Invest Atlanta’s subsidiary, Atlanta Emerging Markets, Inc. (AEMI), was awarded a $75 million allocation of New Markets Tax Credit (NMTC) by the U.S. Department of the Treasury – representing AEMI’s largest ever and the second highest in the State of Georgia this award cycle.
The allocation will be used to provide gap financing for transformative development projects while also increasing AEMI’s ability to attract private investment to historically underserved communities that support job creation and provide neighborhoods with critical resources, including affordable housing development and small business support.
According to Mayor Andre Dickens, who also serves as chair of the Invest Atlanta Board, the NMTC allocation is about creating opportunities, access and building a future for all Atlantans. “This award from the U.S. Department of the Treasury continues to affirm Atlanta’s potential and the impact of strategic investment in our communities,” says Mayor Dickens. “This influx of capital, in the form of NMTC allocation, will enable us to bring new investments, new businesses and new opportunities to neighborhoods that have long been overlooked.”
The $75 million allocation allows AEMI to provide accessible financing to projects of $5 million or more that are creating strong social impacts but have a funding gap or might otherwise struggle to secure traditional capital. Nonprofits, mission-driven businesses and organizations located in eligible Census tracts can utilize NMTC investments to finance the construction of new facilities, working capital or the purchase of equipment.
By leveraging private capital along with NMTC funding, these projects will contribute to equitable economic growth, improved community infrastructure and expanded opportunities for Atlantans. NMTC allocation can also be layered with other City of Atlanta economic development tools, including Tax Allocation District (TAD) funding to accelerate development in under-invested areas.
"Since 2022, AEMI has impacted more than 85,000 Atlanta residents through social impact investments, including 17,600 children supported by youth-focused organizations," says Dr. Eloisa Klementich, president and CEO of Invest Atlanta and AEMI Board member. "The size of this award and being one of only four entities in the State to receive an allocation this round is a testament to AEMI’s continued impact on people’s lives in our underserved communities.”
Congress established the NMTC program in 2000 to attract investment to areas with low median income and high unemployment. The program takes private equity contributed by investors and turns it into gap financing for redevelopment projects.