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Progress Report Highlights Growing Need for New Markets Tax Credit Funding in Distressed Communities

June 20, 2018 New Orleans , LA

The recently released 2018 New Markets Tax Credit (NMTC) Progress Report highlights the growing demand and need for NMTC funding to expand businesses and create jobs in distressed communities.

The 14th edition of the report, released by the New Markets Tax Credit Coalition in June, reviews and analyzes NMTC activities in 2017. By deploying over $3.9 billion in NMTC allocations, community development entities such as Enhanced Community Development, a subsidiary of Enhanced Capital, financed 272 NMTC projects last year, the report shows. Over 83 percent of the projects financed were in severely distressed communities, bringing health care facilities, manufacturing businesses, vocational training centers and jobs to many low-income families across the United States.

“The report findings show that the competition for credits is fierce, and continues to drive efficiency, investment and jobs,” said Kermit Billups, NMTC Coalition president and executive vice president of Greenline Ventures in a press release. “Last year’s projects, once again, raised the bar even higher. We’re happy to report the NMTC helped create 60,000 jobs through $5.8 billion in total project investment.”

To date, Enhanced has received $660 million in federal and state NMTC allocation, using the funds to support minority-owned businesses, provide needed services for the community, create clean energy and more.

For example, a recent investment in Birmingham, Alabama, is not only bringing over 250 jobs to a low-income community; it also is poised to generate additional economic growth with the help of a $4.5 million NMTC allocation from Enhanced.

You can read more about the transformative impact Enhanced has made in communities through New Markets financing in our latest Community Impact Report.