CAHEC New Markets, a New Markets Tax Credit (NMTC) Community Development Entity, has provided $40 million in NMTC allocation to three community development projects in Florida, Tennessee, and North Carolina. The investments target early childhood education, family services, and rural healthcare, aiming to stimulate economic development in low-income communities.
The first investment of $11 million supports Childcare Resources' new early learning campus and resource hub in Vero Beach, Florida. The campus will replace the organization's current 17,100-square-foot leased facility and expand programming from infancy through second grade. It includes a 16-classroom lab school, student therapy rooms for wellness and early intervention, and a professional development incubator for early learning educators. The expanded campus represents a 36% increase in capacity, allowing Childcare Resources to serve 200 students annually, 85% of whom are low-income, with 20 seats reserved for children experiencing homelessness. The incubator will also serve 300 educators annually, 74% of whom are low-income. The project is expected to create 13 new jobs and retain 50 existing positions.
The second investment of $15 million was provided to Knoxville's Community Development Corporation (KCDC) to support the Transforming Western Heights plan, a 70-acre U.S. Department of Housing and Urban Development Choice Neighborhood development featuring over 700 affordable and mixed-income rental housing units. The NMTC financing supports construction and renovation across a 35,195-square-foot campus, including expansion of an existing Boys & Girls Club, upfitting clinic space for the University of Tennessee Medical Center's Primary Care Clinic, and construction of a new Connections Building housing Real Good Kitchen and Junior Achievement of East Tennessee's Entrepreneurship Center, plus an adjacent public park and plaza. Once complete, the project is projected to serve more than 6,000 community members annually, 80% of whom are low-income, through youth programming, healthcare access, culinary job training, entrepreneurship support, and food security initiatives. It is expected to create 105 construction jobs and 40 new permanent positions.
An additional $14 million investment supports FirstHealth of the Carolinas' construction of a new two-story, 40,956-square-foot critical access hospital in Troy, North Carolina, replacing the Montgomery Memorial Hospital built in 1949. The state-of-the-art facility will deliver more efficient emergency services, rehabilitation and therapy services, and other comprehensive care to the rural, medically underserved community. The hospital is projected to serve approximately 14,000 patients annually while creating 166 construction jobs and retaining 136 full-time positions.
"All three projects are driven by organizations that are deeply rooted in and have served their communities for decades," said Brian Oxford, CAHEC's Director, Community Capital. "Through New Markets Tax Credit investments, we are able to help these organizations and the community members they serve realize their visions for strong, stable, and thriving communities that provide opportunities for years to come."
The New Markets Tax Credits program is designed to stimulate economic and community development and job creation in low-income communities by attracting private investment. CAHEC New Markets, LLC, an affiliate of CAHEC, uses NMTC allocations to finance high-impact community facility projects throughout the Southeast. For more information, visit its website.
