WASHINGTON, DC – October 20, 2008 – (RealEstateRama) — United States Senators Judd Gregg and John Sununu (R-NH) today announced that the United States Department of Treasury has awarded $65,000,000 in tax credits to the New Hampshire Business Finance Authority (NHBFA) for development initiatives in New Hampshire communities. NHBFA will use the New Markets Tax Credit (NMTC) allocation for commercial real estate projects meant to create or retain employment, expand the local tax base of distressed communities, or provide needed community services such as health care.
Senator Gregg stated, “Today’s announcement by the Department of Treasury that $65 million in tax credits will be extended to the New Hampshire Business Finance Authority is good news for cities and towns across the Granite State, especially as many are now feeling the impact of the current economic slowdown. These tax credits provide critical investments in distressed communities and will create jobs and new business opportunities, as well as support health care and other services. I will continue to work with Senator Sununu and my other Senate colleagues to help assist New Hampshire communities in need, including measures that will reinvigorate Main Street’s economy.”
Senator Sununu stated, “Several of the projects the New Hampshire Business Finance Authority included in its application are located in New Hampshire’s North Country, which has been negatively impacted by plant closures. These projects, which are meant to create and retain jobs and expand the local tax base, would not be viable without federal New Market Tax Credits, and I was pleased to support the Authority’s application to the Treasury Department. Today’s announcement is great news for the North Country, and for residents of Manchester and Farmington, who are also expected to benefit from the award.”
Jack Donovan, the Business Finance Authority’s Executive Director, stated, “We are extremely pleased to be awarded the tax credits, which will enable us to support important local development efforts in New Hampshire’s North Country and other eligible communities. Given the downturn in the economy, the award of the credits is particularly timely.”
The tax credits will finance commercial real estate projects in distressed communities throughout New Hampshire. While the NHBFA Advisory Board will not officially award the credits to specific projects until early next year, the agency’s application to the Treasury Department included tentative plans for development initiatives in Berlin, Conway, Farmington, Groveton, and Manchester.
The Treasury Department’s Community Development Financial Institutions (CDFI) Fund awarded a total of $3.5 billion in NMTC allocation authority to 70 organizations around the nation today. The NMTC Program, which was established by Congress in 2000, provides individual and corporate taxpayers with a credit against federal income taxes for making qualified equity investments in Community Development Entities (CDEs).
EDITOR’S NOTE: For additional information on the New Hampshire tax credit projects, contact Jack Donovan, Executive Director of the New Hampshire Business Finance Authority, at (603) 415-0191.