Cleveland Development Advisors, the real estate affiliate of Greater Cleveland Partnership, has been awarded $35 million in New Market Tax Credits. The Northeast Ohio Development Fund, LLC, was awarded an additional $45 million, bringing $80 million of total tax credits to fund transformative projects in Greater Cleveland.
The federal awards were announced on Friday morning in Baltimore. A total of $5 Billion was awarded to communities across America.
The goal of the New Markets program, founded in 2000, is to assist economically distressed communities by attracting private investment capital. Communities, both urban and rural, benefit from the growth and jobs associated with investments in manufacturing, technology, healthcare, retail, housing and other projects.
“Since the program began 20 years ago, CDA has been awarded a total of $300 million in credits,” said Yvette Ittu, President Cleveland Development Advisors. “These investments are a powerful tool for creating growth and good jobs in underserved communities.”
Just this week, the transformative impact of New Markets in Greater Cleveland was realized with the opening of the new MAGNET incubator and job training center in MidTown to which CDA provided $5 million. Other recent Greater Cleveland projects that have benefited from this financing include the May Dugan Center renovation and expansion, which received $5 million in tax credits. The expansion enables May Dugan to serve more members of the community via its health and human service programs. The Greater Cleveland Food Bank ($10M), Dave’s MidTown Market and Eatery ($10M), and Glenville Circle North ($10M) also recently used New Markets financing from CDA.
The awards were announced by Treasurer of the United States Chief Lynn Malerba.
“Twenty years ago, the Treasury Department announced the first New Markets Tax Credit awards, and for many economic development projects across the country since then, the New Markets Tax Credit has been a vitally important piece of the puzzle,” said Treasurer Chief Malerba. “This program has created or retained hundreds of thousands of jobs and spurred economic growth in many low-income communities across our country.”
New Markets Tax Credit program should be permanent | Crain’s Cleveland Business (crainscleveland.com)
Treasury Announces $5 Billion in New Markets Tax Credit Awards to Revitalize Low-Income and Distressed Communities | Community Development Financial Institutions Fund (cdfifund.gov)
Greater Cleveland Partnership’s All In vision for a Great Region on a Great Lake has five key priorities: Dynamic Business, Abundant Talent, Inclusive Opportunity, Appealing Community and Business Confidence. All of our work ties back to these values. This story relates to Inclusive Opportunity and Dynamic Business and Abundant Talent.
Added Highlights Nov. 3, 2022
GCP President and CEO Baiju Shah was on Wills and Snyder in the Morning. He discussed Cleveland’s award of $80 million in New Market Tax Credits, the opening of MAGNET’s new Manufacturing Center and the Cleveland Metroparks’ positive impact on our region.