Our vertically integrated team of in-house professionals internally manage our own portfolio of properties, investments, loans and development projects.  This platform has successfully completed over $1.5 billion of tax credit transactions, $3 billion in real property transactions and today runs the company's robust and diverse privately held portfolio of more than 2.5 million square feet.

Federal New Markets Tax Credits

Since 2002, Consortium Capital has assisted its partners in being awarded nearly $1.6 billion in Federal New Markets Tax Credit (NMTC) allocation. These allocation awards have translated into more than $3 billion of real estate development in low-income communities. Consortium Capital uses its unique relationships with both national and local Community Development Entities (CDEs), investment banks, lenders, professionals, and developers to help structure and close financing for real estate projects that have a large impact in highly distressed low income communities. Consortium Capital has partnered with many institutional investors in NMTC projects including US Bank, Santander Bank, Wells Fargo, PNC, Morgan Stanley, TD Bank, JP Morgan Chase, Capital One, and Goldman Sachs.

The Federal NMTC program was created by the Community Renewal Tax Relief Act of 2000 and is administered by both the CDFI Fund and the IRS. It is designed to bring much needed capital to underserved low-income communities throughout the United States by allowing CDEs to use their knowledge and expertise to invest in high impact businesses and real estate projects. The Federal NMTC program was extended by Congress for five years under the 2015 PATH Act and preserved under the 2017 Tax Cut and Jobs Act.

The program provides investors a 39% tax credit over 7 years. The monetization of this credit results in substantial equity, forgivable debt and/or below market interest rates being provided to qualified projects and businesses.  These in turn benefit the surrounding low-income community by creating jobs, providing much needed community goods and services and acting as an economic catalyst. Although structuring transactions with NMTCs is complex, the use of this subsidy can net real estate developers, non-profits and other project sponsors an additional 10-25% in equity for their projects.

For inquiries on NMTCs, please contact Stefan Kershow.