Category: Press Release

MCC Awarded $60 Million in New Markets Tax Credit Allocation

Allocation will support projects in low-income census tracts within the State of Michigan

FOR IMMEDIATE RELEASE 
October 31, 2022 

LANSING, Mich. – Michigan Community Capital (MCC) is pleased to announce their award of $60 million in New Markets Tax Credit (NMTC) allocation from the U.S. Department of the Treasury’s Community Development Financial Institutions Fund (CDFI Fund) on Friday, October 28. For the second annual funding round in a row, MCC has been awarded the highest allocation amount available which is reflective of MCC’s track record for deploying New Markets Tax Credits into impactful and transformative projects in rural and urban communities throughout Michigan.

“We are proud to continue to partner with the Michigan Economic Development Corporation and S. B. Friedman & Associates to attract valuable federal resources to support Michigan,” said President and CEO of Michigan Community Capital, Eric Hanna. “We look forward to working together to deploy these valuable federal resources to support underserved communities in Michigan.”

“These resources are an investment in Michigan and our future, and I’m proud to support the programs that have provided this funding – which are proven to be successful job creators and economic drivers,” said Michigan Senator Gary Peters. “We need to continue to invest in communities across our state and make sure all Michiganders have the tools they need to succeed no matter where they live.”

With this latest award, MCC will provided much need financing to projects located in historically disinvested communities throughout the state of Michigan. Allocation will be directed to projects prioritizing:Creating or expanding healthy food access Developing mixed-use, mixed-income housing in low-income areas of opportunitySupporting skilled training programs and/or expanding services for low-income familiesGenerating living-wage jobs through manufacturing or community-based projects Since 2005, Michigan Community Capital has received $380 million in New Markets Tax Credit allocations and has remained the only Community Development Entity deploying efforts solely in Michigan at a state-wide level. To date, MCC has invested NMTC allocations into 35 projects across the state resulting in over 6,900 full-time jobs created or retained, more than 700 housing units established, and the development of 1.9 million square feet of commercial, retail, and industrial space.

To learn more about Michigan Community Capital’s impact or would like to explore leveraging New Markets Tax Credit for your project, click here.

To learn more about the New Markets Tax Credit Program visit www.cdfifund.gov/nmtc

About Michigan Community CapitalMichigan Community Capital (MCC) is a non-profit diversified public-private partnership that supports the missions of the Michigan Economic Development Corporation (MEDC) and the Michigan State Housing Development Authority (MSHDA) by aggregating capital and facilitating the financing and development of low-income and attainable housing, and the redevelopment of complex brownfield sites within the State of Michigan. MCC is a U.S. Treasury certified Community Development Financial Institution (CDFI) and the only Community Development Entity (CDE) that deploys this resource solely throughout the entire State of Michigan. Over its 16-year history, MCC has supported over $1 billion in project financing, successfully attracted $380 million in federal New Markets Tax Credits, and helped to create over 750 housing units and 1.9 million square feet of commercial, retail and industrial space to facilitate job creation and expansion. MCC provides products in four key pillars: housing equity, bridge and gap lending, New Markets Tax Credits, and property insurance for Low-Income Housing Tax Credit projects. For more information on MCC visit michigancommunitycapital.org

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New Markets Tax Credits Invested into Downtown Sturgis Mixed-use Development

Michigan Community Capital among Community Development Entities supporting The Watershed development by Root and Branch Real Estate

FOR IMMEDIATE RELEASE
September 8, 2022

The Watershed, a development by Root and Branch Real Estate, will redevelop three underutilized sites downtown Sturgis by constructing a new modern, five-story, 25,000-square-foot mixed-use building. The roughly $11 million-project is being supported with $10 million in New Markets Tax Credit allocation from Michigan Community Capital in addition to contributions from the City of Sturgis, Michigan Economic Development Corporation, and Old National Bank.

Located at 108 W Chicago Road, The Watershed will create 23 residential units above a first-floor restaurant space. Upper four floors of the building will be a mix of studio, one-bedroom, and two-bedroom apartments. Six apartments will be income-restricted to renters earning upto 80% of the area median income while 13 units are expected to to lease at rents that would cause them to be “naturally occurring affordable” at these same income levels.

The new first-floor steakhouse-style restaurant is expected to create 30 full-time jobs paying a living wage in a severely distressed, non-metro census tract with a 25% poverty rate and a median family income of 59% the area median income. 29 of the new 30 positions will be accessible to applicants with accredited education less than a four year degree. Additionally, the restaurant will partner with GT Independence, a project partner company, to create a disability employment program. This program will focus on helping local people with physical or intellectual disabilities obtain paid internships with the steakhouse, receive support designed to help the employee identify and achieve career goals, develop job-related skills, and plan for advancement within or outside of the restaurant.

Root and Branch President, John Carmichael said, “I am very excited about the impact this project will have on our community. The facility will help to alleviate a significant housing shortage and bring added vibrancy to Sturgis’ downtown. This collaboration with great organizations like Michigan Community Capital and GT Independence will also bring opportunities for people who are traditionally underemployed to have meaningful, competitive employment.”

The Watershed project is receiving $10 million in New Markets Tax Credit allocation from Michigan Community Capital. 

“MCC has a history of investing in rural communities. Attractive and vibrant downtowns are critical to the health and growth of rural communities, and we applaud the Root and Branch team for making investments that serve so many different needs at the same time,” said Eric Hanna, president and CEO at Michigan Community Capital. Projects like this impact how people feel about themselves, and their community and this project will be an asset for decades to come.”  

Michigan Economic Development Corporation is providing the project with loans totaling $4.1 million through the Michigan Community Revitalization Program (MCRP). 

“The Watershed project will transform vacant property into a vibrant, mixed-use building in downtown Sturgis, creating job opportunities for people with disabilities and providing needed housing for area residents,” said MEDC Executive Vice President of Economic Development Incentives Michele Wildman. “At MEDC, we are committed to supporting transformative projects that help create vibrant, resilient communities, while supporting our strong economic recovery statewide. We are pleased to collaborate with Michigan Community Capital and other partners on this project, which will help make Sturgis an even more attractive place to live, work, visit, and play.” 

In addition, an affiliate of Old National Bank is also serving as a tax credit investor in the project.

ONB Community Equity, a subsidiary of Old National Bank, is honored to support the financing of this catalytic project for the city of Sturgis that will bring quality housing and accessible job opportunities for all individuals to the historic downtown area,” said Mike Harbaugh VP and tax credit relationship manager at Old National Bank.

The City of Sturgis also supported the The Watershed project with a $400,000 development grant and the approval of a brownfield tax increment financing (TIF) plan. Sturgis Area Community Foundation contributed a $500,000-grant. 

The Watershed is well-aligned with the City of Sturgis Master Plan which highlights the need for a greater variety of housing types to ensure people of all ages and income levels can live and succeed in Sturgis. Additionally, the project aligns with the plan’s finding that residents’ top priority for downtown retail options is to add more food and beverage establishments. 

A groundbreaking event was held at the site on August 11, 2022. Construction is anticipated to be completed in fall 2023.For more project information, and to follow progress, visit: thewatershedsturgis.com.

About Michigan Community Capital

Michigan Community Capital (MCC) is a non-profit diversified public-private partnership that supports the missions of the Michigan Economic Development Corporation (MEDC) and the Michigan State Housing Development Authority (MSHDA) by aggregating capital and facilitating the financing and development of low-income and attainable housing, and the redevelopment of complex brownfield sites within the State of Michigan. MCC is a U.S. Treasury certified Community Development Financial Institution (CDFI) and the only Community Development Entity (CDE) that deploys this resource solely throughout the entire State of Michigan. Over its 16-year history, MCC has supported over $1 billion in project financing, successfully attracted $320 million in federal New Markets Tax Credits, and helped to create over 750 housing units and 1.3 million square feet of commercial, retail and industrial space to facilitate job creation and expansion. MCC provides products in four key pillars: housing equity, bridge and gap lending, New Markets Tax Credits, and property insurance for Low-Income Housing Tax Credit projects. For more information on MCC visit michigancommunitycapital.org.

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For Lease – Broadway Lofts Suite B

Starting at $1,900/month

  • 1,250 square feet
  • 14-foot ceilings
  • Designated parking for tenant 
  • New construction 
  • High traffic, ground level 
  • Rough-in HVAC, plumbing, drywall and slab floor is already complete
  • Finished drywall is ready for paint
  • Tenant Improvement allowance or build to suit negotiable
  • Available for immediate occupancy

Suite B enjoys an entrance from the rear parking lot and a front entrance along the Broadway Street sidewalk for foot traffic. Large windows and glass doors offer an abundance of natural light.

The energy-efficient building is constructed of highly-durable steel and brick, and is located at 410 W. Broadway Street next to Mt. Pleasant City Hall and area park systems. Above the first floor are three floors with 48 modern lofts. GreenTree Coop Market is the neighboring commercial tenant on the ground-level, so delicious fresh food is only steps away. 

Contact

Marilyn Crowley
Vice President of Investment
Michigan Community Capital
(517) 334-0967
marilyn@miccap.org

MAC Trailer Enterprises Expands Manufacturing into Mt. Pleasant Facility

Michigan Community Capital supports MAC Trailer Enterprises expansion with $7 million in New Markets Tax Credit allocations

FOR IMMEDIATE RELEASE
April 1, 2022

LANSING, Mich. – MAC Trailer Enterprises (MAC Trailer) is expanding its manufacturing capabilities in Mt. Pleasant, Michigan with the support of $7 million in New Markets Tax Credit (NMTC) allocation from Michigan Community Capital (MCC). The expansion includes the purchase of a 105,000-square-foot manufacturing facility located at 1799 Gover Parkway in Mt. Pleasant as well as new equipment anticipated to increase production by more than three times the current capacity.

MAC Trailer Enterprises was started in 1992 by Michael Conny. Over the past 30 years the MAC Trailer family of companies has grown into one of the largest custom trailer builders in North America. In 2013, MAC Trailer started manufacturing liquid tank trailers under the name MAC LTT, Inc. In 2020, MAC LTT Stainless Division was started to meet the demand to produce a product of stainless liquid tank trailers, and this subsidiary will operate in the new facility.

“MAC LTT Stainless Division, a subsidiary of MAC Trailer, is focused on healthy growth in our Mt. Pleasant operation,” said Jim Maiorana, president of the MAC LTT Stainless Division, Inc. “We are eager to expand employment opportunities in Michigan with this project made possible with support from Michigan Community Capital, PNC Real Estate and Huntington Bank.”

MAC Trailer’s expansion will create or retain nearly 100 full-time equivalent jobs in a census tract where 73.4% of the population falls below the poverty line. All of these positions pay a living wage and are accessible to people with less than a four-year degree from an accredited establishment. The company is prepared to hire people with no experience and provide multiple forms of training.

The total project costs are estimated to be nearly $10 million; MCC allocated $7 million in New Markets Tax Credits.

“Michigan Community Capital is thrilled to support the City of Mt. Pleasant and the State of Michigan in their efforts to expand opportunities for living-wage jobs in rural communities. This is a wonderful complement to our recent local workforce housing expansion at 410 W Broadway Street,” said Eric Hanna, president and CEO at Michigan Community Capital. 

PNC New Markets Investment Partners, LLC will also be supporting the project with New Markets Tax Credit allocation investment.

“We are pleased to collaborate once again with Michigan Community Capital on this important transaction for the Mt. Pleasant community and the economic benefit this facility will create,” said Jonathan Swigert, vice president and New Market Tax Credit originator for Tax Credit Solutions, a PNC Real Estate business. “This facility is a testament to the impact that the NMTC program can have on our communities, and we are incredibly proud to be active participants in the program, supporting projects just like this one across the U.S.”

To learn more about MAC Trailer Enterprises and the expansion project, visit www.mactrailer.com.

About Michigan Community Capital

Michigan Community Capital (MCC) is a non-profit diversified public-private partnership that supports the missions of the Michigan Economic Development Corporation (MEDC) and the Michigan State Housing Development Authority (MSHDA) by aggregating capital and facilitating the financing and development of low-income and attainable housing, and the redevelopment of complex brownfield sites within the State of Michigan. MCC is a U.S. Treasury certified Community Development Financial Institution (CDFI) and the only Community Development Entity (CDE) that deploys this resource solely throughout the entire State of Michigan. Over its 16-year history, MCC has supported over $1 billion in project financing, successfully attracted $320 million in federal New Markets Tax Credits, and helped to create over 750 housing units and 1.3 million square feet of commercial, retail and industrial space to facilitate job creation and expansion. MCC provides products in four key pillars: housing equity, bridge and gap lending, New Markets Tax Credits, and property insurance for Low-Income Housing Tax Credit projects. For more information on MCC visit michigancommunitycapital.org.

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New Markets Tax Credits Invested into Detroit Food Commons Development Project

Detroit People's Food Co-op
Detroit People’s Food Co-op

Michigan Community Capital among CDE’s supporting Detroit Food Commons development with New Markets Tax Credit allocations

FOR IMMEDIATE RELEASE
March 30, 2022

LANSING, Mich. – A newly constructed two-story, 31,000-square-foot building on Woodward Avenue in Detroit will house Detroit Food Commons. The nearly $20-million project spearheaded by nonprofits Detroit Black Community Food Security Network (DBCFSN) and Develop Detroit (DDI) has been made possible in part with $7 million in New Markets Tax Credits (NMTC) allocated from Michigan Community Capital (MCC) this week. Located within a CDFI-qualified severely distressed census tract, the project will directly address a severe lack of access to fresh food in the North End neighborhood of Detroit. 

The mixed-use building will include Detroit People’s Food Co-op (the Co-op) on the first floor — a community-owned grocery selling healthy, locally sourced food, a deli and bakery, and a neighborhood café. The second floor will include two large and two small licensed incubator kitchens to serve local food enterprises, a 3,800-square-foot community event and banquet space, and office space for the headquarters of DBCFSN.

The ground-level grocery will provide healthy, affordable options to more than 31,000 low–income community members and over 19,000 food desert residents within a 1.5-mile trade radius. The Co-op already has 1,455 member-owners, underscoring the pent-up demand for high-quality grocers in the neighborhood.

The Co-op and DBCFSN will directly create or retain approximately 41 full-time equivalent jobs in a census tract where 59.6% of the population falls below the poverty line. All of these positions will be accessible to people with less than a four-year degree of accredited education.

According to DBCFSN Executive Director Malik Yakini, “the Detroit Food Commons will be a game changer. Not only will the anchor tenant, the Detroit People’s Food Co-op, provide greater access to fresh, healthy, nutrient dense foods, but it also provides an important model of community ownership and what moving towards a more racially just economy looks like.”

Project costs are expected to be roughly $20 million; Michigan Community Capital will provide $7 million in New Markets Tax Credit allocation. 

“Access to healthy and affordable food is essential for a thriving community,” said Eric Hanna, president and CEO at Michigan Community Capital. “By supporting this project, we’re reaching thousands of community members in need of this access, and we’re investing in multiple minority-owned businesses involved in the process. This project helps establish a system where money to purchase this food will now circulate back to Detroiters.”   

U.S. Bank is supporting the project with New Markets Tax Credit allocation investment.

“U.S. Bank is excited about this unique project that will bring fresh and healthy food to area residents, provide jobs for the local community, and attract and support entrepreneurs with its incubator kitchens and event space,” said Jennifer Stoehr, vice president with U.S. Bancorp Community Development Corporation (USBCDC), the community investment and tax credit division of U.S Bank. “We’re committed to supporting projects that drive racial equity, and that’s why we’re not only supporting Detroit Food Commons as a NMTC investor but bringing NMTC allocation through our own community development entity.”

Local Initiatives Support Corporation (LISC Detroit) is supporting the project with New Markets Tax Credit allocation investment.

“New Markets Support Company (NMSC), in conjunction with LISC Detroit, is proud to contribute new markets tax credits in support of the Detroit Food Commons,” said Donna Nuccio of NMSC. “The project is centered around community ownership and will provide ongoing benefits in the form of access to healthy food and support of local businesses, which aligns with our mission of advancing equitable outcomes. We look forward to the continued collaboration to make this project a success.”

National Cooperative Bank is supporting the project as a direct lender.

“As a socially responsible financial institution, National Cooperative Bank (NCB) is proud to be the direct lender in the Detroit Commons Project,” stated Michael Novak, senior vice president of Commercial Banking at NCB. “For over 40 years, NCB has had a mission to support the growth of food co-ops nationwide, especially in underserved communities. Having access to fresh, healthy food is a basic ingredient to sustainable communities and we look forward to working with Michigan Community Capital and all the project partners on this development.”

To learn more about Detroit Black Community Food Security Network and Detroit Food Commons Development Project visit www.detroitpeoplesfoodcoop.com.

About Michigan Community Capital

Michigan Community Capital (MCC) is a non-profit diversified public-private partnership that supports the missions of the Michigan Economic Development Corporation (MEDC) and the Michigan State Housing Development Authority (MSHDA) by aggregating capital and facilitating the financing and development of low-income and attainable housing, and the redevelopment of complex brownfield sites within the State of Michigan. MCC is a U.S. Treasury certified Community Development Financial Institution (CDFI) and the only Community Development Entity (CDE) that deploys this resource solely throughout the entire State of Michigan. Over its 16-year history, MCC has supported over $1 billion in project financing, successfully attracted $320 million in federal New Markets Tax Credits, and helped to create over 750 housing units and 1.3 million square feet of commercial, retail and industrial space to facilitate job creation and expansion. MCC provides products in four key pillars: housing equity, bridge and gap lending, New Markets Tax Credits, and property insurance for Low-Income Housing Tax Credit projects. For more information on MCC visit michigancommunitycapital.org.

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