New Markets Tax Credit
Investment
Atwater is licensed as a Community Development Entity (CDE) by the U.S. Department of Treasury CDFI Fund. This designation allows the firm to apply for New Markets Tax Credit allocation when available. The firm is a previous recipient of $45 million in tax credit allocation. Atwater is among the few CDE’s nationally to be a minority-controlled entity. The Atwater CDE finances quality real estate developments in low-income and underserved communities nationally. The Atwater CDE invests in mixed-use (commercial, retail and community-benefit) transactions that are the highest priority for low-income communities. Atwater uses its NMTC allocation to offer debt at deeply discounted rates in order to fill gaps in project financing
Advisory
Atwater has an active Advisory practice serving non-profit organizations and municipalities in their efforts to secure NMTC financing. The firm has advised on more than $200 million in NMTC transactions nationwide. Representative clients include non-profit organizations, port authorities, housing authorities, and municipalities.
The scope of the firm’s NMTC services includes:
- Matching the borrower/project sponsor with the appropriate CDEs based on their investment strategy and market opportunities
- Sourcing tax credits and aligning NMTC financing to other economic incentives
- Deal structuring and closing transactions featuring federal and state NMTCs, Low Income Housing Tax Credits, Historic Tax Credits, and Energy Investment Tax Credits
CDE Advisory
Atwater advises municipal and financial organizations which seek to create their own CDEs. The firm uses its extensive public-private experience to form a true partnership with CDE partners to gain valuable insights into their goals and objectives.
Atwater offers a highly streamlined approach that includes:
- Supporting CDE partners with preparing, writing and submitting their NMTC application
- Managing deal underwriting for the NMTC projects
- Assisting partner CDEs on NMTC pipeline development
- Developing metrics to measure community impacts and NMTC project benefits