The New Markets Tax Credit Program (NMTC Program) was established by Congress in 2000 to spur new or increased investments into operating businesses and real estate projects located in low-income communities. The NMTC Program attracts investment capital to low-income communities by permitting individual and corporate investors to receive a tax credit against their Federal income tax return in exchange for making equity investments in specialized financial institutions called Community Development Entities (CDEs).
Commonwealth Cornerstone Group (CCG), as a certified CDE, utilizes the benefits of the New Markets Tax Credit program to provide loans and equity capital investments to foster business expansion and the development of urban mixed-use projects, commercial development, and community facilities. CCG funds these types of projects in key areas of a community which offer catalytic opportunities for revitalization and are characterized by their communities as "cornerstone" initiatives within their renewal plans. CCG combines financial resources and community development experience to fund these economic catalysts in the redevelopment of neighborhoods and communities.
In total, CCG has received three New Market Tax Credit awards totaling $148 million. To date, CCG has fully committed its allocation through the funding of 14 developments throughout the Commonwealth.