City First Bank is one of the most effective community development entities in raising and deploying capital through the New Markets Tax Credit Program (NMTC), a prestigious private-sector investment capital platform of the CDFI Fund.
Among 179 organizations nationwide and only a handful of regulated banks, City First Bank is one of the most successful in assembling and deploying capital through the New Markets Tax Credit Program. Through our affiliate, City First New Markets Fund ll, LLC, City First has used the program to finance a number of large-scale, transformational real estate projects that encourage distressed communities.
City First is an eight-time awardee of NMTC authority and has become the premier NMTC facility lender in the region. Operating in five states – DC, Maryland, Virginia, Delaware and Pennsylvania – City First has financed more than 50 high-impact catalytic projects, with investments of up to $24MM per transaction, and over $543 million total invested to date. Most NMTC customers are nonprofit organizations that build, own, and occupy their facilities, ranging from health centers and educational facilities to recreation and art centers; as well as grocery and other commercial real estate in food and small business deserts.
Created by Congress in 2000 as a tool to stimulate economic development in low-income communities, the NMTC Program attracts private investors to underserved areas by offering a tax credit against their federal income tax return in exchange for making equity investments in commercial enterprises that provide substantial, long term benefits to low-income communities. This private sector investment is critical to closing financing gaps in community development projects that would otherwise prove unable to move forward. The NMTC program is administered by the Community Development Financial Institutions Fund (CDFI Fund), an office within the U.S. Treasury Department.