New Brunswick, NJ (November 21, 2016) – New Jersey Community Capital (NJCC) is ready to deploy a new round of $45 million in federal tax credits to fund catalytic economic development projects which will generate jobs in distressed neighborhoods across the state of New Jersey. On November 17, the U.S. Department of the Treasury’s CDFI Fund announced that it had awarded a $45 million New Markets Tax Credit (NMTC) allocation to NJCC in its combined 2015 and 2016 round of funding. NJCC is the only New Jersey-based community development financial institution (CDFI) receiving an allocation, and will deploy 100% of its award within New Jersey.
NMTCs are designed to spark investment and economic growth in distressed communities. NJCC has developed a pipeline of projects that it will now seek to finance through its NMTC award and the private capital the award will leverage. Potential projects include education facilities, health care centers, community centers, and mixed-use real estate projects. NJCC’s pipeline targets areas of Essex, Hudson, Mercer, Passaic, as well as South Jersey.
“NMTCs are crucial for NJCC’s mission to invest in underserved communities, helping us to attract private investments into projects that would otherwise not be feasible,” said NJCC President Wayne T. Meyer. “Since 2002, NJCC has deployed $116 million in NMTCs, which have generated over $500 million in development activity. These projects will create the jobs, services, and opportunities essential for low-income communities to thrive. We are very grateful to the CDFI Fund for this newest allocation, which enables us to fund critical projects that would not be possible without the support provided by these tax credits.”
Including this award, NJCC has received $175 million in NMTCs. Examples of NJCC’s funded NMTC projects include the expansion of Accurate Box, a woman-owned, family-run manufacturing business in Paterson; the redevelopment of the historic Hahne’s Department Store building to house a Whole Foods in downtown Newark; a new community facility for the Boys and Girls Club of Mercer County; and the Millville Arts and Business Innovation Center in Millville, New Jersey.
About New Jersey Community Capital (NJCC)
NJCC is a nonprofit community development financial institution (CDFI) that transforms at-risk communities through strategic investments of capital and knowledge. NJCC invests in affordable housing, community facilities, and economic development ventures that strengthen neighborhoods, improve education, and increase jobs, ultimately providing greater opportunities for low-income populations. Since inception, NJCC has facilitated the investment of over $620 million into 930 high-impact projects across the state, supporting the creation and preservation of 15,000 education seats, 9,300 housing units, 6,400 early care slots, and 7,900 jobs. For more information, please visit www.newjerseycommunitycapital.org.