New Markets Tax Credit News Briefs - March 2021
The Community Development Financial Institutions (CDFI) Fund announced Jan. 14 that it will award $1.25 billion through the CDFI Rapid Response Program. A blog post on the CDFI Fund website said a funding notice for the program–with financing provided by year-end COVID-19 relief legislation–must be posted no later than Feb. 25 and that more details, including how to apply, would be released soon. Only CDFIs that achieve certification before the release date of the notice of funding availability will be eligible to apply. The CDFI Rapid Response Program funds are to help communities respond to the economic hardships created by the COVID-19 pandemic.
Kroy LLC in Cleveland announced Jan. 6 a plan to expand its capacity and create at least 50 additional full-time jobs at its thermal printing plant. The development will receive $21 million in new markets tax credits (NMTC) from National New Markets Fund and $2 million in NMTCs and $6.5 million in equity from Chase Bank.
Dominium announced Jan. 13 the closing of its pro bono project the Exodus II in Minneapolis, Minnesota. The $70 million development will provide 203 affordable homes for individuals experiencing homelessness–167 of which will be for permanent supportive housing, 20 for recuperative care and six will be set aside for veterans. The development is financed by NMTC equity from Corporation for Supportive Housing, Sunrise Bank and US Bank CDC. The development was also awarded 4% low-income housing tax credits.