Popular Community Capital, LLC, (PCC) a subsidiary of Banco Popular de Puerto Rico, received a $40 million New Markets Tax Credits (NMTC) allocation from the U.S. Department of the Treasury Community Development Financial Institutions (CDFI) Fund to support low-income communities that face high poverty, a lack of quality accessible jobs, poor access to healthcare and need for youth services.
"With this NMTC allocation, we remain steadfast in our commitment to the communities we serve. These funds will allow us to continue supporting vital projects in low-income communities, driving economic and social development where it is needed most," said Eli Sepúlveda, executive vice president, Commercial Credit Group of Popular. "Since we started the NMTC program, we have been able to provide financing with flexible rates and terms to real estate and non-real estate projects and operating companies that have a financing gap, limited access to market-rate capital, or have exhausted other sources of subsidy."
PCC will allocate these funds to projects with gap financing and business seeking enhanced financing, including manufacturing industrial facilities, healthcare, and multi-service youth community projects to spur investment and economic growth in underserved communities.
This is PCC’s third NMTC allocation for a total of $160 million awarded since 2015. To date, PCC has deployed its awards to 25 for-profit and non-profit borrowers with a total project investment need of $330 million, which is projected to create over 1,120 jobs in highly distressed low-income communities.
The Treasury awarded $5 billion in total for the calendar year 2023, and Popular Community Capital was one of 104 Community Development Entities (CDEs) to receive an allocation. Find a list of NMTC Program recipients here: Award Book.
Popular Community Capital, LLC is a subsidiary of Banco Popular de Puerto Rico, created and certified in 2015 as an Economic Development Entity by the U.S. Treasury’s Community Development Financial Institutions Fund (CDFI Fund). Popular Community Capital’s mission is to provide capital at flexible rates and terms to businesses or projects located in or that will directly benefit low-income communities, primarily in areas where Popular has a presence.