$3 Million in New Markets Tax Credits to Support 27-Unit Condominium Building and Consolidated Habitat Kent Headquarters and ReStore in Distressed Grand Rapids Neighborhoods
FOR IMMEDIATE RELEASE
July 9, 2026
LANSING, Mich. — Michigan Community Capital (MCC) invested $3 million of federal New Markets Tax Credits (NMTC) to support a $16.3-million project by Habitat for Humanity of Kent County (Habitat Kent) in Grand Rapids, Michigan. The investment will finance construction of a new 27-unit, for-sale, multi-family condominium building in the Roosevelt Park neighborhood, and it will support Habitat Kent’s relocation to a consolidated headquarters and ReStore retail operation. This transaction marks MCC’s first NMTC investment in for-sale housing, a key priority for the organization as it works to expand access to homeownership for low-to-moderate income families across Michigan.
“We are grateful for our many partners on this project,” said Habitat for Humanity of Kent County‘s CEO, Bev Thiel. “This will soon be home to 27 families who will now have safe, stable housing in a beautiful neighborhood that is rich in amenities and just steps from downtown. This is truly a testament to what can happen when we can work together to make dreams into a reality.”
The project spans two sites, both of which are NMTC-qualified. The multi-family condominium building at 539 New Avenue SW is in a census tract with a median family income of just 60% of the Area Median Income (AMI) and an unemployment rate more than twice the national average. Habitat Kent’s headquarters and ReStore at 1739 Elizabeth Avenue NW is also in a qualified census tract with an unemployment rate 3.54 times the national rate and a poverty rate of 34.2%.
“As one of the few and long-standing organizations using NMTCs to increase and preserve the supply of affordable homeownership across the country, Habitat for Humanity International and its wholly owned NMTC subsidiary is proud to partner on this transaction and expand our approach to leveraging this financing tool for both residential and commercial projects,” said Craig Molyneaux, Chief Financial and Administration Officer at Habitat for Humanity International and Interim Executive Director at Habitat Capital. “The Roosevelt Park neighborhood and the Habitat Kent headquarters and retail operations perfectly illustrate the transformative impact NMTC on communities nationwide.”
Of the 27 two- and three-bedroom for-sale units, 16 (60%) will be income-restricted and affordable at or below 80% of the AMI, with prices starting at approximately $183,000. The remaining 11 units will be affordable to families earning between 80% and 120% of the AMI. An 89-year deed restriction will ensure long-term affordability. Units are designed with high-efficiency heat pumps, water heaters, and tight exterior envelopes to reduce ongoing utility costs for homeowners.
“Affordable homeownership is one of the most powerful tools we have for building family wealth and community stability,” said Eric Hanna, President and CEO of Michigan Community Capital. “While this is one of many investments that MCC has made in for-sale housing, it’s MCC’s first NMTC transaction in the for-sale space, and it demonstrates that this financing tool can work for aspiring homeowners in distressed communities, not just renters. We’re proud to support Habitat Kent’s work and to bring high-quality, affordable homes to families in Grand Rapids.”
While there is significant policy interest in using NMTCs to deliver affordable for-sale housing, the credit’s 7-year structure can sometimes be difficult to reconcile with the shorter construction and sales cycle that is typical in for-sale housing. MCC used an innovative 2-site structure that included both the residential project and Habitat Kent’s headquarters/ReStore property, creating long-term stability in the transaction allowing it to fit cleanly into all aspects of NMTC program regulations.
The housing, headquarters, and ReStore components will retain 45 full-time equivalent jobs (FTEs) and create 6 new positions. Of those 45 FTEs, 86% will pay at or above living wage for Kent County ($24.34/hour) or include benefits, and 58% will be accessible without a four-year degree.
Chase Community Equity, LLC is serving as the NMTC investor.
“It’s an honor to support Habitat for Humanity of Kent County through our New Markets Tax Credit investment, creating affordable homeownership opportunities for families in Grand Rapids,” said Melissa Pillars, Executive Director, J.P. Morgan Community Development Banking. “At J.P. Morgan, our affordable housing investment work is rooted in the idea that strong communities create opportunity. Homeownership is one of the most powerful pathways to stability and generational wealth-building, and this project gives families the foundation to put down roots, grow and thrive in the Roosevelt Park community.”
IFF is participating as a co-allocatee, providing a TIF monetization loan as part of the project’s leverage structure.
“The condos being developed by Habitat Kent will not only provide individuals and families with a beautiful place to live in an amenity-rich area, but they’ll serve as a launchpad for residents as they build equity in their homes,” said Marina Titova, Managing Director of Structured Finance at IFF. “Furthermore, this development is a tangible investment in the community’s future, and IFF is thrilled to provide our first NMTC allocation in support of affordable, for-sale housing, as well as a low-cost TIF bridge loan to help make this impactful project possible.”
Completed condo units are expected late 2027.
The Project directly aligns with Grand Rapids’ Equitable Economic Development and Mobility Strategic Plan, the Right Place’s 2026–28 Strategic Plan for the Greater Grand Rapids Region, and the city’s 2026–2030 Consolidated Housing and Community Development Plan. A housing needs assessment by Bowen National Research identified a need for more than 4,900 additional affordable for-sale units in Grand Rapids by 2029.
About Michigan Community Capital
Michigan Community Capital is a 501(c)(3) nonprofit that exists to promote community and economic development, the creation of wealth and job opportunities, and to facilitate investment of private and public capital in Michigan. MCC is focused on driving economic mobility of low- and moderate-income Michigan residents and drives community development impacts in three key areas: real estate development, CDFI lending, and New Markets Tax Credits. MCC is a U.S. Treasury certified Community Development Entity (CDE) and its affiliate, Magnet Lending Corporation, is a certified Community Development Financial Institution (CDFI). Since 2005, MCC has supported over $1.4 billion in project financing, successfully attracted $510 million in federal New Markets Tax Credits, helped to create over 1,600 housing units, and facilitated the creation and/or retention of over 7,000 high-quality, accessible jobs. michigancommunitycapital.org
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