Golden Belt Complex

Throughout the late 19th and early 20th century, downtown Durham, North Carolina was a thriving manufacturing center engaged in the tobacco and textile industries. However, as both industries declined in the 1960s, so too did the vitality of downtown Durham. Steady disinvestment over the years led to physical deterioration of the neighborhood, and the once vibrant factories sat vacant. Golden Belt was a textile factory that produced pouches for Bull Durham loose leaf tobacco and then, paper cigarette cartons. When tobacco moved out, the Golden Belt complex was donated to the Durham Housing Authority (DHA) who in turn, sold a majority of the facility to Scientific Properties, LLC, a North Carolina-based real estate and development company, in 2006. Scientific Properties planned to convert the historic site into a mixed-use commercial, arts, and residential space, with the potential to spark additional revitalization of the neighborhood, but was unable to secure $12 million in gap financing needed to complete the $26.3 million project. In 2008, Scientific Properties approached Self-Help Ventures Fund, a community development entity based Durham for a financing solution. Self-Help recognized the project’s potential to anchor the area’s revitalization, but at the time had only $8.2 million in NMTC financing remaining in a blind pool − not enough to bridge the $12 million gap − so they turned to Wachovia (now Wells Fargo) to borrow $3.9 million in NMTC allocation to secure the financing needed to make the Golden Belt Complex project viable. The $12 million in total NMTC financing enabled Scientific Properties, LLC to rehabilitate a deteriorating factory; generate 140 construction related jobs and 400 permanent jobs; put six warehouses back into use; and provide affordable commercial and office space for local businesses and non-profits that serve community residents, including the Center for Employment Training. Additionally, the Golden Belt Complex provides 35 artist studios, an art gallery, 37 loft apartments, office space, a café, and multiple ground floor retailers.

Bailey Power Plant

The Bailey Power Plant (“the Project) is the adaptive re-use of a former RJ Reynolds tobacco facility that is being redeveloped by Wexford Science and Technology, LLC (“the Sponsor”) into an 110,815 sq ft mixed-use, LEED Silver certified historic preservation project. The Project’s tenants will include an innovation center, university research space, early stage R&D companies, and mixed-use retail and restaurants serving local neighborhoods. The Project is located on an abandoned section of 4th Street, which has experienced significant industrial flight, and is key to revitalizing downtown Winston- Salem and the newly energized Wake Forest Innovation Quarter (WFIQ) that is creating a new economy driven by discovery, commercialization and entrepreneurship for Winston-Salem and Forsyth County. The Project is located in a severely distressed census tract with a 28.2% poverty rate. As of result of the environmental contamination, an inefficient layout, and other cost factors, the Project had high development costs; and therefore, the $38 million redevelopment was not financially feasible without the NMTC subsidy. Given its focus on providing a pathway to innovation and entrepreneurship and the remediation of a Brownfield site, the Project attracted $16 million in NMTC financing from three CDEs – Urban Action Community Development (UACD) provided $8 million, City First Bank of DC $6 million, and USBCDC $2 million. The Project also included federal and state Historic Tax Credits. The Project is aligned with UACD’s mission of neighborhood transformation with a focus on catalytic projects that promote the innovation economy. The Project will have a major impact on employment and will create 283 new permanent positions, of which 10% will be accessible to low-income persons (LIPs). The Project will create 450 construction jobs, of which 80% will be accessible to LIPs and 70% of those employed will have access to medical benefits. The Project’s sponsors will collaborate and partner with local organizations to recruit LIPS in East Winston-Salem through job fairs and other strategic outreach and engagement efforts. As part of the NMTC financing, the Project’s Sponsor established a Community Benefits Fund of an estimated $400,000 to support 5,000 sq of innovation space that will be used for computer coder training and workforce development programs. Overall, the Project will provide considerable financial support to education and workforce training programs in Winston-Salem.

Dia Beacon

After receiving a donation of the former Nabisco carton making and printing plant from International Paper, Dia planned a dramatic reuse of this 292,000 square foot former industrial space.The result is an array of stunning single-artist galleries renovated specifically for each installation. The structure’s 34,000 square feet of skylights and wide expanses between columns provide an optimal setting for viewing the renowned yet rarely seen contemporary arts collection.

Hahne & Co. Department Store Building

The historic Hahne & Company Department Store building (“Hahne’s”) on Broad Street in downtown Newark, New Jersey, once stood as an emblem of the city’s prominence. Vacant for nearly thirty years, it now reflects the city’s subsequent decline. Over the last decade, public and private investment are returning Newark to its role as a cultural and economic hub, and a revived Hahne’s building will become a centerpiece of the downtown neighborhood once again, providing a mix of retail, residential, and commercial uses. The Hahne’s redevelopment, led by L+M Development Partners Inc., includes careful restoration of the existing historic structure and the construction of a new twelve story mixed-use building on an adjacent site. When completed, it will offer 80,000 square feet of retail space, including: a Whole Foods Market for a neighborhood lacking a full-service grocery store; 160 mixed-income residential units; and 95,000 square feet of commercial, community, and office space, including a new home for Rutgers University’s Department of Arts, Culture, and Media. New Jersey Community Capital through its CDE, Community Loan Fund of New Jersey, Inc. (“CLFNJ”, a statewide CDFI) and tax credit investor Goldman Sachs (“GS”) identified this project as a prime candidate for NMTC financing. The redevelopment will bring a great number of jobs and amenities to a transitioning but still “severely distressed” community, but would not have been viable without a means to subsidize rents for its commercial tenants. CLFNJ and GS provided the project with NMTC allocation totaling $14.1 million (9.1M – CLFNJ; 5M – GS New Markets Fund), which directly financed a portion of the office and retail space in the existing building, including the flagship Whole Foods. Additional sources of funding in this $174 million deal included state housing finance and economic development agencies, nonprofit CDFIs, and conventional debt and equity. The Hahne’s project is a catalytic one for downtown Newark, anchoring a stretch of redevelopment along Broad Street. The 28,000 SF Whole Foods Market will deliver both healthy, sustainable food options and quality permanent employment opportunities to neighborhood residents. Affordable rental rates have allowed a range of additional nonprofit and communitybased institutions to come to the development, including City National Bank, a minority owned and managed bank that was able to keep its headquarters in Newark by moving to Hahne’s. The Rutgers space will create a new teaching and work environment for over 60 of the University’s staff and faculty, and a 250-seat auditorium-style classroom for the general use of all departments and the broader community. The development also ensures that there are affordable places to live as the city of Newark continues to grow. Of the 160 residential units, 54 units are reserved for households earning at or below 60% of area median income and 10 units reserved for households earning at or below 40 percent of area median income. In total, the project will create approximately 570 jobs, 350 of which are construction and 200 permanent non-construction jobs.

River City Business Park

The River City Business Park project involved $70 million redevelopment of a long-abandoned brownfield site into a 54 acre LEED-certified business park in a highly distressed community on the southern edge of St. Louis. The project consists of five buildings of light-industrial and office business park use with walking paths and green space. Abandoned since the 1990s, the site was formerly the Cardondelet Coke Plant and required $13 million of environmental remediation over six years prior to its successful redevelopment. The site was one of the largest pieces of vacant property within the City of St. Louis and was a substantial barrier to the revitalization efforts in the Cardondelet neighborhood. Due to the lack of development at the site and long-standing issues with the property, the development group was unable to secure tenants prior to development. Central Bank of Kansas City (CBKC) provided $6 million of NMTC allocation through its affiliated CDE to support the $14.3 million first phase of the business park which included site development and construction of the first 125,000 SF light-industrial building. The site was one of the top priorities of the City of St. Louis and identified by CBKC for allocation through its outreach to the city and relationship with local developers. U.S. Bancorp Community Development Corporation purchased the NMTCs, providing more than $1.9 million in capital to the project. The City of St. Louis provided $1.5 million in Tax Incremental Funds, Protective Life was the overall project financial partner, providing a project loan totaling more than $8.2 million, with Midland States Bank and the Carpenter’s District Council providing construction and infrastructure financing. The project developer contributed more than $2.7 million in equity. The project broke ground in November, 2015 and during construction 60 FTE positions were created. The first building was completed in Q2 of 2016 and is currently finalizing a contract for a long-term tenant to occupy it. The tenant expects to employ 96 permanent full-timeequivalent positions with an average salary of $41,700 and employee benefits including medical, a retirement plan, and paid sick leave and vacation. Additionally, the project served as the initial catalyst for River City Business Park by stimulating future construction of approximately 575,000 sf of additional industrial, flex and office space that is estimated to support more than 900 jobs. The office park is able to make use of nearby highways, rail lines, and barges on the Mississippi River.

Pagedale Town Center

The Pagedale Town Center is part of the 24:1 Community Initiative, a broad community development initiative in a 97% minority inner ring suburb of St. Louis, MO. The initiative is designed to unite 24 municipalities within the boundaries of the unaccredited Normandy School District with one collective vision: “Strong Communities, Engaged Families and Successful Children.” Beyond Housing, the not-for-profit entity spearheading this initiative, has worked for years to build community trust, asking residents for input on what services and amenities their neighborhood needs. The Pagedale Town Center is the manifestation of that effort. To help Beyond Housing overcome a significant financing gap, Enterprise Financial CDE provided $8.5MM in New Markets Tax Credit (NMTC) financing to construct the 24,000 sq. ft. project, helping to transform a blighted street corner into a center of community activity. The project created 28 construction jobs, and will create an estimated 38 full-time jobs. Pagedale Town Center will also soon be home to a Federally Qualified Health Center (FQHC) for operation of a health clinic and St. Louis County Children Services Fund which provides funding for mental health services for children. Each addresses services previously missing from the community. These facilities are expected to be fully operational by early 2017. Additionally, the 24:1 Cinema opened in November, 2015 – the first ever theatre of its kind in North St. Louis County. In its first year of operation, the cinema has drawn movie-goers far beyond expectations due to the high-demand first releases and ticket prices that are discounted as much as 20%. Furthermore, the cinema is primarily managed and staffed by local residents. To build on the success of this project, there are preliminary plans for a Pagedale Town Center II, featuring senior housing mixed with additional retail options. Continued momentum can be found through integrated projects such as a state-funded redesign of Page Avenue to make the area more pedestrian friendly alongside privately financed retail, a credit union and wealth accumulation center.

Syndicate Building

The Old Post Office historic district of downtown St. Louis is the site of revitalization projects, including the Syndicate Building considered a key, cornerstone; historic building that was in a state of advance deterioration. In fact, the condition of the building and potential threat it posed for the future of the surrounding buildings caused the City’s Land Clearance for Redevelopment Authority to purchase the property in 2002. Turning this problem into a revitalization opportunity the CDE, Valued Advisor Fund (VAF) provided a 1 percent New Markets Tax Credit (NMTC) loan of $2.19 million in partnership with local CDFI, the Central Bank of Kansas City for the market rate units and commercial space portion of this ambitious project

Palmer Warren Project

The project developer, Jubilee Christian Church International, is the largest black church in Boston. This project, the first new construction of a commercial building in Dudley Square in 40 years, will consist of a three-story building including ground-floor retail and 2 floors of office above for a total of 30,000 square feet. Its high-profile corner location is an important symbol for the renaissance of this major commercial district in Boston’s low-income black community. This project will help jumpstart the long-delayed redevelopment of adjacent parcels, including an office and retail complex plus new 500- space parking garage. City has worked unsuccessfully with a number of developers over the past dozen years to try to develop Palmer Warren site. MHIC provided extensive technical assistance to the developer for whom this is its first major development project (the church’s goal is to use its financial resources to create economic opportunity for its community and is using this project to launch a major real estate development effort). The project is expected to create 113 permanent jobs and 120 construction jobs. It is located in Boston’s Empowerment Zone. In the project’s census tract, the poverty rate is 30%, family median income is 44% of the area median income, and the unemployment rate is 2.65X the U.S. unemployment rate. 60% of the project’s new jobs must go to Zone residents. Even with $1.8 million in City funding from the HUD 108 and EDI programs, a cash equity infusion by church of nearly $1 million, the project still had a $2.2 million feasibility gap that will be covered by NMTC-financed gap equity, representing 25% of total development cost. MHIC’s CDE also provided a $3.3 million first mortgage loan. It is clear that this project would not have come to fruition without MHIC’s NMTC program.

Masonic Temple

38,000 square feet of connected banquet and meeting facilities supported by a full service kitchen. Once completed, the Tremont Grand, as it will be known, will provide Baltimore with a one-of-a-kind facility for conference and social events. It will provide a substantial number of new jobs to a low-income census tract and contributes to the renaissance of historic Charles Street (downtown Baltimore’s “Main Street”). This is a remarkable triumph for a historic jewel once slated for demolition in favor of a parking garage.

East Baltimore Redevelopment

As part of the redevelopment plan approved by the Baltimore City Council, East Baltimore Development Inc. (EBDI) has lead responsibility to manage the implementation of the revitalization of 88 acres in East Baltimore. The project consists of the development of new and rehabilitated housing, a life sciences and technology park, as well as retail space. The Life Sciences Park will create and foster an integrated research community and medical center dedicated to the advancement of biomedicine through a collaborative approach among academic, government and corporate scientists and clinicians. The Park will provide traditional laboratory and office space in addition to build-to-suit options for biotechnology research and manufacturing facilities.