Vermont Business Magazine Mascoma Community Development (MCD) has announced the successful closing of $2 million in New Markets Tax Credit (NMTC) allocation to support the development of a community arts center at 405 Pine Street (Burlington City Arts Foundation/Burlington City Arts) in Burlington. The space will become the permanent home of Burlington City Arts’ (BCA) programs and services. The new center will become a local cornerstone for nurturing creativity and imagination through the arts. Not only will the community benefit from a newfound exposure to the arts, but additional job opportunities will be created for local residents as well.
“The BCA project will serve as a cultural hub for this community and provide BCA with long-term affordability and financial stability. Our NMTC financing was a primary financing source that allowed the project to be feasible and will help this arts program achieve said long-term stability. We eagerly anticipate the wealth of community opportunities BCA’s new center will afford, as the facility expands access to arts, culture and recreational opportunities,” 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 new development will transform the 32,800-square-foot facility into an economically prosperous community center. The project will play an important role in creating a more livable and economically sustainable community through increasing access to the arts and facilitating employment opportunities.
The project is located in a severely distressed census tract within the community of Burlington, Vermont experiencing a 24.8% poverty rate and median income 56.75% of the area’s median. The NMTC financing will preserve BCA’s financial stability through low-cost, long-term financing.
Additionally, the company’s goals of expanded access to the arts and job creation for low-income residents will be attainable as they transition into the new facility. Mascoma Community Development was awarded NMTC Allocation from the Community Development Financial Institutions Fund (CDFI Fund), a branch of the US 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 and NMTC financing were also employed to refurbish the Brooks House after a devastating fire in 2011 gutted the cornerstone Brattleboro building.
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 Community Development