Roeder & Company welcomes the addition of Kevin Campbell to its Advisory Board.  Mr. Campbell is the Finance Director of Union Gospel Mission - Portland.  “Kevin has extensive experience serving the most vulnerable residents of low-income communities in Portland during his 22 years with Union Gospel Mission.  Adding him to our advisory board will help us better serve the most disadvantaged populations in Oregon,” said Reynold Roeder, CEO of Roeder & Company, LLC.  “Kevin worked with me on the NMTC financing for Union Gospel Mission’s Life Change Center in 2007.  He has experienced the complete NMTC cycle from original investment to exit.”  Mr. Campbell will join Victor Merced, Robert McGill, Gary Neal, Matt Burton, and Robert McKean on Roeder & Company’s Advisory Board.

For further information, call 503-641-5457.

Roeder & Company, LLC and Enhanced Community Development announce the closing of an $8 million Oregon New Markets Tax Credit (NMTC) financing for Pacific Recycling Inc.’s installation of an industrial shredder on a parcel of land adjacent to their existing scrap metal recycling facility in Eugene, Oregon.

Pacific Recycling, Inc. (PRI) was founded in 1985 by Rod Schultz, who launched PRI after growing up in the scrap industry.  The NMTC financing leveraged previous investments made in the shredder complex, generating funds that will be utilized to finish the installation of the supporting shredder infrastructure.  This large capital investment will enable PRI, as a small business, to become more competitive in the scrap metal recycling industry.  The NMTC net benefit will also be used to hire and train residents of the surrounding low-income community to operate the shredder and related equipment.

“The completion of our shredder project establishes PRI as a long-term player in the industry, and it would not have come to fruition without NMTC financing and the assistance we received from Roeder & Company,” said Rod Schultz, CEO of PRI.   

“The PRI transaction demonstrates the flexibility inherent in the NMTC program.  There were a multitude of leases, lenders, and regulators in this transaction and that created some hurdles.  However, as a team we were able to structure within each party’s constraints and successfully close the NMTC financing,” said Roeder & Company CEO Reynold Roeder.

The shredder is expected to commence operation in February 2015.  For more information about PRI, please visit www.pacificrecyclinginc.net.

Roeder & Company, LLC and Enhanced Community Development announce the closing of a $7.1 million Oregon New Markets Tax Credit (NMTC) transaction to help fund the construction of a new administrative headquarters building, a new Latino public market, and the rehabilitation of an existing community center. Roeder & Company also sourced $10 million in Federal NMTC allocation from Raza Development Fund for the project.

Hacienda CDC, a Latino Community Development Corporation that strengthens families by providing affordable housing, homeownership support, economic advancement and educational opportunities, is using the State and Federal NMTC net benefit to complete the funding necessary to construct a new headquarters building and the Portland Mercado, as well as rehabilitate the aging Baltazar Ortiz Community Center. The combined State and Federal NMTC financing will also generate funds that will be utilized to build Hacienda’s agency capacity to further serve families in the low-income communities surrounding the aforementioned three projects.

“Without the financing provided through the New Markets Tax Credit Program, Hacienda would not have been able to complete these projects in 2015,” said Victor Merced, Hacienda CDC Executive Director and Roeder & Company Advisory Board Member.  “This financing has enabled Hacienda to dramatically increase its program offerings to the Latino low-income community in Portland.”

The headquarters will provide badly needed space for existing staff which is currently located at 3 different facilities and will allow Hacienda to locate adjacent to many of its housing units to better serve the needs of residents. The building will be in the Cully Neighborhood of Northeast Portland, which is Portland's most ethnically diverse neighborhood with 51% of residents representing communities of color.

The Portland Mercado is a Latino public market that will serve as a business incubator for low-income community members. Based on the Mercado Central model in Minneapolis, the Portland Mercado will be a physical space in which members of the community will provide the opportunity for entrepreneurs to grow and expand their businesses while receiving cultural and business training from Hacienda. The Mercado will serve as a center for the Latino community in the Portland region and as a destination for those seeking a unique cultural and culinary experience. The Mercado will also be a community resource, providing a venue for trusted financial, legal and social services to help Latino families grow household assets.

The Baltazar Ortiz Community Center is a 7,812 sq. ft. commercial facility that houses a county health clinic and family resource center. The Ortiz Center places important Multnomah County health and social service programs in the heart of an at-risk community, and helps many residents access the health care they need. As the building is approaching its fifteenth year, Hacienda needs to make much needed repairs as existing systems reach the end of their useful life. These items include new sidewalks to meet current city standards, a new HVAC system, and a new roof.

 “Our relationship with Hacienda dates back two years.  During that time we introduced Hacienda to the program and then worked with them to structure their three projects in a manner that allowed for both the use of federal and state New Markets Tax Credits while accommodating existing lenders and grant providers in the three different physical locations.  The transaction had its challenges, but the team overcame them all,” said Reynold Roeder, CEO of Roeder & Company, LLC.

Hacienda CDC was formed in 1992 in response to the declining standard of living among Hispanic immigrants in Portland’s lower-income communities. Hacienda has 381 community-centered, affordable rental housing units for over 1,500 residents, 70% of whom are first or second generation Hispanic immigrants and over 95% of whom are people of color. Residents typically earn less than 50% of family median income for the area and more than half are school-aged youth. For more information about Hacienda CDC, please visit www.haciendacdc.org.

Roeder & Company, LLC and Enhanced Community Development announce the closing of an $8 million Oregon New Markets Tax Credit (NMTC) financing for the new campus of Pacific Northwest College of Art (PNCA) in downtown Portland, Oregon.  PNCA is currently working on a $29 million renovation of the historic post office building at 511 NW Broadway into the Arlene and Harold Schnitzer Center for Art and Design.

PNCA, founded in 1909, is Oregon’s flagship college of art and design.  In the last seven years, PNCA has doubled both the student body and full-time faculty, quadrupled its endowment, and added innovative undergraduate and graduate programs.  PNCA will continue its expansion with the completion of the new campus building, which will provide the space to continue to grow both undergraduate and graduate programs. In addition, with the increased growth, there is the opportunity to add new full time and part time positions over the coming years to support the expansion.  The influx of new students and faculty will provide economic benefits to the surrounding low-income community.

“The relocation of PNCA to 511 NW Broadway will help bridge a perceived barrier between the emerging Old Town/Chinatown neighborhood and the thriving Pearl District,” said Sarah Zahn, development manager at Gerding Edlen, the project developer.  “The hope is that this project will trigger increased investment in the community, and contribute to a vibrant ‘creative corridor’ in the central city.”

The renovation will be completed in January of 2015, in time for the spring semester.  For more information on PNCA, please visit www.pnca.edu.   

Enhanced Capital Partners (“ECP”) and Roeder & Company announce the availability of $64 million in Oregon New Markets Tax Credit Allocation for qualified Oregon projects.  ECP’s subsidiary community development entity, Enhanced Capital Development (“ECD”), has been awarded $64 million of allocation by Business Oregon, the agency of the State that administers the program.  This amount is in addition to the original award of $32 million received in October 2012.  

ECD and Roeder & Company are currently sourcing Oregon transactions that are able to use up to $8 million of Oregon New Markets Tax Credit allocation, the new maximum allocation allowed per transaction.   Reynold Roeder, CEO of Roeder & Company stated, “The increase in the cap from $4 million to $8 million increases the efficiency of the program and doubles the subsidy to the project. We are seeing a high demand from project developers for the benefits from the tax credit.”  Interested parties should contact Mr. Reynold Roeder at (503) 320-5540 or Mr. Richard Montgomery at (504) 569-7904 regarding the applicability of Oregon NMTCs to their project or capital needs.

In August of 2012 Oregon created a New Markets Tax Credit program and authorized $200 million in allocation authority.  This little-understood program has now been in existence for over a year and has built a track record of financial closings.  Interested to know how the NMTC Program can help your project succeed?  Please join Roeder & Company, LLC for a free seminar on how New Markets Tax Credits can be used as a financing tool for projects that are either located in low-income communities or serve low-income individuals.  Reynold Roeder and Sara Pietka of Roeder & Company, LLC will provide an overview of New Markets Tax Credits, including:

Federal NMTC Program

• History of the Federal NMTC Program
• Program eligibility and project types
• Key players in the process
• Overview of typical structures

Oregon State NMTC Program

• History of the Oregon State NMTC Program
• Program eligibility and project types
• Key players in the process
• Case Studies: Typical structures, financial benefits, common pitfalls, compliance requirements, exits

Attendance is free, but please register by contacting Sara Pietka (503-641-5457 or [email protected]) for one of the below sessions.  You can also register online at http://www.rroeder.com/learn-more.html.  All seminars will last from 9:00 AM to 11:00 AM, and will include a complimentary continental breakfast.  The seminars will be held at our offices at 13635 NW Cornell Road, Suite 200, Portland, OR 97229.  Space is limited.

• Tuesday, December 17, 2013
• Thursday, January 9, 2014
• Tuesday, January 28, 2014
• Thursday, February 13, 2014
• Tuesday, February 25, 2014

The New Markets Tax Credit (NMTC) Program was established by U.S. Congress in 2000 to increase investment in the nation’s low-income communities.  Transactions can be used to attract additional affordable capital to projects that are perceived as high-risk or lacking sufficient capital.  NMTCs are an established tool for economic development wherein developers can enjoy subsidized rates on debt or receive additional tax credit equity and investors can fulfill Community Reinvestment Act (CRA) objectives.

NMTCs have proven effective in bridging financing gaps for projects in several sectors including non-profits to start-ups.  The NMTC Program is also extremely flexible.  Transactions can be structured to work with other government funding programs such as SNAP bonds, USDA loans, Private Activity Bonds, various grants, and more. 

For more information on the NMTC program, please visit our website at www.rroeder.com.

Roeder & Company, LLC and Enhanced Community Development are pleased to announce the closing of a $4 million Oregon New Markets Tax Credit financing for the expansion of ShelterCare’s current administrative headquarters into a hub of services for families, clients, volunteers, and staff.  The facility, located in Eugene, OR, will offer the benefits of having a variety of specialists co-located under one roof, spaces for group and private sessions, and the therapeutic benefits of providing treatment in a professional setting.  The renovation will include modular offices, conference rooms, small private spaces for confidential client meetings, and a large space for training and community meetings.  Additionally, the facility will include a warehouse for construction materials, supplies for housing units, and a maintenance shop to coordinate repairs to, and furnishings for, ShelterCare’s over 300 housing units.

 “[The facility] will bring enormous benefit to approximately 1,700 families and individuals served each year.  The opportunity to integrate services and expand outreach through a central hub for ShelterCare will benefit our community for many years to come,” said Susan Ban, Executive Director of ShelterCare.  ShelterCare is a nonprofit corporation based in Eugene, OR that offers a variety of housing support services for the homeless or those facing homelessness with a committed focus on homeless families and the community’s most vulnerable individuals dealing with psychiatric disabilities and acquired brain injuries.

ShelterCare originally purchased the existing building using Oregon’s Small Nonprofit Accelerated Program (SNAP) Bonds, a program through which the Oregon Finance Authority issues bonds that are then purchased by a participating bank.

“After closing transactions for ShelterCare, SAGE, and Ride Connection, we’ve proven that the Oregon State NMTC program can be utilized in deals as small as $4 million, and in a manner that accommodates other non-traditional financing sources such as SNAP bonds, federal and state grants, third-party lenders, and capital campaigns still in process,” said Reynold Roeder, CEO of Roeder & Company, LLC.  “These investments will all have a tremendous positive impact in the community and happened because the Oregon NMTC Program is such a flexible financing tool.”

The expansion of the service hub is expected to be completed in August of 2014.  For more information on ShelterCare, please visit www.sheltercare.org. 

Roeder & Company, LLC and Enhanced Community Development announce the closing of a $4 million Oregon New Markets Tax Credit financing for Ride Connection’s new Resource and Operations Center at Glisan Commons, a mixed-use development near the Gateway Transit Center in Northeast Portland.  The new facility will be 16,000 square feet and will house Ride Connection’s administrative offices, driver training and support programs, call center, scheduling and dispatch operations, and travel training services.

“The incorporation of Oregon NMTCs into the financing of our new Resource and Operations Center will help Ride Connection to strategically expand its program offerings, thereby serving, educating and training many more people than can be done from our current headquarters location,” said Elaine Wells, Executive Director of Ride Connection.  One of the main objectives of the Oregon NMTC program is to spark revitalization in Oregon’s low-income communities, and the Ride Connection Resource and Operations Center furthers that aim by creating new jobs in its highly distressed census tract and substantially improving community access to Ride Connection’s transit education programs.

“The benefits from this program will truly help change lives by providing the gift of mobility, independence, and dignity for many deserving people,” said Cynthia Thompson, Chief Development Officer of Ride Connection.

The Resource and Operations Center, including tenant improvements, is expected to be completed in June of 2014.  For more information on Ride Connection, please visit www.rideconnection.org.