PHILADELPHIA, Oct. 8, 2012 /PRNewswire/ -- Enterprise Community Investment, Inc. (Enterprise), TD Bank, America's Most Convenient Bank,® National Trust Community Investment Corporation and the Philadelphia Industrial Development Corporation today announced the closing of New Markets Tax Credit (NMTC) financing for the adaptive reuse of a factory complex in the South Kensington neighborhood of Philadelphia.
Oxford Mills is a $37.8 million mixed-use project that will develop 114 apartments marketed primarily to Philadelphia's public school teachers, 38,000 square feet of office space for education and social service nonprofits and a 1,300-square-foot cafe. Twenty-three apartments will be rent restricted to people earning less than 80 percent of the area median income. The two buildings will undergo major restoration while retaining the historic features.
"TD Bank is excited to partner with Enterprise and National Trust Community Investment Corporation to see the Oxford Mills project become a reality," said Thomas Shoemaker, Market President for TD Bank. "Collaborative efforts like Oxford Mills bring positive growth and development to communities like South Kensington that will have a real and lasting impact."
The project developers, Seawall Development LLC and D3 Development, will model Oxford Mills after similar Seawall projects in Baltimore. Seawall's first project, Miller's Court, was also financed by Enterprise. Once completed, the rehabbed structures will meet Enterprise Green Communities Criteria, the first national framework for creating and preserving green affordable housing.
Enterprise provided $10 million in New Markets Tax Credit allocation, Philadelphia Industrial Development Corporation provided $15 million and the National Trust Community Investment Corporation provided $9 million in NMTC allocation. TD Bank was the equity investor for the full NMTC allocation and provided $17.8 million in term debt and $6.3 million in historic tax credit equity. Enterprise Community Loan Fund provided a $3 million acquisition and predevelopment loan to the project.
"Projects like Oxford Mills are made possible by New Markets Tax Credit equity and Historic Tax Credit funding," noted Joseph Wesolowski, senior vice president, Structured Finance at Enterprise. "This project is another example of what NMTC can do to revitalize neighborhoods and communities across the country. Without the reauthorization of NMTC legislation pending before Congress these types of projects will not move forward and receive the necessary funding."
John Leith-Tetrault, President of the National Trust Community Investment Corporation said, "Oxford Mills is a great example of how the federal Historic Tax Credit can be twinned with the New Markets Tax Credit to adaptively reuse an industrial building to serve communities in need of economic development. We have seen this concept of an office/housing project that focuses on the needs of urban school systems work in other cities, and we are excited to be a financial partner."
Oxford Mills will create an affordable living and commercial space, and transform the underutilized buildings into a vibrant, supportive environment where educators and nonprofits can collaborate and thrive. Teach for America, a strong supporter of the two-building project, will occupy 14,000 square feet of the east building's office space with several other nonprofit organizations. Sixty-eight rental units are designated as affordable for new teachers who will receive discounts on the rent.
Enterprise is a leading provider of the development capital and expertise it takes to create decent, affordable homes and rebuild communities. For 30 years, Enterprise has introduced neighborhood solutions through public-private partnerships with financial institutions, governments, community organizations and others that share our vision. Enterprise has raised and invested more than $11.5 billion in equity, grants and loans to help build or preserve nearly 300,000 affordable rental and for-sale homes to create vital communities. Visit www.EnterpriseCommunity.org and www.EnterpriseCommunity.com to learn more about Enterprise's efforts to build communities and opportunity.
About TD Bank, America's Most Convenient Bank®
TD Bank, America's Most Convenient Bank, is one of the 10 largest banks in the U.S., providing nearly 8 million customers with a full range of retail, small business and commercial banking products and services at nearly 1,300 convenient locations throughout the Northeast, Mid-Atlantic, Metro D.C., the Carolinas and Florida. In addition, TD Bank and its subsidiaries offer customized private banking and wealth management services through TD Wealth®, and vehicle financing and dealer commercial services through TD Auto Finance. TD Bank is headquartered in Cherry Hill, N.J., and Portland, Maine. To learn more, visit www.tdbank.com. Find TD Bank on Facebook at www.facebook.com/TDMoneyLoungeUS and on Twitter at www.twitter.com/TDBank_US.
TD Bank, America's Most Convenient Bank, is a member of TD Bank Group and a subsidiary of The Toronto-Dominion Bank of Toronto, Canada, a top 10 financial services company in North America. The Toronto-Dominion Bank is one of the few banks in the world rated Aaa by Moody's and trades on the New York and Toronto stock exchanges under the ticker symbol "TD." To learn more, visit www.td.com.
SOURCE Enterprise Community Investment, Inc.