Michigan Community Capital Receives $65 Million in New Markets Tax Credit Award
Allocation will support projects in low-income census tracts in the State of Michigan
FOR IMMEDIATE RELEASE
LANSING, Mich. – On September 1st, the U.S. Department of the Treasury’s Community Development Financial Institutions Fund (CDFI Fund) announced an award of $65 million in New Markets Tax Credits to Michigan Community Capital (MCC) that will spur investment and economic growth in low-income urban and rural communities state-wide. Michigan Community Capital is one of 100 Community Development Entities (CDEs) that were awarded tax credit allocations, made through the calendar year (CY) 2020 round of the New Markets Tax Credit Program (NMTC Program).
Since 2005, Michigan Community Capital has received $320 million in New Markets Tax Credit allocations and has remained the only CDE deploying efforts entirely in Michigan at a state-wide level. These awards were invested in projects such as the Allen Neighborhood Center in Lansing, Sugar Hill in Detroit, Hudsonville Creamery expansion in Holland, Peterson Farms in Hart, and UP Paper in Manistique. To date, MCC has invested NMTC allocations into 28 projects across the state resulting in over 6,500 full-time jobs created or retained, more than 450 housing units established, and the development of 1.3 million square feet of commercial, retail and industrial space.
“We are proud to continue to partner with the Michigan Economic Development Corporation and SB Friedman Development Advisors to attract valuable federal resources to support Michigan priority projects,” said Eric Hanna, President and CEO of Michigan Community Capital. “We will prioritize using these funds to increase healthy food access in food deserts, promote mixed-income housing, support skilled training programs, expand services for low-income families, and to create living-wage jobs for Michiganders.”
The 100 CDEs receiving awards this week were selected from a pool of 208 applicants that requested an aggregate total of $15.1 billion in tax credit allocation authority. The award recipients are headquartered in 34 different states and the District of Columbia.
Historically, NMTC Program awards have generated $8 of private investment for every $1 invested by the federal government. Through the end of fiscal year 2020, NMTC Program award recipients deployed almost $56 billion in investments in low-income communities and businesses; with impacts such as the creation or retention of nearly 871,000 jobs, and the construction or rehabilitation of nearly 231.5 million square feet of commercial real estate across the US.
To learn more about the New Markets Tax Credit Program visit www.cdfifund.gov/nmtc.
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 a certified Community Development Entity (CDE). Over its 16-year history, MCC has supported over $1billion 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.
Learn more about other New Markets Tax Credit projects MCC have invested in here.