SOURCE: National New Markets Fund, LLC

National New Markets Fund, LLC

February 29, 2012 11:23 ET

National New Markets Fund Awarded $70 Million in Latest New Markets Tax Credit Allocation

Fifth NMTC Allocation Is Largest in Fund's History; Proceeds Will Be Invested in Low Income Communities

LOS ANGELES, CA--(Marketwire - Feb 29, 2012) - National New Markets Fund, LLC (the "Fund") has been awarded a $70 million New Markets Tax Credit (NMTC) allocation by the U.S. Treasury Department to finance real estate development in low-income communities. This is the fifth and largest NMTC allocation for National New Markets Fund, which has been awarded more than $237 million in such credits since 2006.

"This new $70 million allocation will enable our fund to continue facilitating projects that are difficult to finance yet destined to help distressed and underserved communities," said Deborah La Franchi, co-founder and president of National New Markets Fund and one of its parent companies -- Los Angeles-based Strategic Development Solutions. "The credits we invest will help create jobs and services while stimulating economic growth where it is needed most."

In the latest allocation round, the Treasury Department's Community Development Financial Institutions Fund (CDFI Fund) allocated a total of $3.6 billion in NMTCs to 70 organizations. National New Markets Fund was awarded its $70 million allocation after a competitive selection process that included 314 applicants from across the U.S.

National New Markets Fund invests in high-impact projects with the capacity to transform qualified low-income communities. The Fund has closed financing on 16 major projects across the U.S. since 2006.

"NMTCs fill a critical gap in funding for projects that can reinvigorate entire communities," added Belden Hull Daniels, co-founder and CEO of National New Markets Fund and CEO of Boston-based Economic Innovation International. "It's all about overcoming financial hurdles and creating jobs, opportunity and hope."

At a ceremony to announce the latest NMTC allocation, U.S. Treasury Deputy Secretary Neal Wolin said, "For so many vital economic development projects across the country, the New Markets Tax Credit has been a critically important piece of the puzzle. This targeted tax credit has a strong record of spurring economic growth in low-income and distressed communities across our country."

About the U.S. Treasury Department's New Markets Tax Credit (NMTC) Program
Created in 2000, the New Markets Tax Credit (NMTC) Program is administered by the U.S. Treasury Department's Community Development Financial Institutions Fund (CDFI Fund). The program was created with the specific intent of financing extremely challenging economic development projects in low-income communities. The program serves as a catalyst for private capital investment in urban and rural communities by allowing investors to receive a credit against federal income taxes for equity investments in designated Community Development Entities (CDEs). To date, the Treasury has awarded more than $33 billion in NMTC allocations.

About National New Markets Fund
National New Markets Fund, LLC invests in projects that serve targeted low-income communities nationwide. Its mission is to provide funding and technical assistance for projects that foster job creation and overall economic and social development. The Fund consists of $237 million in New Markets Tax Credit (NMTC) Allocations awarded by the U.S. Department of the Treasury. It has invested in six award winning projects to date. The Fund was launched in 2005 as a partnership between Los Angeles-based Strategic Development Solutions (SDS) and Boston-based Economic Innovation International. SDS was founded in 2001 by Deborah La Franchi and has become a market leader in the creation of Double and Triple Bottom Line private equity and real estate funds. Economic Innovation International, Inc. was founded in 1970 by Belden Hull Daniels and is recognized internationally for building more than $150 billion of privately capitalized, innovative institutions that generate wealth and high quality jobs. More information about National New Markets Fund is available at http://www.sdsgroup.com/new-markets-fund.html.

Contact Information

  • Contact:
    Erik Deutsch
    ExcelPR Group (for NNMF)
    (323) 851-2300 x112
    erikd[at]excelpr[dot]com