Including this year's allocation, SLDC has received a total of $308 million of New Markets Tax Credits authority.
"The City's past allocations have gone into some exciting projects across the City, like Bissinger's new headquarters and manufacturing facility, Southside Early Childhood Center, the redevelopment of the historic Arcade building, and City Garden Montessori School, to name a few," Mayor Francis Slay said. "This new $45 million allocation will allow us to make major contributions to projects that could not move forward without this financing assistance."
To date, SLDC has funded 36 projects with $263 million in NMTC, which has leveraged a total of $848 million in total project costs. These investments created and retained more than 4,000 jobs for St. Louisans and provided essential goods and services to City residents.
"This is fantastic news for the City of St. Louis," Otis Williams, SLDC executive director, said. "The New Markets Tax Credits program has been a tremendous tool for us as we seek to redevelop and strengthen the City's neighborhoods."
Future projects will be selected through a proposal process to attract quality work that will create the most impact with the use of the federal tax credits. An advisory group reviews and makes recommendations on which projects should receive the incentive. The SLDC Board of Directors has the final approval.
About the New Markets Tax Credits program:
Administered by the U.S. Department of the Treasury's Community Development Financial Institutions fund, the New Markets Tax Credits program was established by Congress in 2000. The program attracts private-sector capital investment into urban and rural low-income areas to help finance community development projects, stimulate economic opportunity, and create jobs in the areas that need them most. The program permits investors to receive a credit against their federal income taxes for making qualified equity investments in designated Community Development Entities. In turn, those entities must re-invest the equity investments in low-income communities.
Office of the Mayor
St. Louis Development Corporation
Business Assistance, Incentives, and Promotion
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