U.S. Treasury Department Doubles New Markets Tax Credit Funding for 2016

Flexible Financing = Opportunities for Treatment Centers

SAE is partnering with CBO Financial to provide access to flexible financing for new and expanded facilities, in part by utilizing the federal New Markets Tax Credit (NMTC) program.

The U.S. Treasury Department has announced that 2016 funding authority under the NMTC program has been increased from $3.5 billion to $7 billion; the program has also been extended through 2019 at $3.5 billion annually. This creates an unprecedented opportunity for project sponsors to secure flexible, below-market financing for approximately 20% of a project cost if it is located in an eligible low-income community or serves a low-income population. 

If you have a project that is unable to move forward due to lack of sufficient conventional financing, your project may qualify under the NMTC and other subsidy programs.

 

About CBO Financial

CBO Financial has funded over $850 million for projects that help to serve and revitalize distressed communities and populations. The U.S. Treasury Department has awarded a CBO Financial subsidiary with $150 million in authority under the NMTC program in six awards, one of only a few dozen organizations in the country to have received six or more awards. In addition, CBO has taken a leadership role in securing 11 additional NMTC allocations for clients totaling $370 million. The $67.5 billion NMTC program is designed to stimulate investment in low-income communities that would not otherwise occur.

 

For those interested in finding out more on how tax credits can help you develop your residential service line, please contact Amanda Estrine of SAE at (212)-684-4480.