The New Markets Tax Credit Program, established in 2000, helps economically distressed communities attract private capital by providing investors with a federal tax credit. Investments made through the NMTC Program are used to finance businesses that breathe new life into neglected and underserved low-income communities.
NMTC-based gap financing is offered for projects that will significantly improve the quality of life for individuals who live and work in underserved areas. Up to 25% of project costs can be funded with flexible, below-market financing.
Preferred Project Types
Eligibility
Project Profiles
Preferred Project Types
Launching Your Project
- Commercial real estate projects that promise significant job creation for disadvantaged individuals and/or otherwise create significant positive economic, social and environmental impacts for low income communities. Projects should demonstrate how they positively impact the lives of low income community residents and the specific types of community and commercial goods and services the project will create.
- Projects sponsored by or benefitting nonprofit healthcare and social service organizations or community facilities that serve and support low income individuals and/or disadvantaged communities.
- Manufacturing projects that are strong job generators, creating quality jobs, wage progression, and training for low income individuals. Projects should demonstrate a strong tie to the local community, significant job creation particularly for disadvantaged individuals while reflecting a manufacturing process that is sensitive to environmental impacts and sustainable processes.
Eligibility
- State of Pennsylvania, focusing on the northeast counties of Carbon, Lackawanna, Luzerne, Monroe, Pike, Schuylkill and Wayne.
- “Severely Distressed Census Tracts with >30% poverty rate or <60% of the area Median Family Income.
CohnRezbick NMTC Mapping Tool
NOVOGRADAC NMTC Mapping Tool
How to Apply (PDF)
Project Profiles
Connell Building
- Lackawanna County, Scranton, PA
- Historic Renovation of Office Building
- Total Cost – $22,900,000
- NMTC Allocation – $17,900,000
- Created estimated 137 construction jobs and 165 permanent jobs
- Fully leased with first floor retail space, two floors of commercial offices, and five floors of residential living
Coal Street Community Facility
- Luzerne County, Wilkes-Barre, PA
- Regional Sports and Medical Complex
- Total Cost – $12,360,000
- NMTC Allocation – $12,000,00
- Created an estimated 136 construction jobs and 40 permanent jobs
- Facility used by Wilkes-Barre/Scranton Penguins, public skates, and organized youth and adult leagues
O’Hara Hall – King’s College
- Luzerne County, Wilkes-Barre, PA
- Apartment Building for Students
- Total Cost – $19,938,000
- NMTC Allocation – $16,500,000
- Year round housing for 162 students across 3 floors
- Contains King’s College Education Department, a day care, and a restaurant
Wilkes-Barre Community YMCA
- Luzerne County, Wilkes-Barre, PA
- Community Center Renovation:
- Total Cost – $16,000,000
- NMTC Allocation – $14,500,000
- Serves 4,000 residents of the community a week
- Reconfiguration to split building between YMCA and 21 residential apartments
Sears Warehouse/M.S. Carriers
- Luzerne County, Wilkes-Barre, PA
- Warehousing:
- NMTC Allocation – $2,812,626
- 750,000 square-foot warehouse and distribution center on 59 acres
- Recently sold to LBA Realty from Innovel Solutions Inc. (Sears subsidiary) for $43.7 million.
Scranton Counseling Center
- Lackawanna County, Scranton, PA
- Community Healthcare, Historic Renovation:
- NMTC Allocation – $10,000,000
- Total Project Cost – $14,059,000
- Adaptive reuse of a 108,000 sq. ft. historic cornerstone building (former button factory at 329 Cherry Street) that will home to Scranton Counseling Center’s behavioral health clinic and administrative offices, as well as a pharmacy and primary care health clinic
Distress Criteria:
- Highly Distressed – Median family income: 69.18%
- Medically Underserved Area
Community Impacts:
- Creation of 10 permanent jobs and retention of 308 direct FTE permanent jobs; Creation 59 FTE construction jobs
- Treat 10,250 unduplicated patients annually with behavioral health related services, 9,738 of which are low-income
- Rehabilitation of a blighted property