Vermont Business Magazine Mascoma Community Development (MCD) has announced the closing of $900,000 in New Markets Tax Credit (NMTC) allocation to support the development of a retail space within Burlington’s Old North End neighborhood. The space will be specifically tailored to accommodate a locally owned grocery store, as well as a bank “micro branch.” Jake’s ONE is located at 242 North Winooski Ave.
The completion of these community enrichments will provide a crucial source of goods and services that have been relatively absent from this prominent community in Burlington.
Providing access to affordable, healthy food, banking services, and new job opportunities will greatly benefit low-income residents and businesses, which will gain access to critical resources that are within walking distance.
“The Jake’s ONE project, and our NMTC financing, has allowed this project to come to life and bring essential goods and services to local families. We are beyond excited to be a part of this project and look forward to its long-lasting impact on Burlington’s Old North End neighborhood,” said Dick Jennings, Managing Director of Mascoma Community Development.
MCD is a Community Development Entity established by Mascoma Bank to enhance, strengthen and revitalize low-income communities through the creation of quality jobs and community services. MCD stimulates economic opportunities for low-income residents throughout the northeast United States, especially with investment in catalytic downtown redevelopment and business expansion projects.
The renovation of a currently vacant portion of a building will transform 6,000 square feet of space into a vibrant retail center. The small-format store will allow for quick and convenient access, while also having the capabilities to support the comprehensive grocery needs of families.
In addition, the “micro branch”, operated by Mascoma Bank will bring a new financial institution to Burlington’s Old North End.
“The opportunity to provide residents with access to the best financial products and services in an area traditionally underserved aligns well with our community-first mission as a certified B Corporation,” said Pete Jones, SVP and Northern Vermont’s Market Leader for Mascoma Bank.
The project is located in a severely distressed census tract within a neighborhood of Burlington, Vermont experiencing a 52.3% poverty rate and median income 50.9% of the area’s median.
The NMTC financing ensures that the project’s goals of job creation, expanded grocery access, and community banking access to low-income residents are attainable.
Mascoma Community Development was awarded NMTC Allocation from the Community Development Financial Institutions Fund (CDFI Fund), a branch of the U.S. Treasury department.
Using its tax credit allocation, Mascoma seeks to provide low-cost, flexible financing to businesses throughout the United States. Mascoma prioritizes its projects by those that create high-quality jobs, revitalize downtown areas, and have a high degree of support from the communities in which the projects are located.
Mascoma Bank is a $1.87 billion mutual community bank with 27 branches and 2 loan offices in NH and VT and is the controlling entity to Mascoma Community Development. The bank has a 120-year track record of serving residents, businesses, and communities and is based in northern New England.
Source: Burlington, VT (January 27, 2020) - Mascoma