F inancial D igest F eaturing 1031 E xchange & A ppraisal
M id A tlantic Real Estate Journal — September 17 - October 21, 2021 — 3A
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Award will spur projects focused on education and job creation in disinvested communities Cinnaire announces $60 Million New Markets Tax Credit Award from US Treasury CDFI Fund
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economic development and wealth creation, and creating jobs by incentivizing private sector investors to partner in its community financing ef- forts. Cinnaire plans to lever- age the $60 million allocation to support education and job creation in disinvested com- munities across its nine-state footprint. “The NewMarkets Tax Cred - it has proven to be one of the most successful models for a public-private partnership, driving capital to America’s most disinvested neighbor- hoods,” said Mark McDaniel , Cinnaire president & CEO. “With this year’s award, we are focusing on organizations that support education, includ- ing early childhood, school-age children and adults seeking vocation training opportuni- ties. We also plan to support projects that create job opportu-
nities for individuals without a college degree or other barriers to obtaining employment. We look forward to partnering with and providing NMTC allocation to projects that will help all people have access to the tools and opportunities they need to succeed.” The NMTC is a uniquely bi- partisan program, supported by members of congress through- out Cinnaire’s footprint, that helps drive resources and in- vestment to areas that need it most. “We’re grateful to the mem - bers of congress on both sides of the aisle for their steadfast support of the New Markets program and helping CDFIs to access these important re- sources,” McDaniel said. The US Treasury’s CDFI Fund announcement brings the total amount awarded through the NMTC Program to $66 bil-
difficult by a lack of invest- ment. It’s critical that Congress sustain these investments over time by making the New Markets Tax Credit Program permanent.” Cinnaire has deployed pre- vious NMTC allocations to help launch impactful projects nationwide. • Paul’s Place-Groundwork Kitchen, Baltimore, Maryland • Mott Community College Culinary Arts Institute, Flint, MI • Fintech Building Supports Financial Technology in New- ark, DE • Southwood County YMCA in Rural Wisconsin Rapids, WI • New Market West Early Childhood and Health Care Services, Philadelphia, PA •Marygrove Early Childhood Center, Detroit, MI • Salvation Army Freedom Center, Chicago, IL MAREJ
ASHINGTON DC, — The US Depart- ment of Treasury’s
lion. Historically, NMTC Pro- gram awards have generated $8 of private investment for every $1 invested by the fed- eral government. Through the end of fiscal year 2020, NMTC Program award recipients deployed almost $56 billion in investments for communities and businesses earning low in- comes, with impacts such as the creation or retention of nearly 871,000 jobs and the construc- tion or rehabilitation of nearly 231.5 million s/f of commercial real estate. “These investments will cre - ate jobs and spur economic growth in urban and rural com- munities across the country,” Secretary of the US Treasury Janet L. Yellen said. “Many of the communities that will receive these funds have con- fronted economic challenges over many decades. Challenges which have been made more
Community Development Financial Institutions Fund (CDFI Fund) has awarded Cinnaire a $60 million New Markets Tax Credit (NMTC) Allocation. Since 2009, Cin- naire is an eight-time NMTC recipient with awards total- ing more than $419 million. Cinnaire, a non profit CDFI serving the Midatlantic region for more than 28 years, also manages an additional $251 million in NMTC allocation for partner organizations. Over the history of the program, Cinnaire has used NMTC investments to finance 42 high-impact projects in dis- invested communities with a total development cost of $1.46 billion. This award advances Cinnaire’s goal of creating healthy communities, spurring
SCOPE Capital Group secures construction debt for 120-unit residential development in Philadelphia, PA
PHILADELPHIA, PA — SCOPE Capital Group, LLC announced that it has ar-
ranged $19.6 mi l l i o n i n construction financing for Vine Street Apartments, a 120 - un i t multifamily development in the Loft
Matthew Rosenberg
District of Philadelphia. The loan was funded by a regional bank to an affiliate of the Meri - tis Group. SCOPE Capital Group’s managing director Matthew Rosenberg negotiated the financing with the collabora - tion fromSCOPE’s investment sales group. The approximate loan to cost amounted to 60% includ- ing $15 million in hard con- struction costs. The loan was provided by a regional balance sheet lender and features a permanent conversion option to non-recourse and a no pre- payment penalty option to exit
Vine Street Apartments
the loan at any time. “Our capital sources have continued to show strong support for new construction multifamily housing projects surpassing 50 units in all pockets of the city of Philadel- phia,” adds Rosenberg. “Through extensive lender relationships, SCOPE Capi- tal Group has successfully secured over $70M in con-
struction loans for multiple projects scheduled to come online in the next 24 months throughout Philadelphia and the surrounding region.” Located at 1201-15 Vine Street, the project includes a two-story vertical overbuild above the Jarvis Building to be connected to a separate eight- story ground-up residential build. The Jarvis Building
currently houses the night- club, NOTO Philadelphia. The proposed plans, created by Cadre Design, will preserve the building’s existing brick exterior and the new addition will feature a modern design with gray metal paneling and public art components along 12th St. The entire project will be 83,635 s/f which will encom-
pass 120 new residential units and a 36-space automated parking garage. New residen- tial units will have a shared lobby space and will feature a mix of studio, one and two- bedroom units. The property borders the Rail Park, an elevated public park that will eventually provide three miles of landscaped greenery to neighborhood residents. MAREJ
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