Date:
01/03/07
Source:
Undisclosed
Cahaba New Markets Loan Program Now Open in Birmingham, Ala.
BIRMINGHAM, Ala. —Cahaba Community Development LLC (Cahaba) closed on the funding of its $40 million New Markets Tax Credit (NMTC) venture through an investment with Capmark Capital Inc. (formerly GMAC Commercial Holding Capital Corp.) Cahaba will use the proceeds to make below-market loans to eligible projects in urban areas of Jefferson and Calhoun counties in Alabama. Qualifying projects include the acquisition and rehabilitation, expansion or new construction of retail, office and industrial real estate projects.
Under a highly competitive process, the U.S. Department of the Treasury’s Community Development Financial Institutions Fund awarded Cahaba a $40 million allocation of NMTC. Cahaba is a community development entity established by Sloss Real Estate to serve urban areas of Jefferson and Calhoun counties. The mission of Cahaba is to provide NMTC loans to low-income communities to help rebuild urban infrastructure, reduce sprawl, revitalize neighborhoods, spur business and economic development, build community, and generally raise the quality of life.
Cathy Crenshaw, president of Sloss Real Estate Group, Inc., Cahaba’s manager, said, "This represents a powerful extension of Sloss’ community development resources. With assistance from our Advisory Board, we hope to identify high impact opportunities in urban areas of Birmingham, Anniston, Oxford and Jacksonville, Ala.”
Capmark Capital Inc. Vice President Patrick Vahey noted that his company has dedicated significant resources to the Cahaba NMTC loan program in Birmingham through its NMTC investment group and the local office of its affiliate, Capmark Finance Inc. “We are very excited about working with Cahaba Community Development to help spur development in underserved areas of Birmingham. Our collective expertise and effort with the New Markets Tax Credit Program will have a positive impact for both the short- and long-term future of the city,” commented Vahey.
