Vermont Rural Ventures attracts $47.6 million in new capital

Vermont Business Magazine Vermont Rural Ventures through June 2017 has raised more than $47 million in new capital through the New Markets Tax Credit (NMTC) program to support 15 projects in Vermont and neighboring areas, creating 559 new jobs and retaining 1,332 existing jobs. NMTC funds are used to retain and create jobs and essential services by financing key community developments in downtowns and village centers and in other concerted efforts that demonstrate positive community impacts. Using New Markets Tax Credits, these investments provided $47,693,516 of equity to 15 projects, allowing expansion and job growth.

Without Vermont Rural Ventures' NMTC resources, this capital would not have been available for Vermonters and their communities and every dollar of Vermont Rural Ventures' NMTC equity leveraged $3.82 of additional capital.

"Investing in existing Vermont companies to grow jobs in the areas that need it most has been very successful," said Beth Boutin, vice-president of Vermont Rural Ventures. "Our focus is to use New Markets Tax Credits to grow jobs for Vermonters."

The New Markets Tax Credit (NMTC) program, created by Congress in 2000, incentivizes private investment in low-income communities. Qualified projects receive favorable financing that incorporates terms and conditions unavailable in the market. NMTCs are very flexible and can be used for many different kinds of business, including manufacturing, downtown real estate development, community centers, health care, office space, nonprofits, and farm, food and forest processing. A typical NMTC funding request is between $3 and $50 million.

The capital raised by Vermont Rural Ventures has financed key downtown development projects such as Brattleboro's Brooks House, the State Office Building in St. Albans, and Barre City Place. Favorable terms allow manufacturers such as Weidman, Chroma, and GS Precision to expand, better compete in the marketplace, and remain in Vermont. And essential service providers such as the Enosburg Health Center, Laraway Youth and Family Services, and King Street Center to build new facilities, add programs, and better serve their communities.

Vermont Rural Ventures (VRV) is a community development entity wholly owned by nonprofit Housing Vermont. VRV secures federal New Markets Tax Credit allocations through highly competitive national awards to help businesses and nonprofits grow and expand. The NMTC program lowers the cost of capital for important infrastructure, expansion, machinery and equipment, or acquisition projects and spurs additional private investment in low-income communities.

For more information visit:http://vermontruralventures.com/. An interactive map of projects and investments is available at: http://vermontruralventures.com/vrv-projects-2/#projects_map