Funds will support the acquisition and development of a child development center for the Trenton/Hamilton, NJ community and the acquisition of CHSofNJ’s headquarters space
NEW BRUNSWICK, NJ (February 02, 2023) – New Jersey Community Capital (NJCC), the state of New Jersey’s largest community development financial institution (CDFI), today announced the closing of a $10 million New Markets Tax Credit (NMTC) transaction as well as two loans of $7.5 million and $1.1 million respectively to the Children’s Home Society of New Jersey (CHSofNJ). The funds will be used as financing for the acquisition and development of an Early Head Start (EHS) child development center at 1435 Liberty Street in Hamilton, NJ and the acquisition of existing headquarters space at 635 South Clinton Avenue in Trenton, NJ.
“NJCC is thrilled to allocate a significant amount of capital to the Children’s Home Society of New Jersey, an organization making a tremendous impact on the next generation of leaders,” said Bernel Hall, President and CEO of New Jersey Community Capital. “This investment in new spaces for the Children’s Home Society will ensure that New Jersey’s youngest residents have more equitable access to high quality early development opportunities.”
The Children’s Home Society of New Jersey (CHSofNJ) Head Start/Early Head Start (HS/EHS) Center-Based and Early Head Start Expansion program at Liberty Street will provide high quality early childhood education and comprehensive services for to 147 infants, toddler, and expectant mothers residing in Trenton area. These services will include daily center based child care for 80 infants and toddlers, host staff and group activities for 102 families for infants and toddlers participating in the Early Head Start home based service and for 45 expecting mothers participating in pregnancy services. All services, including daily nutritious meals and comprehensive support services (case management/family support, health, mental health and disability services) are provided at no cost to families. Along with CHSofNJ’s existing centers, the Liberty Street project will bring the agency’s Head Start/Early Head Start level of service to 537 infants, toddlers, preschoolers and expectant mothers.
“The Children’s Home Society of New Jersey (CHSofNJ) has called Trenton, NJ home since 1894. Today, we serve thousands of families in Trenton on any given day. With the New Markets Tax Credit (NMTC) in 2023, CHSofNJ has once again invested in Trenton by purchasing a portion of the Roebling Complex where our non-profit headquarters are located at 635 South Clinton Avenue, Trenton — a location which houses multiple social service and parent and student education programs serving thousands of local families, said Donna C. Pressma, President and CEO of Children’s Home Society of New Jersey. “Also from headquarters, each year we oversee services to over 100,000 children and families across the state. With the NMTC funds, CHSofNJ has also purchased and renovated the Shapiro Early Childhood Center on Liberty Street that educates and serves over 100 pregnant women, 150 infants and toddlers every day with comprehensive Early Head Start education, nutrition, disability and physical health services; and feeds over 500 Trenton Head Start/Early Head Start children every day of school. CHSofNJ is again investing in Trenton and statewide with our effective continuum of over 40 positive programs and our continuously growing number of jobs.”
Wells Fargo acted as the New Market Tax Credit investor for this deal that will finance the new child development center and CHSofNJ’s acquisition of its current headquarters space. CHSofNJ’s lease of their existing headquarters at 635 South Clinton Avenue was expiring soon and would have resulted in a significant rent increase. By acquiring their space as a commercial condo, CHSofNJ will be able to reduce long term operating costs and expand services.
“Wells Fargo is proud to have acted as investor in the New Markets Tax Credit that enabled the Children’s Home Society of New Jersey to deliver the important Head Start facility on Liberty Street and to purchase their Trenton Headquarters building,” said Scott Pinover, director on Wells Fargo’s Community Lending and Investment team. “The new head start facility is going to facilitate the success of hundreds of high-need children, and Wells Fargo is excited to help the long-planned project come to fruition.”
Since its inception 35 years ago, NJCC has created nearly 11,000 housing units across New Jersey, and finances the predevelopment, acquisition, construction, rehabilitation and mini-permanent needs of affordable housing units for ownership and rental opportunities. NJCC’s lending takes a holistic approach by financing projects that use the diverse pillars of a community, including small businesses, commercial office and retail spaces and early childhood education centers.
About New Jersey Community Capital
New Jersey Community Capital (NJCC) is a nonprofit community development financial institution (CDFI) that provides an innovative toolkit of financial products, programs and services to advance equity and opportunity in underserved communities. NJCC supports the preservation and development of affordable housing and sustainable community development ventures that increase jobs, improve education and strengthen neighborhoods to ensure that communities can thrive. To learn more, visit https://www.newjerseycommunitycapital.org/ and Twitter: @NJCommCapital.
NJCC is part of the NeighborWorks network, an affiliation of more than 240 nonprofit organizations located in every state, the District of Columbia and Puerto Rico. The NeighborWorks network was founded and is supported by NeighborWorks America, which creates opportunities for people to live in affordable homes, improve their lives and strengthen their communities.