Harnessing TIF financing for Medellín’s Innovative District
Rebel is applying tax increment financing techniques to help fund infrastructure improvements for an innovation district. Rebel was keen to guide Colombia through its first ever tax increment finance (TIF) program.
The Challenge
Medellín’s city leaders aimed at catalyze economic growth and urban renewal through a new Innovation District—anchored by public infrastructure, research institutions, and mobility enhancements. The challenge was to design a financial model that could monetize land value gains and fund public improvements at scale.
The approach
Rebel supported the World Bank and the City of Medellín evaluates land value capture mechanisms to finance district-level infrastructure. This included the development of special assessments, air rights monetization, and density bonuses, tailored to Medellín’s legal and market context. The Innovation District will combine business renewal with new residential, retail, professional services and supporting spaces to grow the community.
Rebel’s work provided the City with actionable financing tools to align infrastructure investment with future land value growth. Following this work, Rebel advised the Colombian Government on a national TIF policy framework to expand land value capture to other communities.
Impact
A vibrant mixed-use development will anchor Medellín’s downtown in its re-urbanization process.
