The $225 million Rochester-Monroe Transformation Initiative will support transformative projects that strengthen economic foundations while unlocking new opportunities for residents and businesses of the City of Rochester and Monroe County.

This catalytic investment in the future is intended to reactive underutilized sites, strengthen connections to the Genesee River, and support projects that foster safe and vibrant neighborhoods.

Governor Kathy Hochul announced the Rochester-Monroe Transformation Initiative (RMTI), which was passed in the 2026-27 State Budget, to continue impactful investments made by NYS in the greater Rochester area.

As part of RMTI, Empire State Development (ESD) will invest up to $225 million in capital grant funding to support transformative projects in the areas of strategic placemaking, adaptive reuse, innovation infrastructure, and public safety. Together, these efforts will help ensure that Rochester and Monroe County remain engines of growth, resilience, and prosperity for generations to come.

The minimum grant request is $2 million. 

Eligible Applicants

• The City of Rochester;
• Monroe County;
• For-Profit Businesses and/or Developers;
• Not-for-Profit Entities;
• Local Public Authorities;
• Industrial Development Agencies (IDAs);
• Local Development Corporations (LDCs);
• Municipally Designated Economic Development Organizations (EDOs); or
• Business Improvement Districts (BIDs).

Eligible Projects Must:

• Be in Monroe County – with priority on projects within the City of Rochester;
• Have a minimum total project cost of $5M (inclusive of ESD funding);
• Include a minimum of non-State funding based on type of project sponsor:
  • Private: ESD will provide a maximum of 40% of the project cost;
  • Non-Profit: ESD will provide a maximum of 60% of the project cost;
  • High-impact transformational projects may be considered for an enhanced incentive on a case-by-case basis. Note: projects that include a lower percentage of ESD-funding will be scored more favorably. 
• Involve the applicant either having control of the site or having written consent from the ownership entity; and,
• Involve only capital-eligible expenses, such as permanent construction, structural renovations, and long-term equipment. Operating expenses, such as supplies, salaries or administrative costs, are not eligible for grant funding. 

Eligible Costs

• New construction, renovation or leasehold improvements;
• Machinery and/or equipment;
• Demolition and environmental remediation;
• Furniture and fixtures;
• Public safety equipment for law enforcement, fire departments, and other first responder agencies;
• Soft costs of up to twenty-five percent (25%) of costs related to the eligible capital expenditures; and
• Other costs and expenditures deemed eligible by ESD.

Ineligible Costs

• Developer fees;
• In-kind costs;
• Improvements to currently occupied residential units;
• Overhead and indirect costs associated with the day-to-day operations of the applicant, including but not limited to:
  • Salaries and wages;
  • Rent/lease costs;
  • Marketing or advertising media costs;
  • Costs associated with completing an application; and
• Other costs / expenditures deemed ineligible by ESD.

Example Projects

Potential projects include, but are not limited to:

• Strategic Placemaking: Improvements to waterfront, public spaces, community assets, or streetscapes that unlock private development and increase economic activity.
• Adaptive Reuse: The conversion of existing commercial office buildings or vacant properties of significance into mixed-use buildings with ground-floor commercial space and housing units on the upper floors.
• Innovation Infrastructure: Building shared state-of-the-art labs or facilities to support the region’s leadership in high-tech innovation.
• Public Safety: Public safety equipment for law enforcement, fire departments, and other first responder agencies.

Ineligible Projects

Ineligible projects include, but are not limited to:

• Those that involve only repair, resurfacing, or cosmetic upgrades without broader transformative impact;
• Temporary attractions or projects that don’t have a lasting impact on the city’s economy, streetscape, or neighborhoods; or,
• Projects lacking site control, preliminary planning, or realistic implementation timelines. 

Program Awards

• Minimum award of $2 million.

In addition to the criteria noted below, ESD shall have the discretion to consider additional factors in determining the relative merits of projects. ESD also reserves the right to consider additional project structures that provide high-impact transformative outcomes.

Projects should:

• Result in a transformational impact; 

  • Result in clear economic benefits such as job creation, increased visitation, expanded housing or commercial activity, improved public spaces, and/or strengthened neighborhood vitality; 

  • Be highly visible and accessible, creating places or experiences that residents and visitors can readily engage with and that help reshape public perceptions in a positive way; and,

  • Create benefits that extend beyond the project site, contributing to Rochester and/or Monroe County’s broader revitalization and strengthening its role as a regional hub.

• Leverage additional investment;

  • Projects should have a clear path to leveraging private, philanthropic, or other public funding, maximizing the impact of state resources.

  • Projects that include a lower percentage of ESD-funding will be scored more favorably.

• Demonstrate long-term operational and financial viability to ensure that state-funded investments remain assets well beyond initial implementation.

Applicants must complete and submit a Consolidated Funding Application (CFA) for review. 

It is strongly recommended that applicants reach out to the Finger Lakes Regional Office prior to submitting an application. Questions may be directed to [email protected].

Review full program guidelines