and community organizations should review the requirements carefully, build strong partnerships and submit projects that can demonstrate measurable public benefits.
Residents should also remain involved. They can attend public meetings, ask how projects will affect their neighborhoods and demand clear reporting on jobs, spending and long-term results.
The money is substantial. The expectations should be equally high.
